MaxiPARTS (ASX:MXI) said activity levels fell in March and have remained below earlier highs as the Middle East conflict drove uncertainty and higher costs for customers in the transport sector, according to a Friday filing with the Australian bourse.

The conflict also impacted the availability of diesel in some regions of Australia, leading to a reduction in operating activity with customers deferring parts procurement and limiting servicing to essential items, the automotive supplies distributor said.

The company has implemented various measures to cut costs, better manage working capital, and support profit margins in the second half of the year.

MaxiPARTS expects its fiscal year 2026 results to be "broadly in line with previous guidance at an underlying profit level," the company said. It expects an operating net profit before tax of AU$13.4 million to AU$14.1 million, and revenue of AU$273 million to AU$278 million.