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LogicaCMG Warns of Wireless Revenue Shortfall.(wireless networks division revenue forecast)(Brief Article)
IT services provider LogicaCMG Plc has warned revenue from its Wireless Networks division is likely to fall short of expectations in the first half of 2004 because it is taking longer for the company to convert new orders into revenue.
London, UK-based LogicaCMG said that although it remains on target in its core IT services business with strong growth in the UK government and telecoms sectors, sales at its Wireless Networks division are expected to fall 10% in the first half of 2004 compared to the year-ago period.
"A higher proportion of the orders we are winning have longer delivery schedules and a more substantial solutions and hardware component which extends revenue recognition," the company said in a statement. It also said that the higher hardware element in its recent orders would cause the company to incur a loss in the half-year period.
This is a big setback for LogicaCMG, which restored the Wireless Networks ...
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Source: HighBeam Research, LogicaCMG Warns of Wireless Revenue Shortfall.(wireless networks...