KOSSAN 7153 KOSSAN RUBBER INDUSTRIES BERHAD 1Q net profit tumbles 91% to RM90m as glove demand, ASP normalise
KUALA LUMPUR (April 27): Kossan Rubber Industries Bhd posted a 91% plunge in net profit to RM90.1 million in the first quarter ended March 31 (1QFY22) from RM1.04 billion a year ago as demand for gloves and their average selling price (ASP) normalised following greater control of Covid-19 infections worldwide.
Earnings per share declined to 3.53 sen from 40.82 sen.
In a Bursa Malaysia filing on Wednesday (April 27), the glove manufacturer said its quarterly revenue also fell by 68.5% to RM690.63 million from RM2.19 billion due to lower revenue from its gloves and clean-room division.
On a quarterly basis, the group’s net profit tumbled by 58.62% from RM219.07 million in the immediate preceding quarter (4QFY21) while revenue slid by 25.3% from RM924.56 million in 4QFY21.
Competition and incoming supply from existing manufacturers and new entrants are challenges ahead, Kossan said, adding that global logistics disruptions and shipping container shortages have affected glove shipments and deliveries.
“Despite these near-term headwinds, global glove demand is expected to remain on a growth path as a result of a shift in glove usage due to higher healthcare standards and hygiene awareness in both the medical and non-medical sectors.
“In line with the group’s long-term growth, two new plants with a capacity of five billion pieces will be constructed by the end of next year.
“Beyond the Covid-19 pandemic, the group remains upbeat on the glove industry’s prospects and the vital role it plays within the healthcare sector,” it said.
The group has accelerated its transformation and reinvestments into digitalisation and automation to increase productivity and to prepare for the next phase of growth.
Shares in Kossan Rubber ended three sen or 1.6% lower to RM1.84, valuing the glove manufacturer at RM4.71 billion.
http://www.theedgemarkets.com/article/kossan-rubber-1q-net-profit-tumbles-91-rm90m-glove-demand-asp-normalise
Singapore Investment
-
-
Smart Thought Of The Week: Ugly2 hours ago
-
-
-
-
-
-
-
-
-
-
-
-
-
-
2Q 2025 Investment Strategy Update23 hours ago
-
-
-
-
-
-
-
-
-
-
Portfolio (June 30, 2025)1 day ago
-
Portfolio (June 30, 2025)1 day ago
-
-
-
-
-
-
-
-
-
Month of June 20251 day ago
-
June 2025 Updates1 day ago
-
-
-
-
-
-
-
-
Batisht crazy!4 days ago
-
-
Will SORA crash to 1 per cent?5 days ago
-
-
-
-
Hello world!6 days ago
-
-
-
Cut back some exposure1 week ago
-
-
-
-
-
-
8 tips for house moving1 week ago
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
May 2025 Portfolio4 weeks ago
-
-
-
Thakral - Gem life deal finally coming?5 weeks ago
-
-
-
-
-
Clarity1 month ago
-
The Trump Tariffs1 month ago
-
Selling HRnet and Fiverr1 month ago
-
-
-
-
Ignore the noise and be calm2 months ago
-
-
-
-
FAQ on Quantitative Investing Part 22 months ago
-
-
-
-
Crossing the 300k Mark [in a volatile period]2 months ago
-
-
-
-
-
-
-
-
-
ETF vs Mutual Fund: Which is Better?5 months ago
-
-
-
-
-
-
Arigato Everyone! A Decade of Blogging!6 months ago
-
Top 10 Highlights of 20246 months ago
-
-
-
Union Square Residences8 months ago
-
-
-
STI ETF9 months ago
-
-
-
Unibet Casino Bonus Codes 20249 months ago
-
-
-
-
The Stigma against Early Retirement (FIRE)11 months ago
-
Monthly IBKR Update – June 202411 months ago
-
-
-
-
-
-
-
-
-
Feb 2024 Expenditure1 year ago
-
-
-
-
-
-
-
Monthly Summary of November 20231 year ago
-
Migration of website1 year ago
-
-
-
-
-
-
Hello SP Group, I'm Back!2 years ago
-
-
-
A New Light2 years ago
-
-
-
-
-
2022 Thoughts, Hello 2023!2 years ago
-
Series of Defaults for Maple Finance2 years ago
-
Takeaways from “Sea Change”2 years ago
-
Greed is Coming Back2 years ago
-
-
-
-
-
-
-
-
What is Overemployment3 years ago
-
Terra Hill Condo (former Flynn Park)3 years ago
-
Alibaba VS Tencent: The Battle Royale3 years ago
-
-
-
-
-
-
-
-
-
-
-
-
-
Home
KOSSAN
KOSSAN 7153 KOSSAN RUBBER INDUSTRIES BERHAD 1Q net profit tumbles 91% to RM90m as glove demand, ASP normalise