Accesso Technology dives after swinging to interim loss

(Sharecast News) - Shares in Accesso Technology slid on Wednesday as it swung to a loss after revenue dropped below management expectations due to slower than expected scaling within distribution.
The leisure and entertainment ticketing technology provider recorded a loss before tax of $5.0m for the six months ended 30 June, compared with a profit of $1.4m for the same period last year, as revenue dropped by 7% to $50.7m.

The AIM traded company said that its sales came in below management's expectations following slower than expected scaling within distribution despite progress signing agreements with key Accesso Passport clients.

Administrative expenses also weighed, rising by 13% to $42.4m on the back of an increase in headcount and salaries.

Accesso also announced that its formal sale process was still ongoing, with the company having held management presentations with a number of interested parties and feedback expected by the end of September.

The company put itself up for sale at the end of July following approaches from multiple bidders.

Paul Noland, chief executive of Accesso, said: "Going into H2 the board is clear that we have the right strategy in place to deliver sustainable attractive organic growth in the medium term, while focusing on the reorganisation of our technology development teams, operating efficiency opportunities and redefining our go-to-market strategy."

Management added that full-year revenue is now expected to come in between $118m and $121m, followed by low to mid-single digit revenue growth in 2020-21 and a return to double-digit revenue growth from 2022 onwards.

Accesso Technology shares were down 12.09% at 800.00p at 1131 BST.