LONDON (Alliance News) - Starcom PLC on Friday said 2018 adjusted earnings will be below forecast due to further delays in the delivery of a USD1.1 million order to a local North African distributor.
The company, which specialises in developing tracking solutions, expected payment for the order to be made by the end of the year after some initial delays. It now said the payment had been committed to be made by the end of January, meaning it will not be recognised in its financial statement for 2018.
The deal was initially signed at the beginning of November and covers the supply of a number of Helios Advanced units together with BIO CAN fuel sensors.
Despite the delay however, Starcom still expects its 2018 revenue to "slightly exceed market expectations" of USD5.9 million but earnings before interest, taxes, depreciation and amortisation are expected to be breakeven, below market forecast of USD485,000.
Starcom shares were trading down 3.6% at 1.47 pence each on Friday morning.
Star Energy (STAR)