LONDON (ShareCast) - Struggling data storage hardware group Plasmon was in trouble again on news of plunging sales and a need to secure additional financing.
The firm has cut full year sales forecasts after first quarter sales came in 20% lower than expected. Its shares, which traded just shy of 50p a year ago, crumbled almost 60% Friday to just 1.2p.
“Legacy and component products have declined faster than anticipated and the sales cycle for new Archive Solutions is proving longer than anticipated,” according to a statement.
It appears that customers have been deferring capital expenditure on the solutions offered by Plasmon due to market and financial uncertainty.
Shares in bookmakers' software provider Alphameric rallied after its joint venture Amalgamated Racing and its shareholders won a case brought against them by bookmakers including Ladbrokes and William Hill.
AMRAC and its shareholders will be seeking an order for costs, the group added.
“All of us at Alphameric are delighted with this judgment. Importantly, it allows AMRAC to continue to develop and improve its business, while we also believe that Alphameric's Leisure division, which had been adversely impacted by this litigation, can return to profitable growth and, over time, regain lost momentum,” said chief executive Alan Morcombe.
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