NCC Group PLC (LSE:NCC) took a tumble as it warned it had seen a ‘lengthening’ of the sales process especially in its cyber business compared to six months ago.
Guidance of the year ahead is now “flat to low” single-digit revenue growth and “modest” underlying profit (Group Adjusted EBITDA) gains, said the software specialist.
NCC also posted an operating loss of £19.2 million in the sixteen months to 30 September 2024, though in the last four months was in the black.
Mike Maddison, chief executive, said: Cyber Security business returned to growth in the second half to May 2024, with improved sources of recurring revenue with Managed Services performing well, and our Escode business building a track record of growth.
“We are pleased to see this strategic progress coming through in improved gross margin and Adjusted EBITDA - a key priority for the group.”
Shares fell 14% to 139.8p.