Nexteq PLC on Thursday said trading has been hurt by ‘cross industry de-stocking, resulting in reduced order intake levels’.
The Cambridge, England-based technology solutions for manufacturers of electronic equipment cautioned: ‘In addition, while customer retention remains impressively high, we have seen certain customer product and project launches being delayed into Q1 2025, from Q4 2024, with customers opting to delay agreed new project expenditure into a new budget year.’
Nexteq now expects its 2024 performance to be between 10% and 12% below previous market expectations. The company said the prior revenue consensus was $95 million, 17% lower than $114.3 million in 2023, alongside an adjusted pretax profit consensus of $9.4 million, 36% lower than $14.7 million in 2023.
Duncan Faithfull, who was appointed as chief executive officer, in August, said: ‘Whilst it is disappointing to have customer projects extended beyond the company’s financial period end, we remain laser focused on delivering to our customers high quality, innovative new products together with outstanding levels of service - the foundations of our market leading reputation.’
Further, Nexteq named Matt Staight as its new chief financial officer, succeeding Johan Olivier who steps down from the position on Thursday.
Olivier’s departure was announced in July, in an update in which Nexteq also said Francis Small and Jon Jayal, chair & chief executive at time, also would depart.
Nexteq shares fell 17% to 74.05 pence each on Thursday afternoon in London.
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