* Forecasts FY adjusted EPS about 0.20 euros, down 23 pct
* Expects revenue of 900 mln euros, down 6.5 percent
* Shares slump 10.9 percent, hit lowest since September
(Adds quotes, details)
By Sara Webb
AMSTERDAM, Feb 11 TomTom, Europe's
largest maker of navigation devices, warned of a further decline
in earnings and revenue, citing slumping demand for its main
product - stand-alone personal sat-navs - and a tepid recovery
at best in the car market.
TomTom shares slumped 10.9 percent to 4.72 euros by 0827
GMT, having fallen as low as 4.69 euros, their lowest since
The Dutch group forecast adjusted earnings per share of
about 0.20 euros in 2014, down 23 percent from 0.26 euros in
2013 and the lowest since its stock market listing in 2005. It
said it expects revenue of 900 million euros ($1.2 billion) in
2014, down 6.5 percent.
Chief Executive Harold Goddijn told reporters 2014 would
remain tough as he expected the market for personal navigation
devices, or PNDs, to continue to decline, albeit at a slower
rate, while a recovery from car customers remains muted.
TomTom's fortunes are closely tied to those of customers
such as PSA Peugeot Citroen, Renault and
Fiat and it is trying to increase sales of its
navigation gadgets, software and services to car makers to
offset the declining popularity of its stand-alone products.
Goddijn said that after a tough year for car manufacturers
in 2013, he saw some flickers of recovery, especially in North
America, although the market in Europe remained subdued.
"2014 will be a bit easier for the car makers, but I don't
see a strong recovery. Car sales will not see the volumes we've
seen before the crisis," he told CNBC.
TomTom's fourth-quarter net profit of 3 million euros was
down 97 percent from a year ago, when it benefited from a
one-off tax gain, while quarterly revenue fell 7 percent to 268
Analysts in a poll commissioned by Reuters had forecast a
small quarterly net loss of 750,000 euros on revenue of 257
($1 = 0.7327 euros)
(Editing by Tom Pfeiffer and David Holmes)