Micro Focus share price nosedives as group warns on revenue

19 March, 2018, 15:11 | Author: Regina Silva
  • Micro Focus acquired Hewlett Packard Enterprise Software but is having trouble integrating the businesses

The company, however, moved to reassure investors that the impact on its adjusted earnings before interest, taxes, depreciation and amortisation was expected to be mitigated by the progress made in the cost reduction programme which was now tracking ahead of schedule.

Shares in the UK's biggest technology firm, Micro Focus International, have plunged after it warned of a sharper than expected fall in revenues and its chief executive resigned. Micro Focus is now expecting revenue over the twelve months to October 31 to fall between 6 percent and 9 percent, compared to previous guidance of a drop of 2 percent to 4 percent.

The FTSE 100 group said revenues were declining more sharply than expected, thanks to problems stemming from its £6.6bn acquisition past year of the software arm of Hewlett Packard.

Chris Hsu joined from HPE after the deal completed in September but is now leaving with immediate effect, "to spend more time with his family and pursue another opportunity".

It said on Monday it had had issues with the implementation of a new IT system which had affected the running of its sales team, particularly in North America.

Jacqueline Fernandez sizzles in Ek Do Teen from Baaghi 2
There is a part in the song where a few men take Jacqueline's jacket off to unveil her dress while she unzips it. I know I would never be able to match up to Madhuri Dixit, that's not something that I'm even going to attempt.

Iran warns United States against withdrawing from n
Trump has before dismissed the deal as "the worst and most one-sided transaction Washington has ever entered into". Getting the sanctions imposed would require unanimous European Union approval.

Prominent SC politicians warn Trump not to fire Mueller, or else
It is also examining Russian meddling with the USA democratic process and interfering with the 2016 election. In an interview with " Fox News Sunday ", Gowdy said he disagrees. "I'm not sure the House can do a lot".

Stephen Murdoch, now Micro Focus chief operating officer, becomes chief executive and rejoins the board. Analysts were expecting a 38% adjusted EBITDA margin.

"We remain confident in Micro Focus' strategy whilst recognising that operational issues have led to a disappointing short term performance and outlook", said executive chairman Kevin Loosemore. "We believe that Micro Focus is well positioned to help our customers with the increasing pace of change across their hybrid IT environments and to deliver customer centred innovation". That compares to consensus forecasts for revenues of US$4.2bn and EBITDA of US$1.6bn.

The FTSE 100 company, which manages older software for customers including banks and airlines, also reported lower than expected licence income, wiping 4.6 billion pounds ($6.4 billion) off its market value in a matter of hours.

Micro Focus has seen its shares collapse and CEO depart after it issued a sales warning to investors this morning.

It blamed "one-off" effects from the Hewlett Packard deal but said that the "fundamental thesis" of the acquisition was still sound.


  • Madhuri Dixit to fill in for Sridevi in Karan Johar's next

    Madhuri Dixit to fill in for Sridevi in Karan Johar's next

    Reportedly, 21-year-old Janhvi has shot for the Vogue cover early in the morning at Mumbai's Dome Intercontinental Marine Drive. However, her sudden demise in Dubai left the country shell-shocked leaving a hollow void in the industry.
    Chinese Premier Li Keqiang appointed to second 5-year term

    Chinese Premier Li Keqiang appointed to second 5-year term

    Li is the second ranking leader in China after President Xi Jinping who has emerged as the most powerful leader after Mao Zedong. Li Keqiang has been the country's premier since 2013, when he took over from Wen Jiabao.
    Jets sign QB Bridgewater to deal

    Jets sign QB Bridgewater to deal

    The flurry of activity comes as the Jets look to improve on two straight 5-11 seasons and try to end a seven-year playoff drought. The Jets and Colts engaged in a blockbuster deal on Saturday morning, with NY moving up to the number three pick in the draft.
  • Alves' late strike sends PSG 17 points clear in Ligue 1

    Alves' late strike sends PSG 17 points clear in Ligue 1

    Their best performance remains reaching the quarter-finals stage which they've managed in four of the previous six seasons. Balotelli hit the woodwork for a second time before Alves headed in from Adrien Rabiot's cross to secure PSG's victory.
    Google: Android Wear gets new name

    Google: Android Wear gets new name

    However the upcoming Android 9.0 aka Android P - Android Pineapple Pie or whatever it will be called - won't support these apps. Recently, Apple too mandated developers to update their apps to 64-bit if they want the apps to remain on its Play Store.
    Putin calls United Kingdom  accusations over ex-spy poisoning 'nonsense'

    Putin calls United Kingdom accusations over ex-spy poisoning 'nonsense'

