UPDATE 2-Manhattan Associates slashes Q1 view, shares tank

jueves 2 de abril de 2009 20:12 CEST
 

* Q1 adj EPS view $0.05-$0.07

* Sees Q1 licensing rev $4 mln-$5 mln

* Shares fall nearly 20 pct (Updates share movement; adds analyst comments, background, byline)

By Mansi Dutta

BANGALORE, April 2 (Reuters) - Manhattan Associates Inc (MANH.O: Cotización), which develops supply chain management software, slashed its first-quarter earnings outlook as customers cut back on IT spending amid the global credit crunch.

Shares of the company fell nearly 20 percent to touch a low of $14.00 on Nasdaq.

Mid-sized licensing deals, which are the company's bread-and-butter business, continued their decline this quarter as well, analyst Terry Tillman of Raymond James said.

"I think you are going to see more downside pre-announcements in the application space... Manhattan is just going to be the first," analyst Mark Schappel at The Benchmark Co said.

Retail companies are not embarking upon major aggressive new applications, while manufacturers and various other industry segments too are cutting back on IT spending, he added.   Continuación...