Latch Drives Additional Discipline and Efficiency, Setting the Stage For Accelerated Future Growth
July 10 2023 - 4:00PM
Business Wire
The company plans to leverage Honest Day’s
Work’s global workforce, reduce operational spend, and create a
stronger foundation for growth.
Following the completion of the Honest Day’s Work (HDW)
acquisition earlier this month, Latch, Inc. (NASDAQ: LTCH) today
announced its commitment to enhancing operational discipline and
efficiency within the organization. As part of this strategic
initiative, the company expects to reduce its current U.S.- and
Taiwan-based workforce approximately 59% by November 1, 2023.
HDW’s talent philosophy and global team have enabled Latch to
quickly execute on cost savings, and the decreased U.S.- and
Taiwan-based headcount should allow for additional cost cutting
measures to be implemented on SaaS software licenses and other
systems.
The goal of these strategic measures is to create a scalable
foundation for growth. To that end, the company is unveiling a new
leadership team alongside Jamie Siminoff, who is expected to become
CEO later this year, including:
- Luciano Panaro, who is taking over as Chief Technology
Officer;
- David Lillis, based in St. Louis, who is starting as SVP of
Finance on July 17, 2023 and who is expected to take over as Chief
Financial Officer later this year;
- Claire Duval, who is taking over as VP of Operations;
- Eugenia Adjigogovic, who is taking over as Head of People;
and
- Chris Peckham, also based in St. Louis, who has recently joined
as Head of Sales.
As Latch leverages a more efficient, remote global workforce,
new U.S.-based roles that are most effective when co-located
together will be based in St. Louis. This hybrid approach combines
sourcing globally, allowing for remote work where appropriate, with
a centralized office in St. Louis to build an efficient team that
supports a sustainable business.
Siminoff said, “These new measures are focused on creating the
best foundation for growing the business long term. Discipline and
efficiency are not only expected to save Latch millions of dollars
but should also accelerate and simplify processes, both internally
and externally. It is our responsibility to our customers to
provide the best products and services at the lowest cost. Doing
that should result in increased sales and profits, creating value
for our stockholders.”
The new leadership team will bring diverse backgrounds and a
wealth of experience and knowledge to their positions and is
uniquely suited to support Latch’s future growth. After taking over
as CFO later this year, Lillis is expected to oversee all financial
functions of Latch, including financial planning, analysis,
reporting, and treasury management. He will work closely with the
executive team to streamline processes, drive cost optimization
initiatives, and provide actionable insights to support informed
decision-making.
“I’m excited to join the Latch team on this journey as we
embrace a more disciplined and efficient approach to business
operations,” said Lillis. “I look forward to collaborating with the
talented individuals at Latch to drive financial excellence and
contribute to the company's continued growth and success.”
To learn more about Latch, visit www.latch.com or email Jamie
Siminoff directly at j@latch.com. For sales inquiries email Chris
Peckham at chris.peckham@latch.com.
About Latch, Inc.
Latch makes spaces better places to live, work, and visit
through a system of software, devices, and services. For more
information, please visit www.latch.com.
FORWARD-LOOKING STATEMENTS
This release contains certain forward-looking statements within
the meaning of the federal securities laws. These forward-looking
statements generally are identified by the words "believe,"
"project," "expect," "anticipate," "estimate," "intend,"
"strategy," "future," "opportunity," "plan," "may," "should,"
"would," "will continue," "will likely result," and similar
expressions. Forward-looking information includes, but is not
limited to, statements regarding: Latch’s and HDW’s future
products, financial performance, strategies, and operations, and
the related benefits to shareholders, customers, and residents;
expected growth of demand for Latch’s and HDW’s future products and
their adoption by customers; Latch and HDW’s industry positions;
Latch’s acquisition of HDW (the “Acquisition”), the impact of the
Acquisition and related transactions on the combined company, and
the operating results of the combined company; the ability of Latch
to successfully integrate HDW and realize the benefits of the
Acquisition, including the expected performance of the combined
company’s management team; and the transition in Latch’s CEO and
CFO positions. Many factors could cause actual future events to
differ materially from the forward-looking statements in this
document, including: (i) the effect of the completion of the
Acquisition on the ability of Latch to retain and hire key
personnel and maintain relationships with customers, suppliers and
others with which Latch does business, or on Latch’s operating
results and business generally; (ii) the risk that the Acquisition
and the integration of HDW into Latch may involve unexpected costs
or liabilities; (iii) the outcome of legal proceedings, if any,
related to the Acquisition or otherwise, and the impact of the
Acquisition thereon; (iv) Latch’s ability to regain and maintain
compliance with the listing standards of Nasdaq, and the impact of
the Acquisition thereon; (v) Latch’s ability to timely complete the
ongoing restatement of its consolidated financial statements for
2019, 2020, 2021 and the first quarter of 2022, and the impact of
the Acquisition thereon; (vi) Latch’s ability to file its
delinquent periodic reports with the Securities and Exchange
Commission (the “SEC”) by August 4, 2023, and the impact of the
Acquisition thereon; (vii) the expected performance of Latch’s
stock; (viii) Latch’s ability to implement business plans; (ix)
changes and developments in the industry in which Latch competes;
and (x) Latch’s response to any of the aforementioned factors. The
foregoing list of factors is not exhaustive. You should carefully
consider the foregoing factors and the other risks and
uncertainties described in the "Risk Factors" section of our Annual
Report on Form 10-K filed with the SEC on March 1, 2022, and other
documents subsequently filed by Latch from time to time with the
Securities and Exchange Commission (the “SEC”). These filings
identify and address other important risks and uncertainties that
could cause actual events and results to differ materially from
those contained in the forward-looking statements. Forward-looking
statements speak only as of the date they are made. Readers are
cautioned not to put undue reliance on forward-looking statements,
and Latch assumes no obligation to update or revise these
forward-looking statements, whether as a result of new information,
future events, or otherwise, except as required by law, including
the securities laws of the United States and the rules and
regulations of the SEC. Latch does not give any assurance that it
will achieve its expectations.
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Investors: investors@latch.com
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