Genetic Technologies Transitions To A Capital Light Operating Model; With Lower Cost Operations; Continued Focus On The Co's Core Business Of "EasyDNA" And "GeneType"; Working Capital Funded By Short Term $800,000 Secured Loan; Active Channel Partners In The USA With GeneType Sales Growth; EasyDNA Sales Of $7M And Growing
Portfolio Pulse from Benzinga Newsdesk
Genetic Technologies Limited (NASDAQ: GENE) is transitioning to a capital light operating model to reduce costs and focus on sales growth in the US. The company will outsource operations and has secured a short-term $800,000 loan to fund working capital. EasyDNA sales are growing, reaching $7M.
July 26, 2024 | 12:03 pm
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Genetic Technologies Limited (NASDAQ: GENE) is transitioning to a capital light operating model to reduce costs and focus on sales growth in the US. The company will outsource operations and has secured a short-term $800,000 loan to fund working capital. EasyDNA sales are growing, reaching $7M.
The transition to a capital light model is expected to reduce operating costs significantly, which should positively impact the company's profitability. The focus on sales growth in the US, particularly for EasyDNA and GeneType, indicates a strategic move to capitalize on their largest market. The secured loan ensures short-term liquidity, supporting ongoing operations.
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