LONDON (ShareCast) - (Sharecast News) - Transport management software provider Microlise warned on Monday that full‑year revenues will fall short of market expectations after weaker trading across key markets, prompting it to introduce cost‑saving measures.
Microlise now expects 2025 revenues of "not less than £84m", representing growth of around 4% on last year but below earlier forecasts, while profits for next year were also expected to come in lower than anticipated.

In response, Microlise approved a package of savings aimed at delivering at least £4m in annualised efficiencies, including a 10% reduction in headcount. The move will result in an exceptional charge of about £1.5m, largely tied to severance costs.

Microlise said the revised outlook reflected a sharp drop in order volumes from global OEM customers in the automotive and construction sectors, citing tariff‑related disruption and wider macroeconomic weakness. OEM revenue was now forecast to account for around 27% of FY25 turnover, down from 33% in FY24, with further declines expected in FY26.

The AIM-listed firm also noted that direct UK customer sales have been softer, with delays across several projects, including a major deployment for a British multinational retailer hit by a cyber‑attack, pushing revenue recognition into FY26.

Despite the challenges, Microlise said Asia‑Pacific continued to perform strongly, supported by the full rollout of its £10.6m, five‑year contract with WooliesX in Australia, noting that recurring revenue remained resilient, with FY25 annualised ARR expected to rise 4.5% to £59.1m.

As of 0945 GMT, Microlise shares had sunk 27.14% to 101.63p.





Reporting by Iain Gilbert at Sharecast.com

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