Ultima Networks sees 2012 revenues falling
12th February 2013
Ultima Networks said a fall in demand for its electric-powered bicyles would see its 2012 revenues fall below 2011 levels.
"In the interim results the Company expected an improvement in the sales of electric powered bicycles following a restructuring of its European distribution channel; however disappointingly, sales in the second half of the year were lower than expectated due to the on-going recession in mainland Europe," it said.
Ultima was planning to launch its own subsidiary in Holland this month, enabling it to increase its brand awareness and stock a larger range of its cycles in situ.
"Benelux countries remain the Company's largest market in Europe and the new subsidiary is expected to grow brand recognition and position itself to take advantage of recovery in consumer confidence," it said.
"In the UK, the over 50 age group is the key target audience and the Company expects that sales will increase once consumer spending rises."
At 9:59am: (LON:UTN) Ultima Networks share price was +0.03p at 1.08p
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