23rd Jan 2009 07:00
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FOR IMMEDIATE RELEASE |
23 January 2009 |
eg solutions plc
PERIOD END TRADING UPDATE
eg solutions plc ("eg solutions" or "the Company"; LSE-AIM: EGS), the business software application vendor, is issuing an update on trading ahead of the end of its financial year on 31 January 2009.
At the time of reporting the half-yearly results in September 2008, the Company noted that current trading was in line with management expectations. The Company also expressed its belief that 'spend to save' projects incorporating eg solutions' software applications would attract continued investment as the financial services sector seeks to reduce its cost base.
However, as a result of the well publicised issues affecting the financial services sector, decision times on new projects have lengthened during the past three months. Sales which had been expected to close during the current financial year will now be delayed beyond the year-end. As a result, revenue for the year to 31 January 2009 is expected to be below market expectations, resulting in a loss before tax, although this is expected to be lower than that incurred in the year to 31 January 2008. The final result will depend on the outcome of a number of customer contract negotiations which are in the process of being finalised.
Currently the Company's pipeline of potential sales is stronger than at any time in the past 24 months and the delayed contracts are expected to contribute towards an improved performance in the first half of the next financial year when compared with the same period of the previous year.
The Company expects to announce its final results for the year in late March 2009 in accordance with its usual timetable.
Ends
CONTACTS
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eg solutions plc |
01785-715772 |
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Elizabeth Gooch, Chief Executive Officer |
www.eguk.co.uk |
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Violetta Parylo, Finance Director |
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Bankside |
020-7367-8888 |
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Steve Liebmann, Simon Bloomfield or Andy Harris |
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Brewin Dolphin Ltd (Nominated Adviser) |
0845-213-4748 |
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Mark Brady, Director Corporate Finance |
About eg solutions plc
eg solutions plc is a global business software application vendor. Our software provides historic, real-time and predictive Operational MI. When implemented with our training programme for managers and team leaders to use this intelligence, we guarantee improvements in operational results in short timescales.
The Company, which is listed on the Alternative Investment Market ('AIM') of the London Stock Exchange, is committed to customer satisfaction and the ongoing development of its operations management solutions.
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eg Solutions PLC