Banzai International announces $5.5 million cost reduction initiative

Banzai International Inc. (NASDAQ: BNZI) announced an operating cost reduction initiative expected to improve operating profits by $5.5 million on an annualized basis, according to a company statement.

The marketing technology company said the savings result from reducing dependency on consultants, lowering professional services costs, centralizing financial systems and processes, and selective headcount reduction. Management estimates these actions will reduce operating cash burn by approximately 40% on a run-rate basis.

The company has implemented most actions in the plan and expects the monthly operating expense run rate to fully reflect the reductions in the third quarter. Banzai stated the cost reductions will not impact planned revenue growth.

"We expect these changes to our cost structure will significantly improve our burn rate and financial position without impacting our customers or planned revenue growth," said Joe Davy, founder and CEO of Banzai.

Banzai provides marketing and sales solutions for businesses and reports having over 150,000 customers including Amazon, Dell, Salesforce, Aflac, Thermo Fisher Scientific, RBC Wealth Management, and Fitch Group.

You May Also Be Interested In

• Alphabet added to Dow Jones Industrial Average, Verizon dropped
• Ian Wendler to retire from Jewett-Cameron board by July 31
• Gates Industrial launches three new bicycle belt drive sprocket families