Spindex warns of impact on Malaysia factory as it reduces operations

MAINBOARD-LISTED Spindex Industries on Monday warned of an impact on its Malaysia factory as it limits operations in line with tightened Movement Control Orders by the Malaysian government.

The Tightened Movement Control Order (TMCO3.0) has regulated that only 60 per cent of all staff are allowed to be at the workplace, and the balance 40 per cent has to work from home, the group said, adding that this will take effect on May 25, and last till June 7. Spindex said that this will affect the number of operational staff available to work on site, and "there will be an impact to its Malaysia factory as operations are reduced".

"However, as there are other factors - such as supply and demand - that remain volatile, the financial impact of the TMCO3.0 is not quantifiable currently," the group noted.

"As a general update, the Covid-19 impact worldwide has and will continue to have a volatile impact on the group's operations, customers, supply chain for the foreseeable future. The company is closely monitoring the situation and shall keep shareholders informed of any material developments as and when they arise."

Shares of Spindex closed flat at S$1.210 on Monday.