TomTom says sales fall, turning from navigation market

April 23, 2013

TomTom, the Dutch maker of vehicle navigation systems, on Tuesday published a 13 percent drop in first quarter sales and said it was diversifying its product line to counter a market now saturated with portable navigation devices.

TomTom's sales fell to 202 million euros ($262 million) and the group posted a net loss of 2.3 million euros, worse than the loss of 1.5 million euros suffered in the same period a year earlier, the group said in a statement.

It pointed to contracting European and North American markets in the device sector, where TomTom must compete against a trend to use navigation applications installed on mobile phones.

Last year, around 2.1 million were sold in Europe, compared with 1.7 million in 2013.

In the United States however, sales fell from 1.5 million to 1.1 million units.

TomTom said it would diversify its line, and has introduced a new GPS multifunction sports watch while sprucing up its existing navigation products with interactive, .

"With the launching of our sports watches we are entering a growing market for health and well-being," TomTom marketing chief Gary Raucher told AFP.

The watch features up-to-date Bluetooth technology and a simple one-button control, is waterproof up to 50 metres (164 feet), and can be used by runners, and swimmers.

Unveiled last week, the GPS watch will be launched in the summer and allow TomTom to go head-to-head with competitor Garmin, which already has a similar range of products.

Listed on the Amsterdam Stock Exchange's midcap AMX index, TomTom's shareprice jumped 7.8 percent on Tuesday to trade at 3.4 euros per share in midday exchanges.

Explore further: TomTom Expands GPS Line to Add ONE XL

Related Stories

TomTom to pay Microsoft to end patent fight

March 30, 2009

(AP) -- Microsoft Corp., the world's largest software maker, on Monday said it settled a patent dispute over car navigation technology with TomTom NV for an undisclosed amount.

Apple enlists TomTom as Siri heads for cars

June 12, 2012

In-car navigation firm TomTom on Tuesday said it has inked a deal to provide map information to Apple, which a day earlier introduced its own mapping service for iPhones and iPads.

How consumer-electronics makers are faring

September 6, 2012

Makers and sellers of consumer-electronics devices have been releasing their earnings reports for the latest quarter. Here's a look at selected companies that report unit sales on phones, tablet computers and other devices. ...

Recommended for you

Interactive tool lifts veil on the cost of nuclear energy

August 24, 2015

Despite the ever-changing landscape of energy economics, subject to the influence of new technologies and geopolitics, a new tool promises to root discussions about the cost of nuclear energy in hard evidence rather than ...

Smart home heating and cooling

August 28, 2015

Smart temperature-control devices—such as thermostats that learn and adjust to pre-programmed temperatures—are poised to increase comfort and save energy in homes.

0 comments

Please sign in to add a comment. Registration is free, and takes less than a minute. Read more

Click here to reset your password.
Sign in to get notified via email when new comments are made.