Photo-Me International has lost 30% of its value after issuing a profit warning.
At its half year results in December, the photo services group reported a 33% fall in underlying profits to £5.2m and forecast a second half loss. In the wake of that announcement, analysts had pencilled in losses of up to £5.5m for the full year.
Now the company says the loss will be worse than analysts' estimates. It blames disappointing sales at its Swiss wholesale lab manufacturer, exchange rates, and an increase in bad debt provisions. The market has taken the news badly, with its shares tumbling 3.25p to 7.5p.
Overall, though, a positive start on Wall Street has helped put some life into the London market, although trading volumes are still thin. With the Dow Jones Industrial Average up around 20 points in early trading after news of a rebound in pending home sales in December, the FTSE 100 is up 54.85 points at 4132.63.
