Dassault cuts 2009 sales guidance; shares fall

LONDON, Oct 29 (Reuters) - Software maker Dassault Systemes (DAST.PA) cut its full-year sales guidance after what it called a "challenging" third quarter, sending its shares down 2 percent on Thursday.

A day after German software giant SAP (SAPG.DE) cut its sales outlook, Dassault said it now expected to reach full-year revenues of about 1.24 billion to 1.27 billion euros ($1.83 billion to $1.87 billion), 10 billion euros below its former target range.

Shares in the French company fell 2 percent. By 1005 GMT, they had partly recovered to trade down 0.6 percent at 39.74 euros, underperforming a 0.6 percent stronger European technology index .SX8P.

UBS said in a note Dassault's 12 percent third-quarter sales drop was shy of consensus, and noted it was also helped by currency effects.

Dassault is a leader in three-dimensional computer design software that helps industrial companies manage products through their lifecycle from conception to recycling.

The company said it was ahead of its cost-saving plans and would exceed its full-year savings target.

($1=.6785 Euro)

(Reporting by Georgina Prodhan; editing by Simon Jessop)

((georgina.prodhan@thomsonreuters.com; +4420 7542 7954; Reuters Messaging georgina.prodhan.reuters.com@reuters.net)) Keywords: DASSAULT/

(C) Reuters 2009. All rights reserved. Republication or redistribution ofReuters content, including by caching, framing or similar means, is expresslyprohibited without the prior written consent of Reuters. Reuters and the Reuterssphere logo are registered trademarks and trademarks of the Reuters group ofcompanies around the world.nLT267633