Nov 26 SDL Plc said its full-year profit
could fall short of market expectations by as much as 4 million
pounds ($6.4 million), partly due to the translation software
company reassessing the cost to complete certain service
SDL said poor sales and marketing execution, coupled with
the broader uncertainty in the macro-economic environment, would
also hurt profit.
The company, which provides translation services for
multinationals such as Hewlett-Packard Co and
Informatica Corp, now expects profit before tax and
amortization of about 36 million to 37 million pounds on revenue
of 270 million to 272 million pounds for the year ending Dec.
According to Thomson Reuters I/B/E/S, analysts expect a
pretax profit of 39.7 million pounds on revenue of 271.1 million
The profit warning comes following a review of the business
by interim Chief Executive Mark Lancaster who took over earlier
this month after former CEO John Hunter's departure.
Shares in the company were down 9 percent at 465.36 pence at
0807 GMT on the London Stock Exchange. They have lost 23 percent
of their value so far this year as of Friday's close.