---
schema_version: "secwatch.filing_event.v1"
accession: "0000950170-23-063721"
form_type: "8-K"
ticker: "PDYN"
cik: "0001826681"
company_name: "Palladyne AI Corp."
filed_at: "2023-11-14T23:59:59+00:00"
generated_at: "2026-06-08T03:57:43.388128+00:00"
event_type: "other_material"
sentiment: "negative"
materiality_score: 0.9
calibrated_materiality_score: 0.9
confidence: "high"
source: SEC EDGAR
---

# Sarcos pivots to AI software, cuts 70% workforce, Q3 revenue falls 62%

## Summary
- Q3 revenue $1.8M vs $4.7M YoY; net loss $29M ($1.13/share); non-GAAP net loss $17M.
- Business pivot to AI/ML software; suspending hardware commercialization for subsea, aviation, solar.
- Reducing headcount by ~150 (70%); expects $22-24M restructuring costs in Q4 2023/Q1 2024.
- Cash, equivalents, marketable securities $55.1M; expects $39M by year-end; cash burn ~$1.6M/month in 2024.
- Already incurred $5.7M impairment in Q3 from write-down of inventory and other assets.

## SEC filing metadata
- accession: 0000950170-23-063721
- form_type: 8-K
- ticker: PDYN
- cik: 0001826681
- company_name: Palladyne AI Corp.
- filed_at: 2023-11-14T23:59:59+00:00
- event_type: other_material
- sentiment: negative
- materiality_score: 0.9
- calibrated_materiality_score: 0.9
- confidence: high
- sec_items: 2.02, 2.05, 7.01, 9.01
- EDGAR index: https://www.sec.gov/Archives/edgar/data/1826681/000095017023063721/0000950170-23-063721-index.htm
- EDGAR primary document: https://www.sec.gov/Archives/edgar/data/1826681/000095017023063721/strc-20231110.htm

## Machine-readable alternates
- HTML: https://secwatch.observer/filing/0000950170-23-063721
- JSON: https://secwatch.observer/filing/0000950170-23-063721.json
- Plain text: https://secwatch.observer/filing/0000950170-23-063721.txt

## Key facts
- Earnings Releases
  Palladyne AI Corp. reported the quarter ended September 30, 2023 results: revenue $1.8 million, net income $29.0 million or $1.13 per share, EPS $1.13 per share.
  - Period: the quarter ended September 30, 2023
  - Revenue: $1.8 million
  - Net income: $29.0 million or $1.13 per share
  - EPS: $1.13 per share
  - Result: reported results
  source text: Third quarter 2023 total revenue was $1.8 million, compared to $4.7 million during the third quarter of 2022.
  evidence_url: https://www.sec.gov/Archives/edgar/data/1826681/000095017023063721/0000950170-23-063721-index.htm
- Restructurings & Charges
  Palladyne AI Corp. announced a restructuring with charges of up to approximately $4 million affecting workforce reduction (approximately 150 employees, representing approximately 70% of the Company’s workforce).
  - Type: restructuring
  - Charge: up to approximately $4 million
  - Affected area: workforce reduction
  - Headcount: approximately 150 employees, representing approximately 70% of the Company’s workforce
  source text: On November 10, 2023, the Company’s board of directors (the “Board”) determined to pivot the Company’s business to focus on its artificial intelligence/machine learning software platform. In connection with this change in business strategy, the Company will carry out a reduction in force affecting approximately 150 employees, representing approximately 70% of the Company’s workforce. In connection with the reduction in force, the Company currently estimates it will incur up to approximately $4 million of costs
  evidence_url: https://www.sec.gov/Archives/edgar/data/1826681/000095017023063721/0000950170-23-063721-index.htm
- Restructurings & Charges
  Palladyne AI Corp. announced a restructuring with charges of $22 million to $24 million affecting restructuring including accelerated amortization of intangible and other assets.
  - Type: restructuring
  - Charge: $22 million to $24 million
  - Affected area: restructuring including accelerated amortization of intangible and other assets
  source text: The Company anticipates incurring additional charges related to the restructuring in the range of approximately $22 million to $24 million during the fourth quarter of 2023 and the first quarter of 2024, which includes the $4 million in salaries, wages, severance and benefit payments noted above. The remainder will be non-cash expenses related to expected accelerated amortization of intangible and other assets due to the strategic shift initiated during the fourth quarter.
  evidence_url: https://www.sec.gov/Archives/edgar/data/1826681/000095017023063721/0000950170-23-063721-index.htm
- Restructurings & Charges
  Palladyne AI Corp. announced a impairment with charges of $5.7 million affecting inventory and other current assets.
  - Type: impairment
  - Charge: $5.7 million
  - Affected area: inventory and other current assets
  source text: The Company has incurred impairment charges of $5.7 million during the three months ended September 30, 2023 in connection with the streamlining of the organization and business, including $5.2 million due to the write-down of inventory and $0.5 million related to the impairment of other current assets.
  evidence_url: https://www.sec.gov/Archives/edgar/data/1826681/000095017023063721/0000950170-23-063721-index.htm

This AI-assisted summary is a reading aid. Review the linked SEC EDGAR filing before relying on any specific claim.