Trading Update
FY24 revenue now expected below previous guidance; significant order rescheduled to 2025.
vs expectations: below
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Outlook for 2025 unchanged
Touchstar plc (AIM: TST), suppliers of mobile data computing solutions and managed services to a variety of industrial sectors, announces a trading update for the year ended 31 December 2024 ("FY24").
The interim results announced on 26 September 2024 indicated that the trading for FY24 would be second half weighted but that management believed the outturn would be in line with expectations. As has been previously reported customers have returned to more of a "just in time" behaviour rather than a more aggressive order placement strategy and implementation. In addition, orders are taking longer to convert and a significant order due to be delivered in 2024 has now been rescheduled for rollout in 2025.
Management now consider that the revenue for FY24 will below their previous expectation and will be broadly similar to the first half with a consequential impact on profits for the year. The second half is still expected to be strongly cash generative. Management's expectations for trading in FY 2025 remain unchanged.
The Board is disappointed with this development but remains confident in the value and potential of the business. The strategic review announced on 26 September 2024 continues and shareholders will be updated on progress when appropriate.
Cleaned text: letterheads, contacts and legal notices removed. View the original announcement ↗ · Company filings. Not investment advice.