    Asked whether Moscow would expel United Kingdom diplomats, Russia's foreign minister Sergei Lavrov said: "Of course we will". Foreign minister Sergei Lavrov has denounced the British accusations as "absolutely rude, unsubstantiated and baseless".
  • Third IndiGo Neo Aircraft Grounded in Last 24 Hours

    Third IndiGo Neo Aircraft Grounded in Last 24 Hours

    The setback also comes at a time when IndiGo plans to seek permission from the government to fly long-haul worldwide flights. The latest flight to be grounded, 6E 559, was set to fly to Srinagar from Jammu when fuel leakage was spotted from engine 1.
    Korean Park In-bee captures 19th career LPGA title in Phoenix

    Korean Park In-bee captures 19th career LPGA title in Phoenix

    Park closed with a 5-under 67 for her 19th LPGA Tour victory and first in a little over a year. It's going to drop at some point, ' " Park said. "Pleasure to play with her".
    US trade associations urge Trump not to impose tariffs on China

    US trade associations urge Trump not to impose tariffs on China

    The agency said it anticipates that it would receive about 4,500 requests from United States businesses seeking tariff exemptions. Rather, the U.S. "should work with like-minded partners to address common concerns with China's trade and investment policies".
  • Bangla plane crash victims' 23 bodies arrive in Dhaka

    Bangla plane crash victims' 23 bodies arrive in Dhaka

    A first namaz-e-janaza was held there from 9:00am to 10:00am, an official at the mission in Kathmundu told The Daily Star. Rajeev Manandhar said Wednesday that seven were in stable condition and three in critical condition.
    Aggies rally for win: Carter's 37 leads Texas A&M to comeback

    Aggies rally for win: Carter's 37 leads Texas A&M to comeback

    Any commercial use or distribution without the express written consent of STATS LLC and Associated Press is strictly prohibited. I wouldn't have believed it if I hadn't been there watching it. "Y'all get three more years of that, so y'all better enjoy it".
    Race 3 look: 'Sikander' Salman Khan chooses 'selfess over selfish'

    Race 3 look: 'Sikander' Salman Khan chooses 'selfess over selfish'

    Recently Salman Khan had shared the official logo of the film and now he has shared his first poster from the film. His co-stars got together to post different facets of Sikander's personality.


United Kingdom to 'consider next steps' in row with Russian Federation
Moscow is working on responsive measures, they are under development, and they will be announced in the near future, she added. This is not the first time the United States media has reported updates from intelligence officials about incidents in the UK.

OPPO R15 & R15 Dream Mirror Edition Are Now Official
Unlike the earlier Oppo R devices, these new models feature a glass back, instead of the metal back found on earlier smartphones. In terms of performance, R15 packs a MediaTek Helio P60 octa-core processor clocking at 2.0GHz and supported by Mali G72MP3 GPU.

Russian Federation votes to hand Vladimir Putin 4th presidential term
Election monitoring group Golos and online groups set up to record violations reported scores of problems Sunday. Yevgeny, a 43-year-old mechanic voting in central Moscow, said he briefly wondered whether it was worth voting.

Katrina Kaif responds with hug pic to Shah Rukh Khan's 'Darr' antics
Shah Rukh also shared these, saying: "My media manager strikes again!" Katrina captioned the story, "On the sets". Katrina doesn't scare so easily and she tweeted a photo of her hugging Shah Rukh and wrote, "Icecream ke baad".

Karnataka to ask Centre to recognise Lingayats as religious minority
The Siddaramaiah-led government will now write to the Centre with the recommendation, The Indian Express reported. The tussle for a separate religion tag has been on; with Veerashaivas thrown into the mix.

Russian Federation summons British ambassador as it readies to expel diplomats
Ella Pamfilova was quoted by Russian news agencies as saying, "It is in our interest that everything works". Multiple theories have been put forward as to how the deadly nerve agent was administered.

Air strikes pound rebel-held area in Syria's eastern Ghouta, killing 10
The Britain-based Syrian Observatory for Human Rights said the Syrian government is now in control of over 80 percent of the area. The YPG and the Observatory had said a Turkish air strike on the town's main hospital killed 16 people the night before.

Hundreds of Bibb students join in National School Walkout
But some vowed to walk out anyway, understanding that accepting punishments is part of what can make civil disobedience powerful. It lasted about 20 minutes, she said, during which time students spoke, read poetry, and reflected.

Nitin Gadkari Withdraws defamation Case After Kejriwal's Written Apology
In 2014, Gadkari had filed the defamation suit against Kejriwal after he named him in a list of "corrupt politicians". The cases, say AAP leaders, have been a drain on the party's much money and resources.

North Korean diplomat to meet former US, South Korean officials
Wallström had earlier said the talks extended into Saturday given the "constructive atmosphere" of the first two days. There, it provides diplomatic services for not only Swedes, but also U.S., Canadian and Australian citizens.