LONDON (Alliance News) - EU Supply PLC saw its shares drop in early trade on Tuesday after it said delays to the roll out of a Danish housing project would result in a portion of revenue from the project being pushed into next year.
Shares in the company dropped 14% to 22.00 pence, making it one of the worst performers in the AIM All-Share index, after it said around GBP200,000 in revenue originally pencilled in for 2014 will be shifted to 2015.
The delayed revenue is result of the slower-than-expected roll out of its project in the Danish public housing sector. Though it said it has reached significant milestones on the project, the delays on the rollout will contribute to the revenue being pushed into next year.
The problem has also been caused by the late implementation of its contract with the Norwegian Refugee Council.
"While it is frustrating to report that certain contracts and implementations that we have been working on have been delayed into early next year, it is important to note that none of the contracts has been lost. It is pleasing that we continue to close mid and small sized contracts thereby widening our source of recurring revenue," said Thomas Beergrehn, chief executive officer of EU Supply.
By Sam Unsted; samunsted@alliancenews.com; @SamUAtAlliance
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