UK Small Caps

LONDON (ShareCast) - Software (Frankfurt: A0XFVC - news) testing company SQS Software said trading since its previous update in May has been in line with management expectations and expects to meet its targets for 2009.

The group said its management consulting and core businesses in Austria and Switzerland continue to perform well and although its markets in the German, UK and Nordic regions remain affected by the economic downturn, they have stabilised.

It has also seen the recommencement of several large financial services IT projects, which it said shows signs of a growing confidence in the sector and boding well for the future.

"We are pleased to report that all intended cost cutting measures have now been fully implemented and that our capacity is now more optimally aligned with current market conditions," said the group.