Join our daily newsletter At The Bell to receive exclusive market insights
EROAD (ASX:ERD) has tumbled -35% in Friday trades after revealing that it’s planning to ditch its toll road operations in North America, swapping focus back to the Australia-NZ (ANZ) region – something investors haven’t liked.
Listen to the HotCopper podcast for in-depth discussions and insights on all the biggest headlines from throughout the week. On Spotify, Apple, and more.
Nor did they like the fact the company’s co-CEO has quit; nor that the company has downgraded its FY26 guidance citing “economic conditions.” Not a good news Friday.
“North America remains an important market for EROAD, however due to a variety of market conditions elongating enterprise sales cycles, growth activity in the region has not delivered within expected timeframes,” the company wrote on Friday.
But as for whether it’s going to continue operating in this important market is a different question, and ERD has said it will now focus its energy in North America on “exploring further opportunities in cold-chain.”
Cold chain logistics has been a focus of the company in more recent history, launching that service in NZ earlier this year (which leaves one to wonder how long the writing has been on the wall for certain members of management.)
ERD last traded at $1.65/sh.
Join the discussion: See what HotCopper users are saying about ERD and be part of the conversations that move the markets.
