LUXEMBOURG/NUREMBERG (dpa-AFX) - Linux specialist Suse reported weaker business than expected in its second fiscal quarter. The uncertain economic environment led to postponements of contracts as well as a reduction in the average contract duration, the software provider announced in Luxembourg on Wednesday. In addition, the reorganization of the sales structure had not developed the expected clout and was weighing on the development.

The company therefore lowered its forecast for the current fiscal year 2022/23 (as of the end of October). Thus, adjusted sales are expected to increase in the mid-single-digit percentage range, while growth at constant exchange rates is likely to be slightly lower. Suse sees the adjusted earnings margin before interest, taxes, depreciation and amortization (Ebitda) in the mid-30 percent range. Previously, Suse had forecast revenue growth of 11 to 13 percent at constant currency and an Ebitda margin above last year's 37 percent.

For the second quarter, the company expects adjusted revenue of $162.2 million, up one percent. Core revenue, however, fell one percent. Suse plans to present further details on July 6. The share, which is listed in the SDax, lost more than five percent after hours on the Tradegate trading platform compared to the closing price in the Xetra main market./nas/he