Enterprise mobile computing supplier Psion has warned that falling demand in the US, as well as the weak dollar, is likely to leave revenue for the full year only modestly ahead of the 190.6m pounds ($392.6m) achieved in 2006.
Analysts originally forecast that full-year sales would show a 12.8% rise to 222m pounds ($456.9m).
In August Psion said the outcome for the year would be satisfactory provided its North American expectations are met. It now says that in common with its competitors, business in the Americas continues to see slower demand, especially from transportation and logistics customers. However, it said several large North American contracts, which had been delayed from the first half of the year, were signed in the second half.
The market continues to see purchasing decisions being delayed in the face of ongoing economic uncertainty, it said. Psion said full-year revenue from the Americas is now expected to be around 8% below last year’s $135m. But when this is converted into pounds sterling, reported revenues from the region are expected to show a decline of 15%.
In EMEA, which accounts for two-thirds of group revenues, it said sales are continuing to grow satisfactorily, and it has performed strongly in Asia.
Psion chief executive Jacky Lecuivre said that despite the weakness in demand from North America, the company is pleased with the response of customers to its new products and satisfied with the overall level of order intake in the current environment, as well as ongoing cost improvements.