Helsinki, Finland, 2011-02-14 08:45 CET (GLOBE NEWSWIRE) --
Ixonos Plc Stock Exchange Release 14 February 2011 at 09:45
IXONOS SPECIFIES NEAR-FUTURE UNCERTAINTY FACTORS AND FUTURE PROSPECTS
On 11 February 2011 Nokia Corporation announced its new strategy, which includes the plan to adopt Windows Phone as Nokia’s principal smartphone strategy. Ixonos Plc has provided R&D and software development services to Nokia for the S40, Symbian and MeeGo product platforms that are currently in use.
Ixonos’ knowledge of the effects of Nokia’s new strategy on the services that Nokia purchases from Ixonos is for now limited to information that Nokia has announced in public.
Changes in the major customer’s strategy may have an adverse effect on the Ixonos Group’s Mobile Terminals & Software and Media & Communities business areas, and thereby on the Group’s operations, earning power and financial status. Should a major customer substantially and quickly reduce its services purchase volumes, Ixonos Group would have limited ability to increase, in the short term, new customer volume to compensate for the change, even though Ixonos has the capabilities to offer R&D and software development services also for other platforms than those Nokia is currently using, such as for Windows Phone and Android.
On 10 February 2011 Ixonos stated in its financial statement release for the financial period 2010 as follows: “Turnover for the entire year 2011 is predicted clearly to exceed that of the previous year. Operating profit for the entire year is expected clearly to exceed the operating profit for the previous year.” Should a major customer substantially and quickly reduce its services purchase volumes in 2011, it would be unlikely that the predictions about the increase in turnover and operating profit would realize.
Ixonos will specify the near-future uncertainty factors and future prospects for 2011 immediately after acquiring more information about the effects of the major customer’s strategy changes on the company’s operations.
IXONOS PLC
Board of Directors
For more information, please contact:
Ixonos Plc, Kari Happonen, CEO, tel. +358 400 700 761, kari.happonen@ixonos.com
Distribution:
NASDAQ OMX Helsinki
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