Transense Technologies (AIM:TRT) shares fell 15% to 48.0p after the sensing technology company said full-year revenue and profit would come in below expectations and cautioned on the timing of contract wins in the 2027 financial year.
The AIM-listed group said it expects revenue of at least £4.6 million for the year ending 30 June, with adjusted EBITDA of at least £0.5 million and adjusted pre-tax profit around break-even.
The update represents a reduction from expectations outlined in January, which the company attributed to lower-than-anticipated sales to global tyre manufacturers in its Translogik division and slower customer commitments to short-term engineering projects within SAWsense.
Royalty income from its Bridgestone iTrack technology is expected to meet expectations at not less than £2 million.
Executive chairman Nigel Rogers said the company had continued to build commercial and operational momentum, particularly within SAWsense, while progressing a number of significant opportunities across both business units.
SAWsense revenue is expected to rise to at least £1.3 million from £1.1 million last year, supported by motorsport and industrial programmes.
Translogik revenue is expected to be at least £1.3 million, slightly below the prior year's £1.3 million as weaker demand from major tyre manufacturers offset growth from new business.
Looking ahead, Transense said it remained confident in its medium-term growth prospects but was moderating expectations for the 2027 financial year because several significant commercial opportunities had yet to be converted into firm contractual commitments.
The company ended May with cash of £1.1 million and net cash of £0.7 million.
It said several customer and partnership agreements were at an advanced stage and could materially enhance performance in the coming years.
