Top Glove on the Path to Recovery!
Top Glove Corporation Bhd has reported improved performance in the fourth quarter of the financial year 2023 (4QFY2023), signalling a path to recovery for the company. Despite a challenging business environment, the company achieved a sales revenue of RM476 million in 4QFY2023. However, it recorded a loss after tax of RM454 million, which includes a one-off impairment on goodwill, property, plant, and equipment amounting to RM389 million.
Excluding this impairment, the loss after tax for the quarter would have been narrower at RM65 million. Top Glove’s EBITDA and cashflow from operations were positive for 4QFY2023, marking progress in the glove industry’s recovery from demand-supply imbalances.
Top Glove on the Path to Recovery!
For the full financial year 2023 (FY2023), Top Glove reported sales revenue of RM2.26 billion and a loss after tax of RM887 million. Excluding the impairment, the loss after tax for the year would have been RM498 million.
Mr. Lim Cheong Guan, Managing Director of Top Glove, expressed optimism about the company’s future, stating, “Our 4QFY2023 performance is encouraging… We will continue to pursue the strategies outlined towards regaining lost ground and expediting our recovery.” He also noted the increasing demand for gloves post-pandemic due to heightened hygiene and health awareness.
Despite challenges, including high energy costs, Top Glove remains committed to sustainability and has received multiple accolades for its efforts. The company will focus on improving its core glove business, enhancing quality and cost efficiencies, and innovating to meet evolving customer needs.
Mr. Lim concluded, “Top Glove remains wholly committed to delivering high-quality products at an efficient cost to our customers, while implementing sustainable business practices. The Group will continue to improve and innovate, and we are confident of getting through this challenging period, as we move forward onto recovery and beyond.”
Brief
Top Glove reports improved 4QFY2023 performance, despite challenges, signaling a path to recovery in the glove industry. The company achieved a sales revenue of RM476 million for the quarter. Excluding one-off impairments, the loss after tax for 4QFY2023 would have been narrower at RM65 million. Positive EBITDA and cash flow from operations were achieved.
For FY2023, Top Glove reported sales revenue of RM2.26 billion and a loss after tax of RM887 million. Excluding impairments, the loss after tax for the year would have been RM498 million. The company remains committed to sustainability and has received multiple accolades. It will focus on improving its core glove business and innovating to meet customer needs.