Seattle-based online cannabis marketplace Leafly is laying off more employees, according to posts on LinkedIn from impacted workers.
Several employees — including a creative lead and vice president of retail sales — said they were laid off by the company. Workers in Seattle, Austin, Boston, and Chandler, Ariz., were impacted, according to the posts.
A Leafly spokesperson declined to comment when contacted by GeekWire.
According to an internal email cited by a former senior news editor at Leafly, the company is cutting 41 workers, or about 21% of its workforce.
Leafly cut 56 positions, or 21% of its workforce at the time, in October.
The company went public last year in a SPAC deal. It reported revenue of $11.8 million in Q3, up 8.1% year-over-year, and an adjusted loss of $5.2 million. It ended the quarter with $27.8 million of cash. Average monthly users came in at 8.2 million, down 12.8%.
Leafly will report its Q4 financial results Thursday afternoon.
Leafly received a letter Oct. 28 from the Nasdaq notifying the company that it did not comply with the $50 million market value minimum required to be listed on the exchange and risked being delisted. Leafly currently has a market capitalization of around $20 million; its stock has lost nearly all of its value since going public last year.
Nasdaq said Leafly’s market value must be $50 million or more for a minimum of 10 consecutive business days at any time before April 26. Leafly is currently among Nasdaq’s list of noncompliant companies.
Founded in 2010, Leafly’s online marketplace lets customers shop and select cannabis products from licensed retailers. The startup also serves as an educational resource. Its revenue primarily comes from a monthly subscription fee paid by cannabis retailers to be listed on the platform and to access e-commerce tools.
Leafly is facing headwinds in the form of decelerating digital ad spend, part of a broader shift by companies to cut costs amid higher interest rates and the tech downturn.
from GeekWire https://www.geekwire.com/2023/leafly-reportedly-lays-off-employees-for-second-time-in-a-year/
