KUALA LUMPUR (Sept 10): SLP Resources Bhd has temporarily halted its plant operations in Kulim, Kedah — from Sept 9 to 16 — after Covid-19 positive cases were detected among its production workers.

The plastic packaging product manufacturer said it received a notice from the Ministry of Health (MoH) today to close its Kulim plant operations for thorough disinfection work.

The company has also conducted Covid-19 tests on workers who have close contact with the infected ones. They have been isolated and placed under quarantine, and will undergo subsequent screening.

SLP anticipated that sales and production of the group will be impacted by the temporary closure in the current quarter.

“However, the company will attempt to mitigate any adverse impact, including exploring probable claims from insurance coverage under 'infectious or contagious diseases'.

“The company will continue to maintain and adhere to the highest and most stringent Covid-19 preventives SOPs (standard operating procedures) to minimise the spread of Covid-19,” it said in a bourse filing. 

For the second quarter ended June 30, 2021 (2QFY21), SLP’s net profit rose 14.17% to RM4.68 million from RM4.1 million a year ago, backed by higher revenue due to an increase in sales of plastic flexible packaging products and plastic resins in the local market.

Quarterly revenue advanced 19.32% to RM41.53 million, compared with RM34.8 million for the previous year.

SLP also declared a second interim dividend of 1.5 sen per share to be paid on Oct 7, 2021.

At today's noon break, SLP was unchanged at 95 sen, translating into a market capitalisation of RM301.11 million for the company.