TAMPA,
Fla., May 2, 2024 /PRNewswire/ --
Marpai, Inc. ("Marpai" or the "Company") (Nasdaq:
MRAI), an independent national Third-Party Administration
(TPA) company transforming the $22
billion TPA market supporting self-funded employer health
plans with affordable, intelligent, healthcare, today announced the
implementation of a comprehensive cost reduction program and the
sublease of one of its properties. These initiatives are expected
to generate $3 million in annual
savings and position the Company for continued financial
strength.
The cost reduction program, meticulously developed by Marpai's
leadership team, identifies and implements strategic measures to
streamline operations and optimize expenditures. This program is
anticipated to yield approximately $3
million in annual savings across various areas of the
business.
"We are committed to operational excellence and maximizing
shareholder value," said Damien
Lamendola, CEO of Marpai Inc. "This cost reduction program
demonstrates our proactive approach to financial stewardship. By
implementing these measures, we expect to enhance our path to
profitability while maintaining the high level of service our
clients and members expect."
In addition to the cost reduction program, Marpai has
successfully subleased one of its properties. This strategic move
frees up capital and reduces ongoing operational costs associated
with the property.
"The sublease agreement allows us to optimize our real estate
portfolio and generate additional savings," said John Powers, Marpai's President. "We are
confident that this decision will contribute positively to our
long-term financial performance."
About Marpai, Inc.
Marpai, Inc. (Nasdaq: MRAI) is a leading, national TPA company
bringing value-oriented health plan services to employers that
directly pay for employee health benefits. Primarily competing in
the $22 billion TPA sector serving
self-funded employer health plans representing over $1 trillion in annual claims. Marpai works to
deliver the healthiest member population for the health plan
budget. Operating nationwide, Marpai offers access to leading
provider networks including Aetna and Cigna and all TPA services.
For more information, visit www.marpaihealth.com, the content
of which is not incorporated by reference into this press
release.
Forward-Looking Statement Disclaimer
This press release contains forward-looking statements, as that
term is defined in the Private Litigation Reform Act of 1995, that
involve significant risks and uncertainties. Forward-looking
statements can be identified through the use of words such as
"anticipates," "expects," "intends," "plans," "believes," "seeks,"
"estimates," "guidance," "may," "can," "could", "will",
"potential", "should," "goal" and variations of these words or
similar expressions. For example, the Company is using forward
looking statements when it discusses its cost reduction actions and
annual savings estimates and that as a result of implementing its
cost reduction actions, it expects to enhance its path to
profitability while maintaining the high level of service it
clients and members expect. Readers are cautioned not to place
undue reliance on these forward-looking statements, which
reflect Marpai's current expectations and speak only as of the
date of this release. Actual results may differ materially from
Marpai's current expectations depending upon a number of factors.
These factors include, among others, adverse changes in general
economic and market conditions, competitive factors including but
not limited to pricing pressures and new product introductions,
uncertainty of customer acceptance of new product offerings and
market changes, risks associated with managing the growth of the
business. Except as required by law, Marpai does not undertake any
responsibility to revise or update any forward-looking statements
whether as a result of new information, future events or
otherwise.
More detailed information about Marpai and the risk factors that
may affect the realization of forward-looking statements is set
forth in Marpai's filings with the Securities and Exchange
Commission. Investors and security holders are urged to read these
documents free of charge on the SEC's website at
http://www.sec.gov.
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SOURCE Marpai
