Hologic launches strategic restructuring

Article

In an effort to boost profitability and revenue, Hologic is implementing an expansive restructuring plan aimed at strengthening its competitive position in the women’s health and digital imaging markets. The plan includes a company-wide cost

In an effort to boost profitability and revenue, Hologic is implementing an expansive restructuring plan aimed at strengthening its competitive position in the women’s health and digital imaging markets. The plan includes a company-wide cost savings initiative, expected to bring real annual cost savings of around $10 million by cutting 10% of the workforce and reducing operating expenses. The company expects a restructuring charge, primarily related to severance costs, of about $1.3 million, or 8¢ per diluted share, in the fourth quarter of fiscal 2001, which ends Sept. 29.

The next step in the plan will be to focus on long-term revenue growth through new marketing programs, expanded distribution channels, and development of strategic business relationships. Jack Cumming, Hologic’s new president and CEO, cited costs associated with the acquisitions of Trex Medical in 2000 and Direct Radiography in 1999 and the ongoing investment in digital radiography and digital mammography systems as drags on profitability. Cumming took the helm of Hologics in late July following the death of David Ellenbogen. Cumming had joined Hologic in August 2000 as senior vice president and president of Lorad, a Hologic company.

Newsletter

Stay at the forefront of radiology with the Diagnostic Imaging newsletter, delivering the latest news, clinical insights, and imaging advancements for today’s radiologists.

Recent Videos
SNMMI: Emerging PET Insights on Neuroinflammation with Progressive Apraxia of Speech (PAOS) and Parkinson-Plus Syndrome
Improving Access to Nuclear Imaging: An Interview with SNMMI President Jean-Luc C. Urbain, MD, PhD
SNMMI: 18F-Piflufolastat PSMA PET/CT Offers High PPV for Local PCa Recurrence Regardless of PSA Level
SNMMI: NIH Researcher Discusses Potential of 18F-Fluciclovine for Multiple Myeloma Detection
SNMMI: What Tau PET Findings May Reveal About Modifiable Factors for Alzheimer’s Disease
Emerging Insights on the Use of FES PET for Women with Lobular Breast Cancer
Can Generative AI Reinvent Radiology Reporting?: An Interview with Samir Abboud, MD
Mammography Study Reveals Over Sixfold Higher Risk of Advanced Cancer Presentation with Symptom-Detected Cancers
Combining Advances in Computed Tomography Angiography with AI to Enhance Preventive Care
Study: MRI-Based AI Enhances Detection of Seminal Vesicle Invasion in Prostate Cancer
Related Content
© 2025 MJH Life Sciences

All rights reserved.