Comino shares fall 41% on half-year profit warning
Your support helps us to tell the story
From reproductive rights to climate change to Big Tech, The Independent is on the ground when the story is developing. Whether it's investigating the financials of Elon Musk's pro-Trump PAC or producing our latest documentary, 'The A Word', which shines a light on the American women fighting for reproductive rights, we know how important it is to parse out the facts from the messaging.
At such a critical moment in US history, we need reporters on the ground. Your donation allows us to keep sending journalists to speak to both sides of the story.
The Independent is trusted by Americans across the entire political spectrum. And unlike many other quality news outlets, we choose not to lock Americans out of our reporting and analysis with paywalls. We believe quality journalism should be available to everyone, paid for by those who can afford it.
Your support makes all the difference.The software company Comino warned yesterday it would plunge into the red at the half-year stage and said full-year profits would be "significantly" lower than last year's £3.2m. Shares in company, which is based in Buckinghamshire, slumped 41 per cent to 111.5p, wiping £15m off the company's market value. At the peak of the internet bubble last year, the stock had traded as high as 821.5p.
The software company Comino warned yesterday it would plunge into the red at the half-year stage and said full-year profits would be "significantly" lower than last year's £3.2m. Shares in company, which is based in Buckinghamshire, slumped 41 per cent to 111.5p, wiping £15m off the company's market value. At the peak of the internet bubble last year, the stock had traded as high as 821.5p.
The company blamed the shortfall on a reduction in the number of local authority contract wins, saying they had simply been slower to award new contracts.
However, Comino said it thought those contracts had not been lost to competitors and that continuing negotiations would still result in "significant" new business being won.
Comino, which provides software to local government as well as the occupational pensions and social housing markets, also blamed the shortfall in profits on increased spending on developing products for the occupational pensions market.
The early completion of those products would significantly enhance its product range in a sector that it expected to grow substantially, it said.
"Comino is experiencing improved performance in its second quarter, but this will be insufficient to prevent a loss at the half year," the company reported. "The board anticipates stronger performance in the second half of the year based on its order book and prospects and expects to make a profit for the year as a whole."
Profits, however, would be significantly reduced compared with those achieved in the year ended 31 March, it added.
Nevertheless, it believed factors such as the strength of its customer base and the level of its recurring income stood it in good stead for future growth. It plans to release half-year results toward the end of November.
Join our commenting forum
Join thought-provoking conversations, follow other Independent readers and see their replies
Comments