The lens wasn't set as expected at Photo-Me International (PHTM), leaving the picture a little blurry. The total anticipated dividend per share was 20 per cent below the expectations of broker Canaccord Genuity, after a change in Photo-Me's net cash definition led to a smaller than expected special dividend. And management's February prediction of pre-tax profit above £40m only just proved true. In response, the company's shares fell 17 per cent in early trading.
The performance in Japan stood out as revenue rose 16 per cent and profit grew by more than two-thirds. The rollout of mandatory ID cards there has been a boon, but administrative and technological problems at local government level mean the scheme, and thus growth for Photo-Me, is likely to be curtailed this financial year. Both Canaccord and FinnCap reduced their pre-tax profit expectations by £2m accordingly.