Lidar-maker Luminar is warning shareholders it will run out of cash in early 2026 and announced a 25% cut to its workforce to help stem the bleeding – its second layoff of the year – according to a regulator on Friday. archiving.
It was not immediately clear how many employees would be affected. Luminar started the year with about 580 employees, but the company did not specify the size of the layoff earlier this year. The company did not immediately respond to a request for comment.
The company also announced that its chief financial officer, Thomas Fennimore, will step down on November 13 “to pursue other career opportunities”. Luminar said Fennimore’s departure “is not the result of any dispute” over its finances or with the company’s auditors.
All this comes as founder Austin Russell – who was replaced as CEO in May after an unspecified ethics investigation by the board’s audit committee – is in the midst of trying to buy the company. This acquisition was encouraged by at least some of the board members, as TechCrunch previously reported.
Luminar struggled in part because it sold fewer lidar sensors to Volvo, which was supposed to be an important customer. In August, Fennimore said Luminar was therefore selling the sensors at a lower cost than necessary for their construction.
Luminar said on Friday it had $72 million in cash and marketable securities as of Oct. 24. Without additional fundraising, the current burn rate means Luminar could run out of money as early as the first quarter of next year or breach the terms of some debt covenants.
On Friday, Luminar revealed it had already skipped required quarterly interest payments on some loans due on October 15. Those lenders agreed to give Luminar until Nov. 6 to make the payments before taking any action.
Luminar isn’t due to report its third-quarter financial results for another two weeks, but on Friday, it revealed it expects to report about $18 million in revenue and $429 million in debt.
