Dow Jones Newswires: TomTom swings to net loss

This post was originally published on this site

TomTom NV said Wednesday that it swung to a net loss in the third quarter of 2019, hit by higher operating expenses, as it raised its adjusted earnings guidance and cut its revenue outlook.

The Dutch navigational-technologies company TOM2, -4.16%  reported a net loss of 43.4 million euros ($47.8 million) for the quarter to Sept. 30 compared with a profit of EUR17.2 million in the year-earlier period.

The company said it booked an increased amortization expense due to a change in the estimated remaining useful life of its map database.

Revenue for the quarter fell to EUR164.2 million from EUR176.3 million a year before, TomTom said.

The company said it now expects revenue for the full year to come in at around EUR700 million, having previously guided for revenue of more than EUR700 million. Adjusted earnings per share are forecast at EUR0.20 compared with previous guidance of EUR0.15 due to an expected higher gross margin, TomTom said.