BE Semiconductor, a processor equipment maker, said it had downgraded its quarterly revenue estimates due to floods in Malaysia’s main plant.
The manufacturer of semiconductor assembly and packaging equipment company, stressed that the torrential rains affected its main production unit in Shah Alam in Malaysia and stopped the assembly of the products, worth 25 million Euros.
“The first estimates for the one-time cost are related to materials and labor that are necessary for the repair or reproduction of the affected systems, and amount to 4-6 million Euros, which will be charged to the quarterly results”, the group said in a statement.
BE Semiconductor stressed that it did not expect the cost of repairing the affected equipment to exceed 2 million Euros.
Malaysian emergency services on Sunday rescued 21,000 people displaced by floods caused by rains in seven states.
The company now forecasts a 15% -20% drop in fourth quarter revenue compared to the third quarter, compared to the initial estimate of a 5% -15% drop.
However, he noted that all orders in the fourth quarter will reach 180-190 million Euros, higher than the 157.3 million Euros of the previous year.
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Source From: Capital
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