Subex Azure tanks 16%
Active Stock: Subex Azure tanks 16% Shares of Subex Azzure plunged more than 16% after it lowered its guidance for FY`08. The shares are currently trading down Rs 82.45, or 16.18%, at Rs 427.15. A total of 235,287 shares have changed hands at the BSE. (12.14 p.m, Monday) The revision in guidance is because a key customer in North America has notified the company the postponement of its near term capex commitments. Consequently, some of the contracts that the company was to book from this key customer and recognize during the third and fourth quarters of FY08 will be postponed. >Subex Azure now expects revenue of Rs 5,200 million (USD 130 million) and profit after tax of Rs 1,040 million (USD 26 million) from its products business. The revenue split amongst RMS, BT and FAS BUs will now be Rs 2,720 million, Rs 880 million and Rs 1,600 million respectively. The company has recognized Rs 1,000 million in revenue for Q1 and the current backlog to be recognized during the balance of FY08 is Rs 2,600 million. The scrip has fallen 23.70% over the week and 20.41% over the month.
