Ticketing software specialist accesso Technology Group PLC (LON: ACSO) says it expects the cost of its new unified product strategy will be lower than expected.
Lower spending on the product transition plans offset weaker than expected revenues in the six months to June.
Sales dipped by 7% to US$50.7mln, while there was a pre-tax loss of US$5mln.
Underlying profits dropped by 27% to £11mln.
In July, the company put itself up for sale after it received several bid approaches.
Paul Noland, chief executive, says accesso’s addressable market in ticketing and guest experiences is worth US$3.4bn and it is continuing to see strong demand across all its ranges.
“Going into H2 the Board is clear that we have the right strategy in place to deliver sustainable attractive organic growth in the medium term,” he added.
Accesso expects to revenues this year to come in between US$118mln – US$121mln with low to mid-single digit revenue growth in 2020-21 and a return to double-digit revenue growth from 2022 onwards.
Broker Peel Hunt reduced its price target to 1,300p following the latest results and said any potential acquirer will likely look at the potential once the re-platforming is done and cross-selling begins.
Shares eased 9% to 825p.