TomTom says sales fall, turning from navigation market

Apr 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: J2 Global CEO Hemi Zucker says LA tech scene is heating up

add to favorites email to friend print save as pdf

Related Stories

How consumer-electronics makers are faring

Sep 06, 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. ...

TomTom to pay Microsoft to end patent fight

Mar 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

Jun 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.

Recommended for you

LivingSocial's new CEO eyes an experience-oriented future

12 hours ago

Some big challenges lie ahead for LivingSocial, the online marketplace known for its daily deals and discounted prices on restaurants, spas and local activities. But that's where the company's new chief executive, Gautam ...

Uber hits roadblock as CEO charged in S. Korea

19 hours ago

South Korean prosecutors brought charges on Wednesday against the founder and CEO of controversial smartphone taxi app Uber for operating an illegal cab service, the latest roadblock for the California-based ...

User comments : 0

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.