Petards Group plc (LON:PEG) offered good and bad news to investors Friday, anticipating 2017 results to exceed market expectations but warning that £1mln in revenues will be deferred to 2018.
The surveillance systems maker blamed the deferral on programme delays related to software functionality for its eyeTrain systems.
On the brighter side, the group expects to report 2017 revenues to be up year-on-year to £15.6mln.
Chairman Raschid Abdullah said in a statement that the group has converted £1.5mln worth of outstanding loan notes to ordinary shares. It also accepted and received at settlement of £702,000 related to a matter that originated more than 10 years ago.
“While it is disappointing that delays in the development programmes for new eyeTrain products has deferred some revenues into 2018, the group continues to trade profitably and enters 2018 with an order book of £18 million,” Abdullah said. “Over £12 million of this is scheduled for delivery in the coming year and the board remains confident of the group's future prospects."
Shares were flat at 21p in morning trading.