MoPowered shares hit by revenue warning after client wins disappoint
Shares in Mopowered Group tumbled on Monday after the group warned its full-year revenues would be lower than market expectations of £1.6m due to fewer than anticipated client wins.
The size of the contract for the new customers has also been somewhat lower than predicted.
"Accordingly, based on these factors and a delay in certain project revenues coming through, the revenue for the second half and therefore the year as a whole is expected to be lower than the market expectation of £1.6m," the software-as-a-service firm said.
As a result, it has identified "significant" further cost savings, which it is in the process of implementing to control cost and conserve cash.
The group said it was in the final stages of development of a "major new product release". A trial site for the product has demonstrated improved revenue-generation metrics for the company's clients and the directors believe the new technology will also deliver faster on-boarding times.
Initial feedback from clients has been positive, it said.
Mopowered has also appointed a new finance director with immediate effect.
Richard Gordon has held various senior finance roles having been finance director at both Broadcastle and Rubicon Software Group.
Shares had dropped 28.45% to 5.19p by 11:03.