KUALA LUMPUR: Kossan Rubber Industries Bhd expects the glove industry to face a persistent supply-demand imbalance throughout 2024, compounded by the pressure on average selling prices from international competitors.
The challenging operating conditions will be further impacted by rising costs of raw materials and natural gas. Moreover, the ongoing global logistics disruptions and container shortages, particularly due to the Red Sea Crisis, will continue to impact glove shipments, the glovemaker said in a filing with Bursa Malaysia.
In the second quarter ended June 30 (2Q24), the glove manufacturer posted a net profit of RM31.3mil, or earnings per share of 1.23 sen compared with a net loss of RM3.3mil or loss per share of 0.13 sen in the same corresponding quarter last year.Revenue for the period rose to RM429.9mil from RM387.5mil in 2Q23.
For the first half, it posted a net profit of RM62.9mil compared with a net loss of RM27.5mil while revenue rose 12.7% on-year to RM881.5mil.