The company also noted that future price hikes for its products were possible, following the rise in the cost of raw materials.
KUALA LUMPUR: Hartalega Holdings Bhd
recorded a net profit of RM96.38mil for its first quarter ended June 30, 2017, marking a 71% increase over RM56.3mil in the corresponding quarter in the previous year.
According to Hartalega, the jump in profit was mainly due to higher sales volume and average selling price, strengthening of the USD and improvement in operation efficiency.
The improved profit came on the back of strong turnover of RM601mil, 49.6% higher than the RM401.8mil recorded in the same quarter last year.
Earnings per share for the quarter stood at 5.86 sen, while net assets per share was 106.87 sen as at the end of the current quarter.
The company says its capacity growth is on track to meet the increasing demand for rubber gloves.
“We are pleased that our capacity is fully sold, hence we are focused on ensuring that new capacities from Plants 4 and 5 of our NGC come on-stream as scheduled. Plant 4 is expected to be completed by March 2018, which will contribute further to the group’s earnings in the year ahead, “ said Kuan Mun Leong, managing director of Hartalega, in a press release issued today.
“Beyond this, construction of Plant 5 of the NGC commenced in end-July 2017 and the first production line is expected to come on-stream in April 2018, after which lines will be progressively commissioned. Once completed, Plant 5 will expand our capacity by an additional 4.7 billion pieces of gloves per annum,” he added.
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