King Yuan expects output to take a hit after Covid-shutdown
Taiwanese chip packager King Yuan Electronics (KYEC) had to halt all production on Friday following the discovery that several employees had contracted COVID-19
In a filling with the Taiwanese stock exchange, the company said that it planned to halt all production on Friday for 48 hours in order to fully clean and disinfect its operations. The shutdown of production will ultimately lead to production output being affected during the month of June. The company writes in the filling that it quantity is expected to decrease about 4%~6% in this month – which also means about %~6% of the company’s June revenue. “Regarding the above-mentioned loss, after the disinfection is completed, through capacity allocation to make up for the loss of production capacity. Therefore, it is estimated that there will be no significant impact on the company's financial and operations for full year,” the company comments in the filling.