Icon shares plunge after sales warning
Published 28/07/2010 | 05:00
SHARES in clinical testing group Icon plunged in New York yesterday after the company warned sales will be at the lower end of guidance given by the company just five months ago.
Icon shares fell as much as $2.60, or 9.4pc, to $25.09 during morning trade after the company's comments and second-quarter results.
"Overall, we are pleased with our second quarter," said chief executive Peter Gray. "However, we are not expecting revenue growth to respond quickly to these awards, and as a result we now anticipate that the outcome for 2010 will be at the lower end of the guidance range given in February."
The clinical testing company, based in Leopardstown in Dublin, made the comments after eking out a 2pc increase in the second quarter as it won more business.
Sales rose to $224m (€172m), a 2pc increase on the same quarter last year. Earnings per cent stayed steady at 38 cents while net cash rose to $221m (€170m) from $194m (€149m) at year end.
Icon employs 7,500 people in 39 countries.