Top Glove stays ahead despite third-quarter headwinds

Shah Alam, Malaysia – Top Glove Corp. has seen a sharp increase in nine-month sales and profits for the three quarters ended 31 May, the Malaysian gloves maker has announced

For the nine-month period, the group posted sales of RM2.6 billion (€523 million), up 55% year-on-year, while earnings (EBTIDA) rose 89% year-on-year to RM341 million.

Volumes, meanwhile, came in 65% higher than in the corresponding period in 2024 despite a "challenging" trading environment, Top Glove reported 26 June.

The higher volumes, it noted, reflected “continued demand growth and the group’s ability to address competitive pressures.”

Raw material prices for the third quarter, to 30 May, were on a downtrend quarter-on-quarter, with the average natural latex concentrate and nitrioe latex prices down falling by 9% and 4% respectively.

The third quarter, however, also saw “pronounced headwinds, chiefly lower ASPs, heightened competition, coupled with cost savings pass through,” explained Lim Cheong Guan, managing director of Top Glove.

Against this, the MD said it was encouraging that the group remained profitable while delivering volume growth.

Moreover, Lim said Top Glove’s nine-month earnings had “substantially increased” compared to the previous year, “continuing to track steadily towards pre-Covid levels.”

Top Glove said it remains confident of long-term prospects for the glove industry, which “continue to be supported by robust fundamentals and heightened hygiene awareness, post pandemic.”

While evolving tariff actions and trade dynamics may limit near-term visibility, the group said it will continue to focus on enhancing product quality and optimising cost efficiency to increase resilience.