Logistic software maker Pennant International PLC said its full-year performance will be hit by software sales that were expected to be booked in the final quarter being delayed until the next financial year and that it is cutting staff to reduce costs.
The revenue shortfall is caused by unforeseen delays in £240,000 worth of software licences and updates sales, the group said in a trading statement, and results for the year to end-December will be significantly below expectations.
In the light of the current economic outlook, it has reviewed staffing levels and has implemented a rationalisation plan at a cost of £150,000 to reduce annualised costs by at least £350,000 in 2009.
“It is anticipated that customers will, inevitably, be looking carefully at their spending and this may impact the flow of new orders and the outturn for 2009,” Pennant warned.