A Medical Device Daily

Dynatronics (Salt Lake City) reported that it has completed measures designed to reduce expenses by an estimated $1.9 million annually.

These cost savings, it said, were achieved primarily by a reduction of about 20% (about 29 employees) of the company's 144-person workforce and the elimination of "duplicative overhead expense."

The company said that many of these reductions had been contemplated following the acquisition and assimilation of six distributors last summer. Since that time, the company said it has consolidated operations from eight distribution points to three.

"Reductions of this kind are never easy, but they were part of our assimilation plan going into the acquisitions," said Kelvyn Cullimore Jr., president/chairman. "It has taken a little longer than expected, but eliminating redundant positions and streamlining key processes will allow us to maximize the synergies of the combined operations and realize the savings we had anticipated in making these acquisitions."

All expense reductions were completed prior to March 31, the end of the company's fiscal third quarter. "The fact that we completed these reductions in the third quarter and recently introduced four exciting new products positions us well for the fourth quarter and beyond," Cullimore said.

Dynatronics makes devices, orthopedic soft goods and supplies, treatment tables and rehabilitation equipment for the physical therapy, pain management, sports medicine, chiropractic, podiatry, plastic surgery, dermatology and other related medical, cosmetic and aesthetic markets.