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The research and development consultancy, Sagentia, has issued a warning on 2012 revenues after a big project with a north American medical start-up was suspended.
Sagentia says the suspension will see revenues in the first half of 2012 coming in lower than the second six months of 2011. The group also expects revenues for full year 2012 to be below 2011.
The group's update maintains: "Actions have been taken to mitigate this event and these have been effective in enhancing operating margins. As a result for the full year, while revenue will be lower than last year, profit is anticipated to be in line with the Board's expectations."
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Investors are clearly rattled, the stock had fallen 11% by 10:18.
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Get the latest financial news, insights and expert analysis from our award-winning MoneyWeek team, to help you understand what really matters when it comes to your finances.
MoneyWeek is written by a team of experienced and award-winning journalists, plus expert columnists. As well as daily digital news and features, MoneyWeek also publishes a weekly magazine, covering investing and personal finance. From share tips, pensions, gold to practical investment tips - we provide a round-up to help you make money and keep it.
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