Lectra: Hits 2.5 yr low on profit warning

Lectra SA

30/07/2019 09:36

** Shares in France-based technology solutions Lectra
 LECS.PA  are down 9% after it has issued a profit warning
    ** The shares were down as much as 18% in the early trade,
hitting over 2.5 year low before paring some losses
    ** Co cuts its guidance for 2019, targeting now FY sales'
decline between 1% and 5% (vs previously expected growth of
3-7%)  urn:newsml:reuters.com:*:nFWN24U13L
    ** It also decreases its expectations regarding recurring
operating income, seeing now a loss between 4% and 14% at
comparable basis 
    ** "This disappointment comes mainly from the decline in
non-recurring sales (-18% at constant exchange rate over the
quarter)," Midcap Partners says and cuts the stock to "sell"
from "neutral"
    ** The brokerage also points to a decline in H1 orders for
new systems in the automotive (-25%) and in fashion (17%)

 ((RM: clement.martinot.thomsonreuters.com@reuters.net))