Luminar Cuts 25% Staff CFO Resigns Cash Runs Early 2026

Luminar, a lidar manufacturer, is facing significant financial challenges, warning shareholders that it may exhaust its cash reserves by early 2026. To mitigate losses, the company announced a 25% workforce reduction, marking its second round of layoffs this year amid reduced sales, particularly to Volvo, its expected major customer, with sensors reportedly being sold at a loss. CFO Thomas Fennimore will resign in November "to pursue other career opportunities," with the company noting his departure is unrelated to financial disagreements. Founder Austin Russell, removed as CEO in May following an ethics inquiry, is attempting to buy back the company, a move supported by some board members. Luminar reported having $72 million in cash against $429 million in debt and has missed quarterly interest payments, receiving a grace period until November 6 to make these payments before lenders consider further action. The company anticipates reporting around $18 million in third-quarter revenue while grappling with low sales, negative margins, and heavy leverage that threaten its financial stability.