Temenos lowers full-year guidance after impact of short seller report

By Chiara Holzhaeuser

(Reuters) -Swiss banking software firm Temenos lowered its guidance for 2024 on Tuesday, citing its half-year performance which was impacted by a short seller report by Hindenburg Research.

“While we did benefit from all the delayed Q1-24 deals signing in Q2-24, this was offset by the two month delay in most sales processes due to the short seller report," CFO Takis Spiliopoulos said in a statement.

Temenos now expects total software licensing growth between 3% and 6%, down from 7% to 10% in its guidance from February.

It also expects annual recurring revenue of 13%, down from 15% originally.

Temenos also reported second quarter results, including subscription revenue of $39.2 million, missing analysts' estimate of $45 million in a company-compiled consensus.

Jean-Pierre Brulard, whose appointment as CEO took effect in May, added that Temenos started to review its operational and financial strategy and will present a detailed investment plan at its capital markets day in November.

(Reporting by Chiara Holzhaeuser; Editing by Jon Boyle and Emelia Sithole-Matarise)