New Zealand freight and logistics company Move Logistics Group says its trading over the first half of the financial year has been “materially impacted” by the COVID-19 restrictions.
In a market update, it says the level 4 lockdown in the Auckland region has led to a decline in economic activity and had a particular impact on the fuel division through the fall in consumer demand.
In addition, despite being an essential service, the freight division is feeling the impact of there being less goods in the overall system as a result of “lower economic activity”, the company says.
As a consequence, its first half earnings are now expected to be impacted from the difficult trading conditions.
Any extensions of the alert level 4 restrictions in Auckland, and other restrictions across the rest of the country, could have a further impact on the company’s half year performance, it says.
Despite the fuel and freight divisions not being eligible for Government wage subsidies, the company is continuing to support its employees with a full workforce being maintained.
It is taking “all the necessary steps to keep the community and its employees safe and healthy, with a number of drivers in particular as essential service workers having to move about the country and across the Auckland border,” it says.
