Shares of Precision Wires India Ltd. were trading over 7% lower on Thursday, March 12, after the company said the intensifying conflict in the Middle East has started to affect some of its domestic and overseas suppliers.The company said it is witnessing rising inflationary pressures across its supply chain as a result of the disruption.
Export consignments to the Middle East have also been impacted. To manage the situation, the company said it is re-routing shipments and putting in place alternate logistics arrangements.“Please be advised that these changes may result in additional shipping costs and extended lead times,” the company said in a statement.
It added that while steps are being taken to monitor and mitigate the challenges, unforeseen risks and unavoidable circumstances could lead to short-term fluctuations in the cost and availability of certain inputs.
Shares of Precision Wires India Ltd were trading 6.97% lower at ₹319.05 on Thursday. Despite the decline, the stock has gained nearly 30% so far this year.
