Aveva shares fall on coronavirus warning

Aveva Group (LON:AVV) saw its shares fall on Thursday after it posted a trading update warning on the impacts the outbreak of the coronavirus will have on its business.

Shares in the British multinational information technology company were trading 3% lower on Thursday.

China accounts for roughly 5% of Aveva’s overall group revenue.

The announcement comes just days after the Financial Reporting Council told companies that they must outline the risks to their business caused by the outbreak of the deadly virus.

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Aveva said on Thursday that investors can expect the coronavirus to have “some impact” on Chinese sales.

“The ongoing disruption in China, caused by the Coronavirus, due to travel restrictions and office closures, is having some impact on sales in that country,” Aveva said in a company statement.

The company added that, on a regional basis, it has achieved growth across all of its reporting segments, experiencing particularly good growth in Asia Pacific.

Fears mount as the deadly coronavirus continues to spread across the globe.

Several companies have issued warnings this week concerning the coronavirus and the impacts it is set to have on their businesses.

On Wednesday, the leading sportswear companies Puma (ETR:PUM) and Adidas (ETR:ADS) warned that the coronavirus will hit their trading.

Elsewhere, names such as Apple (NASDAQ:AAPL) and HSBC (LON:HSBA) also issued similar warnings this week.

Here is an update from the Department of Health and Social Care on the situation in the UK:

Shares in Aveva Group plc (LON:AVV) were down on Thursday, trading at -2.65% as of 13:20 GMT.