- Magontec (MGL) has provided an update on COVID-19 lockdowns in China, and also revealed an increase in profit year-on year
- The magnesium company brought in $17.1 million in gross profit between January and November, an increase on 2020’s $12.95 million result
- MGL also revealed Magontec Xi’an factory has been affected by the recent lockdown by the Chinese Government amid a COVID-19 outbreak
- The business produces magnesium anodes at the plant and has appealed to have the facility remain open, with some staff allowed to return to work
- Shares in MGL closed Thursday at 40.5 cents per share
Magontec (MGL) has provided an update on COVID-19 lockdowns in China, and also revealed an increase in profit year-on year.
The magnesium company has revealed it brought in $17.1 million in gross profit between January and November.
In comparison, the business only netted $12.95 million in gross profit throughout 2020.
Looking ahead, management expects its gross profit result for 2021 to be no less than $17.1 million.
MGL also revealed today Magontec Xi’an factory has been affected by the recent lockdown by the Chinese Government.
The lockdown was enacted amid an outbreak of COVID-19 in the city of Xi’an, with factories closed and residents ordered to stay home.
Magontec produces magnesium anodes at the plant in Xi’an and has appealed to have the facility remain open as it supports the water heater manufacturing industry.
Some of the company’s staff have been allowed to return to work at the plant, and MGL advises it will keep the market updated on any further developments.
Finally, the magnesium business advises its $79,500 JobKeeper subsidies for 2020 has been revised down to $24,000 — with $55,000 already remitted to the ATO.
Shares in Magontec closed Thursday’s trading session at 40.5 cents per share.