Meanwhile, its lower profit margin was due to an increase in purchase price of raw materials, labour costs and energy costs.
Southern Packaging has issued a profit guidance for the 1HFY2022 ended June, expecting a net loss due to lower sales revenue and profit margin.
In a Singapore Exchange (SGX) filing on July 21, Southern Packaging says its sales were affected by the lockdown in Shanghai and surrounding areas due to the recent resurgence of the Covid-19 cases. “As a result, the group's production and delivery plans were affected during the period.”
