(Alliance News) - Aveva Group PLC on Tuesday said it expects to report broadly unchanged revenue for its recently ended financial year, demonstrating a recovery from the weak first half.
The stock was trading 5.8% lower in London on Tuesday morning at 3,680.00 pence a share, making it the worst performer in the FTSE 100.
In a separate statement, the Cambridge, UK-based engineering and industrial software firm said Chief Executive Craig Hayman has decided to return to the US for personal reasons and will leave after the annual general meeting in July. His employment will cease at the end of January 2022.
During his three-year tenure, Hayman has overseen the integration that followed Aveva's combination with the industrial software business of Schneider Electric SE. The French firm has a 60.2% stake in Aveva following their merger of software businesses back in 2018.
Peter Herweck will be seconded from Schneider Electric on request of the Aveva to the role of CEO, effective May 1. Herweck, who is currently executive vice president of Industrial Automation at Schneider Electric, has over 30 years of experience in automation, digitalisation and industrial software and his experience.
Schneider shares were up 1.7% in Paris as EUR138.76.
Turning back to its operating performance, Aveva said it recorded double-digit revenue growth during the second half of the financial year ended March 31 on a standalone organic constant currency basis. This resulted in annual revenue being flat year-on-year, on the same basis, reflecting disruption related to the Covid-19 crisis during the first half.
The FTSE 100-listed company completed the acquisition of OSIsoft on March 19. On an organic constant currency basis, OSIsoft grew revenue by a mid to high single-digit percentage rate in the year ended March 31. Aveva said both elements of the combined company have responded flexibly to the challenges posed by Covid-19, achieving strong growth in subscription revenue and increasing operating margins.
Aveva said it will announce its full year results on May 25.
By Evelina Grecenko; evelinagrecenko@alliancenews.com
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