(Kuala Lumpur, 20th) Top Glove (TOPGLOV, 7113, Main Board healthcare stock) turned a loss into a profit in the first quarter of the 2025 fiscal year (ending November 30), with a net profit of 5.47 million ringgit, compared to a net loss of 57.71 million ringgit in the same period last year.
The company recorded revenue of 0.8 billion 85.89 million ringgit in the first quarter, an annual growth of 79.53%, compared to 0.4 billion 93.46 million ringgit in the same period last year.
Top Glove indicated in a statement that sales surged by 104% in the first quarter.
"The performance recovery is attributed to strong and sustained orders on hand, driving up the utilization rate of existing plants (66%). Cost efficiency has also improved."
The company further stated that factors contributing to strong sales growth include ongoing glove replenishment activities and orders from the USA driven by the 50% tariff on imported gloves from China, with expectations for further increases in sales volume.
The appreciation of the ringgit improves profit margins.
In addition, the appreciation of the ringgit against the US dollar helped improve profit margins.
"As raw material costs rise and the dollar weakens, the company raised the average selling price of gloves in August and September this year, which has been partially reflected in the first quarter performance of the 2025 fiscal year, with expectations of more comprehensive revenue in the second quarter."
Looking ahead, Top Glove remains optimistic about the future, and with the steady recovery in the glove sector, orders continue to grow.
Oriental Daily.
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