Financial Objects' losses - and revenues - below expectations

Financial Objects' losses - and revenues - below expectations

London-based banking software house Financial Objects is forecasting lower revenues and lower than expected losses for the year ending 2002.

In a statement, the company confirms that trading is "broadly in line" with market expectations.

"In spite of the fact that revenues are expected to come in below current forecasts, the loss before taxation, goodwill amortisation and exceptional items, is likely to be marginally lower than expected," says the vendor.

The company moved to cut costs afer reporting £1.1 million in losses and a 22% fall in revenues for the first six months of 2002. The exercise is expected to produce annual savings of some £2.5m, strengthening the prospects for a return to profitability next year.

The firm says it remains cautious on outlook, but is encouraged by recent demand for the ActiveBank product, which secured two new clients in December, including a substantial, long-term agreement with African Bank in South Africa and with the Monetary Authority of Macau.

Financial Objects is also taking comfort from a strengthening in the order book to approximately £10 million, which the company expects to see coming through in 2003.

On the personnel front, the company has announced the departure of founding partner and finance director David Gutteridge for "personal reasons". He is to be replaced by financial controller David Garston.

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