Geometric Software cuts profit guidance

By agencies   |   Monday, 13 June 2005, 19:30 IST
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MUMBAI: Geometric Software Solutions Co. Ltd. said on Monday it had cut its revenue and profit guidance for the year ending March 2006 by 5-8 percentage points due to delays in several projects in the first quarter. The company had earlier projected 40-45 percent growth in operating revenue and 45-50 percent growth in net profit for the year. Geometric's shares fell by 6 percent to Rs 535 at the Bombay Stock Exchange, whose benchmark index was down 0.3 percent. "Unfortunately the commencement date of several projects has been shifted to the next quarter," the company said in a notice to the stock exchange. "The effect of this has been compounded by a delay in completing a major fixed price project, making it ineligible for revenue recognition," it said. The company, however, said the current quarter was an aberration and it expected growth in the next quarter as many projects were due to start soon.