PETALING JAYA: Mymbn Bhd
has acknowledged the potential financial impact following the temporary suspension of its bird’s nest exports to China.
In a filing with Bursa Malaysia, the company said it received a notice from the Department of Veterinary Services in Malaysia regarding the suspension, effective from Dec 25.
“The board acknowledges the potential financial impact of this situation on the company’s performance and is proactively implementing measures to mitigate any adverse effects,” it said.
MYMBN, principally engaged in the processing and sale of edible bird’s nest, is focusing on redistributing its sales efforts to alternative export markets, including Vietnam, and the local market.
The company added that it will engage with relevant authorities to monitor developments and expedite the resumption of exports.
Additionally, it will adjust operational strategies to manage inventory and sustain business continuity during this period.
“Further announcements on any material developments regarding the suspension will be made in due course when required,” it stated.
For the third quarter ended Sept 30, 2024, MYMBN reported a lower net loss of RM870,000, compared to a net loss of RM1.56mil in the same period last year, while revenue rose to RM11.5mil from RM8.6mil a year earlier.
In its third-quarter earnings filing, the group noted that the bird’s nest industry across Asia remains active.
However, it observed challenges in China, its major revenue contributor, due to weak consumer demand resulting from lower economic growth.
MYMBN added that it will closely monitor interest rate, foreign-exchange fluctuations and changes in the global economic scene to minimise any negative effects on the group’s performance.
