Active Risk lowers financial performance expectations for 2012 results

Risk management provider Active Risk has downgraded its financial performance expectations for the past year in light of difficult trading conditions.

"The company announces that its financial performance for the year ending March 31st 2013 is now expected to be below current market expectations," an update from the company stated.

"This reflects difficult trading conditions arising from economic uncertainty in the company's core markets and customer deferrals in signing several major contracts."

The company stated that the customer deferrals had been especially apparent in the US governmental and defence sectors as well as in the Australian mining market.

In Europe, the Middle East and Africa, however, the group reported a rosier picture in the second half of the financial year: "EMEA has been more positive and the company's performance in the second half of the financial year is expected to show a significant improvement over the first half, with trading in the third quarter showing a small profit compared to a loss of £742,000 in the first half.

"Smaller software deals are expected to be up year-on-year in line with the strategy to broaden the pipeline and reduce dependency on major deals."

Active Risk's share price was down 16.67% to 13.75p at 10:57 on Monday.

MF