DOOR cuts 32% of workforce and exits property management unit

Latch, Inc., which rebranded as DOOR, announced a restructuring plan that includes a global workforce reduction of approximately 32% and an exit from its property management business, according to a press release issued Aug. 5, 2026.

The cuts eliminate approximately 65 roles, concentrated in contract labor in Europe, along with roughly 10% of the company's active U.S. employee base. Separations are expected to be substantially complete by the end of 2026.

Together with cost-saving measures completed earlier in 2026, the actions are expected to reduce annualized costs by approximately $10 million to $12 million. The company estimates it will incur between $1.5 million and $2.5 million in total cash restructuring and related charges, primarily for severance and benefits, with most costs expected in the third and fourth quarters of 2026.

DOOR said it is exiting its property management operations because the business has not met the company's profitability and growth expectations. The company trades on OTC Pink markets under the ticker LTCH.

"Over the past eighteen months, we have rebuilt how DOOR operates," said Dave Lillis, Chief Executive Officer of DOOR. "These actions are deliberate: they align our cost structure with our revenue base and reflect our relentless pursuit of profitability and long-term, sustainable growth."

Since completing a restatement of previously issued financial statements in 2024 and appointing a new leadership team in 2025, the company said it has reduced operating expenses. DOOR added that investments in AI-assisted software and internal tools are intended to allow a smaller engineering organization to continue development of its Building Intelligence platform.

Additional details will be filed in a Current Report on Form 8-K with the U.S. Securities and Exchange Commission. The company is headquartered in St. Louis, Missouri.

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