Fingerprint Slumps After Cutting Sales Forecast: Stockholm Mover
Fingerprint Cards AB (FINGB), a Swedish maker of biometric security solutions, fell the most in almost four months in Stockholm trading after the company cut this year’s sales forecast due to project delays.
The shares fell as much as 18 percent, to 35.60 kronor, their steepest intraday decline since April 8 and the lowest price since June 3. The stock fell 4.6 percent as of 10:02 a.m. local time, valuing the company at 2.1 billion kronor ($314 million). So far this year, the shares have gained 243 percent.
Fingerprint Cards now anticipates sales of between 80 million kronor and 110 million kronor this year, down from a previous forecast of between 130 million kronor and 190 million kronor, the Gothenburg-based company said in a statement today. The lower sales in combination with higher costs related to an accelerated recruitment of new employees, will lead to a net loss for the full year, it said.
“There are two main reasons for the change in the sales forecast,” it said. “One is the delay of a couple of major projects involving FPC’s swipe-sensor technology, from the latter half of 2013 to the first half of 2014. The other is that several of FPC’s OEM customers have chosen to evaluate the area sensor as an alternative to the swipe sensor, which is delaying the launch of these projects by six to 12 months.”
Fingerprint Cards said that the “conditions for achieving healthy profitability in 2014 are excellent.”
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