Morse’s problematic German and Austrian operations are likely to leave a £1m sized hole in the resellers’ full year results.
The firm had previously said that the performance of the operations had “slowed”. Today, it said the German and Austrian outfits had “experienced a more marked weighting than usual in revenue profile towards the end of the fourth quarter with an adverse effect on deliveries and hence booked revenues.”
More explicitly, April was below expectations, and while the German speaking offices have achieved a “reasonable” pipeline, it is unlikely this will all be covered by the end of this financial year.
Management said the German and Austrian operations had “less-well established service components” compared to the rest of Morse, and “we continue to be satisfied with the progress of the rest of the group.®