TRANSLATION software firm SDL saw its share price plunge nearly 30 per cent yesterday after slashing its full-year profit guidance.
The FTSE 250-listed firm said that pre-tax profits are now expected to be within the range of £15m-£20m in 2013, down from £35.5m in 2012.
Analysts had forecast a profit of around £30m this year.
SDL attributed the changed guidance to first-half licence revenues, which were below management expectations. This was due to a lack of sales and marketing investment over the past two years.
“Whilst we did not plan for investments to deliver revenue in the first half, we expected greater momentum from last year to carry into the first half of 2013,” said chief executive Mark Lancaster.