Shares in news group Reuters suffered yesterday after the company failed to be more upbeat about its prospects.
The London-based concern reported quarterly revenue gains broadly in line with analyst expectations and new sales momentum.
But investors who had been hoping for an upgrade to second-half forecasts were disappointed and shares closed 14.5p down at 351.75p after touching their lowest point in 2005.
Reuters, the world's largest listed provider of news and information to financial markets, reported an underlying 1.5 per cent gain in quarterly subscription revenue.
It repeated an earlier forecast of one to two per cent underlying growth in recurring revenue, which excludes acquisitions and the effects of foreign currency movements, for the second half.
"The group is not changing its H2 guidance for growth of one to two per cent, which we believe will be taken as a slight disappointment by some, given the strong current momentum in the financial services industry and the group's recent track record for outperforming conservative guidance," analysts said in a note.
Third-quarter recurring revenue was £574 million, up nine per cent on an actual basis, including acquisitions, from £528 million a year ago, with contributions from all three regions - Asia, Europe and the Americas.
" Europe taken as a whole, including the UK, went positive for the first quarter in a long time," chief financial officer David Grigson said.
Eleven industry analysts had forecast on average that underlying thirdquarter subscription revenue would increase 1.6 per cent year- on- year to £571 million, while total revenue had been expected at £610 million.
Reuters said it had a third consecutive quarter of positive net sales, which are a leading indicator of revenue because the company recognises a sale when it signs up a new customer but does not record revenue until the product is installed.
Third-quarter net sales were ahead of those in the second quarter, excluding Reuters' acquisition of Moneyline Telerate in June, while Telerate cancellations were lower than originally expected.
"The important thing is the underlying trend," Mr Grigson said. Revenue in the quarter was £611 million, up one per cent, the same as for the sales and trading division that accounted for twothirds of total revenue in the quarter.