Aconex shares are getting destroyed

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Shares in Aconex are getting crushed after the construction industry software provider announced a profit downgrade due to uncertainty in the US and UK markets.

A short time ago, they were down 33% to $3.78.

The company says sales have been lower than expected during the first half in the UK and the Americas.

It downgraded full year revenue guidance to between $160 million and $165 million, down from $172 million and $180 million.

“First half sales performance in the UK and the Americas was lower than expected due to longer contract lengths and, as highlighted at our AGM, the continued impact of market uncertainty on our UK business,” says Aconex CEO Leigh Jasper.

“This has been compounded by delayed decision making in the lead up to the Presidential transition.

“The operating performance of the business remains solid, as highlighted by our seasonally improved cash result. We will continue to invest in product and sales and marketing to capitalise on the large global market opportunity ahead of us.”

Aconex is due to release its full first half results on February 21.

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