Martinrea is withdrawing its previously-disclosed financial guidance and medium-term outlook.
“These announced customer plant shutdowns will affect the company’s own production levels during the remainder of Q1, 2020 and likely beyond, as restarting of production could be delayed, and partial or full shutdowns may continue,” said Martinrea CFO, Fred Di Tosto.
“Additionally, if the virus persists or government actions in response to Covid-19 continue, demand may be impacted as consumers adjust buying patterns. Given the elevated level of uncertainty, the company is withdrawing its financial guidance for the first quarter of 2020 (Q1, 2020) as well as its 2021 outlook.”
For his part, Martinrea president and CEO, Pat D’Eramo, added: “Our business remains strong and we are well positioned to address the major challenges our company and our industry are currently facing.
“While these are certainly trying times, we have managed through downturns and negative industry and macroeconomic developments in the past and we have emerged stronger as a result. We expect the COVID-19 situation and the current economic challenges to be no different.
“Our industry is healthier today than it was heading into the last downturn, and Martinrea is in a position of relative strength within our industry. While the COVID-19 situation remains fluid, we intend to provide a further update when we report our Q1 2020 results in May.”