Motivcom Shares Fall After Revenue Delay

By Rory Gallivan

LONDON--Shares in events manager and customer loyalty card provider Motivcom PLC (MCM.LN) fell after it said first half trading will miss expectations due to some revenue being delayed until the second half.

"The board views this matter mainly as a timing issue," the company, which organizes events for product launches and provides voucher services to retailers including Amazon.com Inc. (AMZN), said.

Broker Numis said it believes the delay in spending is due to clients delaying their spending until after the soccer World Cup.

"The group has had a satisfactory intake of orders in events & sales promotions, but due to phasing the

delivery of work will be heavily weighted into H2," Numis said.

"This enables clients to avoid the heavy marketing and promotion around the World Cup."

Motivcom said it continues to remain cautiously optimistic about the group's prospects.

The company reported a pretax profit of 2.8 million pounds ($4.8 million) in 2013, up from GBP2.5 million the previous year despite revenue falling to GBP96 million from GBP106.6 million as it cut costs.

Shares at 1105 GMT traded down 20 pence, or 15%, at 116 pence valuing the company at GBP31.4 million.

Write to Rory Gallivan at [e-mail]; Twitter: @RoryGallivan

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