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Tech Finance Chiefs Lower 2012 Revenue Expectations

Tech Finance Chiefs Lower 2012 Revenue Expectations

While 73 percent of technology CFOs anticipate revenue increases at their company this year, the overall growth expectation of just 2.6 percent is significantly lower than the 10.4 percent projected last year, according to data released by BDO USA.

 

However, despite the fact that revenue expectations declined, a full three-quarters of responding finance chiefs said they expect M&A activity to increase in the technology sector this year, with the software and media/telecom industries poised to see the most activity.

"Based on recent economic and marketplace volatility, technology executives are cautious in their revenue projections," Aftab Jamil, partner and director of the Technology and Life Sciences practice at BDO USA, said in a release. "That being said, M&A remains an attractive opportunity. The fiercely competitive environment is pushing companies to aggressively target the best and brightest technologies."

The findings include responses from 100 finance chiefs across the country between December and January, the release said.

Forbes reports companies spent more than $219 billion last year on merger activity in relation to the technology industry, a full 17 percent more than in 2010.

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