Lidar maker Ouster (NYSE:OUST) said on Thursday that it remains on track to realize more than $75 million in annual cost savings by the end of 2023, following its merger with rival Velodyne in February.
CEO Angus Pacala told media outlets following the company’s fourth-quarter report that Ouster has already begun integrating Velodyne’s people and technology into its existing business, cutting about 200 employees from the post-merger business.
Ouster is on track to achieve about $50 million of the promised $75 million in annualized cost savings by the end of the first quarter, he said, based on the two companies’ standalone costs as of the third quarter of 2022.
For its fourth quarter, which reflects Ouster’s results before the merger with Velodyne was completed, the company reported a loss of 23 cents per share on revenue of $11 million. That’s compared with a loss per share of 17 cents on revenue of $11.9 million during the same period a year ago.
For the full year, Ouster reported $41 million in revenue with a 27% gross margin, in line with its previous guidance to investors. The company shipped over 8,600 lidar sensors in 2022 – but it reported a net loss of about $139 million, or 70 cents per share, for the full year.
OUST Shares were down about 9% in after-market trading on Thursday. They slipped eight cents, or 9.3%, Friday morning to 87 cents.
