Mullen Automotive Tightens Belt With 20% Workforce Cut And Revenue Push - What's Going On?
Portfolio Pulse from Lekha Gupta
Mullen Automotive (NASDAQ:MULN) is implementing a 20% workforce reduction and cutting monthly spending to $7.3 million to improve cash flow. The company aims to generate $75 million in revenue over six months through Mullen Commercial and Bollinger Motors sales. MULN shares fell 7.17% following the announcement.
October 07, 2024 | 1:50 pm
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Mullen Automotive is reducing its workforce by 20% and cutting monthly expenses to $7.3 million. The company aims to generate $75 million in revenue over the next six months. MULN shares dropped 7.17% following the announcement.
The announcement of a 20% workforce reduction and cost-cutting measures indicates financial challenges, which likely contributed to the 7.17% drop in MULN's stock price. The company's focus on increasing revenue and reducing expenses is a strategic move to improve cash flow, but the immediate market reaction is negative.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100