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Incap announced on 10 May 2021 that it had temporarily closed down its factories in Tumkur until 24 May 2021. On 24 May 2021, Incap announced that the lock-down had been extended until 7 June 2021 and that it had been granted a permission for partial operation of its factories. Currently, the lock-down in Karnataka has been extended until 21 June 2021. Incap’s factories in India continue to operate according to the government guidelines and Incap is prepared to resume full operations once the restrictions are removed.
The closure and the partial operations of the factories in India do not have an impact on the company’s outlook for 2021 published on 21 April 2021. Incap’s previously announced outlook for 2021:
Incap estimates that its revenue, operating profit (EBIT) and adjusted operating profit (EBIT) for 2021 will be clearly higher than in 2020.
The increase in revenue and operating profit estimate is driven by the strong development at the Indian factories and the ramp-up of the factory expansion, that has proceeded faster than expected. Furthermore, the visibility related to the customers’ forecasts and the company’s own assessments of the business development has improved.
The estimates are given provided that there are no major negative changes in the coronavirus pandemic situation, currency exchange rates or in component availability and they are based both on Incap’s customers’ forecasts and the company’s own assessments of the business development.