Replies to post #124462 on Biotech Values

[vinmantoo]

That is spot on!

[iwfal]

DNDN -

No biotech company lays off manufacturing staff to resolve a temporary issue with reimbursement, cash flow, or cash density.

Why not - companies in general do it all the time. E.g. in a recession the growth of companies is interrupted for 12 months and companies lay-off even though they know it is very likely they will have to rehire in 12 to 18 months. This would be even more true if, for instance, a company knew that they would need their cash flow to finance customers.