Health and fitness firm HealthifyMe, commonly known as Healthify, has laid off 150 employees as part of its restructuring exercise.

According to Inc 42, Healthify co-founder and CEO Tushar Vashist said that the move was aimed at making Healthify’s India business profitable and expanding its presence in the US market. 

ALSO READ: HealthifyMe’s CEO Tushar Vashisht rules out IPO plans in near term; talks about AI initiatives

“In the next three-four months, our India business will turn EBITDA profitable and this restructuring was an unfortunate but an important step in line with achieving this. We also have to make sure we have enough resource allocation for the global expansion,” Vashist, a former investment banker and a University of Pennsylvania graduate, told Inc 42.

He also reiterated that the restructuring was necessary to achieve profitability in India and ensuring global expansion at the same time.

This is the third such layoffs the company has undertaken in past two years.

Healthify said that it has offered comprehensive severance packages, extended insurance coverage and job placement assistance to the impacted employees.

ALSO READ: India’s healthcare innovation market may hit $60 bn by FY28: Report

The layoffs have impacted employees across hierarchies and functions.

According to Healthify’s LinkedIn profile, the company had about 1,000 employees, prior to the latest restructuring exercise.

HealthifyMe was founded in January 2012 by Tushar Vashisht, Mathew Cherian and Sachin Shenoy.

Last year in June, HealthifyMe had raised $30 million in a pre Series D funding round led by LeapFrog Investments, Khosla Ventures, FinnFund and Van Lanschot Kempen.

In the fiscal year 2023, the company had reported a loss of 142 crore, a 10 per cent drop from 157 crore it had incurred in the fiscal year 2022.

Its revenue from operations had surged by 29 per cent to 228.76 crore, during the same period.

Unlock a world of Benefits! From insightful newsletters to real-time stock tracking, breaking news and a personalized newsfeed – it’s all here, just a click away! Login Now!

Catch all the Corporate news and Updates on Live Mint.
Download The Mint News App to get Daily Market Updates & Live Business News.


Published: 29 Apr 2024, 02:44 PM IST