Top Glove’s profit jumps to RM110.1 mln on record sales

KUALA LUMPUR: Top Glove Corporation Bhd’s net profit in the first quarter ended Nov 30, 2018, rose 4.4 per cent year-on-year to RM110.06 million on record quarterly sales revenue.

Revenue jumped to RM1.26 billion from RM938.17 million chalked up in last year’s corresponding quarter, it said in a filing with Bursa Malaysia.

The world’s largest glove maker attributed the 34.5 per cent top-line performance growth mainly to the strong demand growth observed both in developed and emerging markets.

Executive chairman Tan Sri Lim Wee Chai said the group had begun the new financial year 2019 on healthy and positive note.

“It is not easy to keep delivering strong results amid an increasingly challenging operating environment and this is largely the result of our concerted marketing efforts, and ongoing quality and efficiency enhancement programmes.

“I am confident that as we continue to focus steadily on improving our quality and efficiency, as well as adopting technological advancements across our operations, we can look forward to a very good year ahead,” he said.

Top Glove said while its expansion plans on several existing facilities were on track, it expected the business environment to remain challenging in the new year, in view of intensifying competition and cost increases, such as the impending increase in minimum wage effective next month.

“However, it believes industry prospects remain promising given that glove usage is still on the rise, particularly in emerging countries, and set to grow by 10 per cent every year,” it added. –Bernama