Why did Actuate's operating expenses drop sharply in Q4 2024?

Actuate's operating expenses dropped sharply in Q4 2024 due to planned initiatives to reduce operating expenses across all cost groups, with the largest declines in employee-related expenses, occupancy expense, and stock compensation expense.

1. **Employee-Related Expenses**: The decrease of $2.0 million in employee-related expenses is a significant contributor to the overall reduction in operating expenses. This suggests Actuate has implemented cost-saving measures targeting its workforce, potentially including measures such as reduced staffing, lower bonus expense, or improved employee efficiency.
2. **Occupancy Expense**: Another area where Actuate has seen a reduction of $1.1 million is in occupancy expense. This could reflect a strategic decision to optimize its physical office space, lease renegotiations, or a shift towards a more flexible or remote workforce.
3. **Stock Compensation Expense**: Actuate has also managed to reduce stock compensation expense by $1.2 million. This might indicate a reduction in the grant of equity-based incentives to employees, which can be an effective way to cut costs without impacting employee morale or retention.

These reductions in operating expenses have had a positive impact on Actuate's financial results, with the company reporting a net loss for the quarter of $16.7 million, which includes accelerated amortization of $12.3 million, compared to a net loss of $17.7 million in the prior year quarter, inclusive of non-recurring impairment charges of $12.0 million.