Spectris PLC (LSE:SXS) was the biggest FTSE 350 faller on Wednesday after a profit warning from the instrument and controls maker.
An unscheduled trading update revealed that software implementation issues plus weaker demand from China and the electric vehicles industry had hit its laboratory instrument subsidiary, Malvern Panalytical, impacting sales and profit by around £10 million and £15 million respectively in the first half.
The software issues came from rolling out a new enterprise resource planning (ERP) system.
Malvern was also hit by weaker demand in China, a "significant reduction" in battery development associated with a general slowdown in sales of electric vehicles, and continued subdued trading from the pharmaceuticals sector.
Trading across other businesses is in line with expectations but adjusted operating profit for the full year is now expected to be around the bottom end of analyst forecasts, which currently range from £232 million to £259 million.
"Although we expect a recovery in 2H, there is a risk that this may not materialise," said broker Peel Hunt.
"Given the current trading environment... a recovery in 2H seems unlikely."
In a separate development, CFO Derek Harding is to now to oversee Spectris Scientific, with Angela Noon, the current CFO of Royal Mail, set to replace him.
"We intend to rework our numbers post the call, but it’s clear that the company is currently running behind its revenue and margin targets.