In an interim statement, the company said a decline in sales of its Platform 1 products within the region during the previous quarter had stabilised, but at a lower level than expected.

The inkjet printhead designer has restructured production levels around this and although it expects an upswing in the fourth quarter, urged caution.

Xaar maintained that sales in other parts of the world and of other product lines are on track.

The company said it continues to hold cash assets at £10.1m after dividend payment against £700,000 debt.

Shares were off 14.61% at the time of writing, down to 57p.