(Reuters) -Digital mapping specialist TomTom said on Wednesday its operating result turned to a wider-than-expected loss in the first quarter, weighed down by an increase in research and development costs.
The Amsterdam-based company posted a loss before interest and taxes of 4.9 million euros ($5.2 million) for the first three months of 2024, versus a profit of 2.6 million euros last year.
Analysts were expecting a loss of 2 million euros on average, a company-compiled consensus showed.
TomTom’s revenue fell 1% to 139.3 million euros, missing expectations of 144 million euros.
Its automotive business, which represents around 60% of the total revenue, reported a 6% drop in operational revenue due to lower car production volumes.
The location data pioneer, which started by providing a navigational tool for turn-by-turn directions, has gone through major restructuring and is now developing high-definition self-driving maps that integrate consumer data and advanced driver assistance systems.
($1 = 0.9414 euros)
(Reporting by Mathias de Rozario and Gaëlle Sheehan in Gdansk; editing by Milla Nissi)
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