Cerillion (LSE:CER) said it expects full-year revenue and earnings to be below current market expectations following delays and deferrals affecting orders from new and existing customers.
The company now expects full-year revenue of between £46 million and £48 million, with an adjusted EBITDA margin of between 43% and 45%.
Both measures are below current consensus forecasts, while the expected adjusted EBITDA margin is also below the level recorded in the previous financial year.
Licence Expansions and Upgrades Deferred
Cerillion said the expected shortfall primarily reflects the postponement of software licence expansions and upgrades rather than problems with the delivery of existing projects.
The company reported a strong performance during the second half and said major customer implementations remain in progress.
Transformation projects involving UCom and Omantel are continuing, with key elements of the work approaching completion.
Backlog and New Business Pipeline Remain
Cerillion said it continues to have a strong order backlog and new business pipeline, alongside what it described as a robust balance sheet.
The company is due to provide further information on its financial performance when it publishes full-year results at the end of November.
Cerillion is a London-headquartered provider of billing, charging and customer relationship management software, primarily for telecommunications companies. It has approximately 70 customer installations across around 45 countries, with operations in India and Bulgaria and sales activities across Europe, the US, Singapore and Australia.
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