Manufacturing firm Miyoshi will soon lose a "major project" from key customer in the Philippines and the company is warning that the hit on its earnings per share for the next financial year is estimated at 48.5%.
The customer, which wasn’t named, plans to consolidate its production. Miyoshi received the notice from this customer on Sept 7 that it will delist its registered activity with the Philippines Economic Zone effective from Nov 30.
“Based on preliminary assessment, the discontinuing project is one-off and will affect approximately 18.4% of revenue from subsidiary in the Philippines,” says Miyoshi.
“The impact on the consolidated net tangible assets and consolidated earnings per share of the group for the next financial year is estimated to be approximately 1.2% and 48.5% respectively,” Miyoshi adds.
For its 3QFY2021 ended May, the company reported earnings of $261,000, a swing from a loss of $4.16 million in the year earlier.
Revenue in the same period was up 41.2% y-o-y to $11.2 million.
Miyoshi closed Sept 8 at 3.7 cents, down 2.63% for the day, and up 23.3% year to date.
