diff --git a/unit_tests/data_structures/coordinate.cpp b/unit_tests/data_structures/coordinate.cpp
new file mode 100644
index 000000000..bf28666cf
--- /dev/null
+++ b/unit_tests/data_structures/coordinate.cpp
@@ -0,0 +1,20 @@
+#include <osrm/coordinate.hpp>
+
+#include <boost/test/unit_test.hpp>
+
+// Regression test for bug captured in #1347
+BOOST_AUTO_TEST_CASE(regression_test_1347)
+{
+    FixedPointCoordinate u(10 * COORDINATE_PRECISION, -100 * COORDINATE_PRECISION);
+    FixedPointCoordinate v(10.001 * COORDINATE_PRECISION, -100.002 * COORDINATE_PRECISION);
+    FixedPointCoordinate q(10.002 * COORDINATE_PRECISION, -100.001 * COORDINATE_PRECISION);
+
+    float d1 = FixedPointCoordinate::ComputePerpendicularDistance(u, v, q);
+
+    float ratio;
+    FixedPointCoordinate nearest_location;
+    float d2 = FixedPointCoordinate::ComputePerpendicularDistance(u, v, q, nearest_location, ratio);
+
+    BOOST_CHECK_LE(std::abs(d1 - d2), 0.01);
+}
+