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OMG Shares Drop 14% As It Warns Full-Year Profit Won't Meet Expectations

23rd Oct 2013 08:07

LONDON (Alliance News) - Shares in OMG PLC dropped 14% as it warned that its full-year revenues and profit would be behind market expectations, although ahead of the previous year, as US government-budget sequestration delayed the timing and shape of certain deals.

The company now expects a full-year pretax profit of GBP3.0 million, compared to market expectations of GBP3.9 million.

Although it had won significant new software deals in the period, OMG said, delays caused by the sequestration and the recent US government shutdown harmed its overall performance.

Shares in OMG were trading down 13% at 25.60 pence Wednesday morning, having dropped below 25 pence to a new 52-week low of 24.95 pence earlier in the day.

OMG is a group of companies that operate primarily in motion-capture technology and imaging software. Of its four businesses, Vicon, Yotta and 2d3 were all profitable. Its fourth business, OMG Life, also produced and shipped its first consumer product, and OMG says that feedback on the product has been positive.

By Hana Stewart-Smith; [email protected]; @HanaSSAllNews

Copyright 2013 Alliance News Limited. All Rights Reserved.


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