April 19 (Bloomberg) -- FormPipe Software AB, a Swedish software company, fell the most in more than eight months in Stockholm trading after first-quarter net income was dragged down by higher staff costs.
The shares declined as much as 12 percent, the biggest intraday drop since Aug. 5. FormPipe traded 7.6 percent lower at 14.70 kronor as of 9:32 a.m.
FormPipe, which focuses mainly on so-called enterprise content management for the Swedish public sector, said net income declined to 2.2 million kronor ($0.3 million) from 4.9 million kronor a year earlier as sales declined 4.4 percent and staff costs increased by 10 percent. The company seeks to expand in the life science industry, tapping into its expertise in environments with high regulatory demands and taking advantage of regulations being similar globally, FormPipe said.
“The company’s two main segments are seen relatively unaffected by economic fluctuations,” FormPipe said today in a statement. The company said its board considers acquisitions “as a good complement to organic growth.”
Sales declined to 28.1 million kronor from 29.4 million kronor.
To contact the reporter on this story: Janina Pfalzer in Stockholm at firstname.lastname@example.org.
To contact the editor responsible for this story: Christian Wienberg at email@example.com.