Feb 29 Reuters Aixtron39;s shares fell as much as 22 on Thursday after the German semiconductor tools maker forecast a 2024 margin below expectations and a client reported the unexpected cancellation of one of its own major contracts.

Swiss sensor maker AMS Osram , which uses Aixtron39;s equipment to make displays used in smart appliances like phones or watches, said on Wednesday it had lost a cornerstone microLED contract with an unidentified client. Its shares plunged 40 in early Thursday trading.

Aixtron said the news would not impact its revenues for 2024 and 2025, as it was not part of the company39;s plans for that period.

We are working with all parties in the industry and therefore have high confidence that AIXTRON will be involved in potential Micro LED projects from major customers, it said.

At 1025 GMT, Aixtron shares were down 14.4 at 27.01 euros.

The company, whose endmarkets also include emobility, renewable energies, and infrastructure such as data centers, forecast revenue of 630720 million euros 683780 million for this year.

It expects an operating profit margin of between 24 and 26. That39;s below analysts consensus forecast of 27.1, Jefferies said in a note, adding the midpoint of the sales guidance also lagged expectations.

Aixtron39;s revenues increased 36 to 629.9 million euros last year, driven by growing demand for its new deposition technologies used in the production of compound semiconductors.

In September, the company introduced new…