Latexx 3Q net jumps 130% to RM14m

Latexx 3Q net jumps 130% to RM14m

Tags: Latexx Partners Bhd | third quarter

Written by Financial Daily
Tuesday, 03 November 2009 11:16

KUALA LUMPUR: LATEXX PARTNERS BHD [] posted a net profit of RM14.27 million for the third quarter ended Sept 30, 2009, a 130% jump from RM6.2 million a year earlier, boosted by increased sales and improved overall efficiency through lower overheads, operational and supervision costs.

Revenue came in at RM80.84 million, up 29% from RM62.65 million previously, driven by recent capacity expansion and aggressive marketing strategy, as well as overall cost savings. The group declared a second interim tax-exempt dividend of one sen per share for FY09.

For the nine-month period, net profit jumped 311% to RM34.83 million from RM8.47 million last year, while turnover improved 47% to RM225.59 million compared with RM153.4 million previously.

In a statement to the stock exchange yesterday, the glove maker said it was confident that the growth achieved in the past 18 months would be sustained in tandem with the growth of world demand for medical gloves. Latexx also said its capacity expansion was on track, with the installation of an additional eight double-formers production lines expected to be completed and fully operational by year-end.

This will bring the company’s total capacity to six billion pieces per annum.

“In addition, CONSTRUCTION [] of an additional production plant adjacent to existing production facilities has commenced. It is expected to increase our total capacity by another three billion pieces per annum within the next two years,” said Latexx.


This article appeared in The Edge Financial Daily, November 3, 2009.