The financial impact of the COVID-19 pandemic begins to emerge as Hubei Dinglong Holding Co., Ltd. releases its preliminary unaudited results for the first quarter of fiscal year 2020.
The company reports that during the first quarter period of 1 January 2020 to 31 March 2020 the forecasted profit is down between 60 – 75%, between ¥1,334.80 million ($188.94 million/ €172.63 million) and ¥2,135.67 million ($302.39 million/ €276.29 million).
The Wuhan based company attributes the results Due to the COVID-19 pandemic, that saw the Wuhan region impacted most severely in China. The company commented that they and their subsidiaries were affected by the COVID-19 pandemic during the reporting period. The company said that it was affected by factors such as delays in return to work after the extended Lunar New Year period, traffic restrictions and obstruction of personnel returning to work. Insufficient production capacity utilisation rate of various factories and delayed product delivery, resulting in the company’s first quarter revenue the year-on-year decline.
The company added at that at present the ink and toner cartridge divisions have sufficient orders in hand and have resumed working. During the second quarter Hubei expects the production to continue to grow to full capacity with the sufficient prevention measures put into place.
The financial data related to the performance forecast for the first quarter of 2020 have not been audited by certified public accountants.
