Feeds

Logica warns on wireless profits

Management to walk plank?

  • alert
  • submit to reddit

Top 5 reasons to deploy VMware with Tegile

LogicaCMG warned yesterday that its wireless division was likely to see sales fall 10 per cent in the first half of this year and institutional investors warned the management that their days were numbered.

Logica, which provides software for sending SMS messages and for mobile billing, blamed longer procurement times for falling revenues. It said media messaging projects were more complex so sales lead-times were longer. But big shareholders were not sympathetic.

Martin Read, chief executive at Logica, said the company was making good progress with media messaging and mobile payments. But one institutional investor, speaking anonymously to the Independent, said: "The market is deeply suspicious of the company's forecasts. We are not keen on the management. We think Martin has been wildly optimistic on the messaging business and continues to cling to that." Another investor told the paper he expected to see a turnaround within a year or there would be management changes.

Sales for Logica's IT services division have been in line with expectations. Logica expects its wireless division to be profitable for the full year. Full results will be announced on 1 September. ®

Related stories

IBM, Logica spar for ?80m MoD deal
Picture messaging: Peace and love breaks out
Logica to bring MMS to land lines

Secure remote control for conventional and virtual desktops

More from The Register

next story
Ex-US Navy fighter pilot MIT prof: Drones beat humans - I should know
'Missy' Cummings on UAVs, smartcars and dying from boredom
Facebook, Apple: LADIES! Why not FREEZE your EGGS? It's on the company!
No biological clockwatching when you work in Silicon Valley
The 'fun-nification' of computer education – good idea?
Compulsory code schools, luvvies love it, but what about Maths and Physics?
Doctor Who's Flatline: Cool monsters, yes, but utterly limp subplots
We know what the Doctor does, stop going on about it already
'Cowardly, venomous trolls' threatened with TWO-YEAR sentences for menacing posts
UK government: 'Taking a stand against a baying cyber-mob'
Happiness economics is bollocks. Oh, UK.gov just adopted it? Er ...
Opportunity doesn't knock; it costs us instead
Sysadmin with EBOLA? Gartner's issued advice to debug your biz
Start hoarding cleaning supplies, analyst firm says, and assume your team will scatter
prev story

Whitepapers

Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Cloud and hybrid-cloud data protection for VMware
Learn how quick and easy it is to configure backups and perform restores for VMware environments.
Three 1TB solid state scorchers up for grabs
Big SSDs can be expensive but think big and think free because you could be the lucky winner of one of three 1TB Samsung SSD 840 EVO drives that we’re giving away worth over £300 apiece.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.