Top Glove managing director Lim Cheong Guan
KUALA LUMPUR: Top Glove Corp said its improved performance in the second quarter ended Feb 28, 2025 (2QFY25) was owing to a sustained uptrend in glove orders on the back of recovering global demand.
Also helping sales revenue were the trade diversions resulting from US tariffs on Chinese glove exports, it said a review of its results.
In 2QFY25, the glove maker posted a net profit of RM30.28mil, a swing to the back from a net loss of RM51.2mil in the year-ago quarter.
The group's earnings per share was 0.38 sen as compared to a loss per share of 0.64 sen in the previous corresponding quarter.
Revenue during the quarter under review was RM883.65mil, up from RM550.33mil.
Over the six months period to Feb 28, 2025, Top Glove registered a net profit of RM35.76mil on revenue of RM1.77bil as compared to a net loss of RM108.91mil on revenue of RM1.04bil in 1HFY24.
On a quarter-on-quarter comparison, Top Glove said sales revenue was maintained despite 1QFY25 being an exceptional quarter with higher orders due to the frontloading as US-based cusomters stocked up ahead of higher tariffs on China-made gloves.
Profit after tax in 2QFY25 surged 141% while profit after tax, amortisation and minority interest soared 500% compared to the preceding quarter.
According to the group, a decline in raw material prices in 1QFY25 also contributed to a stronger performance in 2QFY25. Natural rubber latex concentrate prices dropped 1% to an average of RM6.80/kg, while nitrile latex prices fell 8% to USD0.86/kg.
"Our increasingly robust results
reflect the success of our ongoing quality and cost efficiency initiatives, which have reinforced our competitiveness and positioned us to benefit from recovering glove demand, as well as trade shifts in
the market," said Top Glove managing director Lim Cheong Guan in a statement.
"The improving glove industry dynamics present significant opportunities for us, and we are well placed to benefit from them.
"We are mindful there may be challenges ahead and will continue to pursue quality and cost efficiency initiatives, towards ensuring we stay competitive."
