KUALA LUMPUR: Kossan Rubber Industries Bhd
noticed its profit greater than halve to RM218.67mil within the fourth quarter ended Dec 31, 2021 (4Q21) from RM543.42mil in the identical quarter a yr in the past.
For 4Q21, the glovemaker’s income decreased by 29.26% to RM924.56mil as in contrast with RM1.31bil in 4Q20 as a result of decrease income from all three divisions.
Kossan has declared a fourth interim dividend of 12 sen per share for the monetary yr ended Dec 31, 2021 (FY21). The entitlement information is on April 6, 2022 and payable on April 22, 2022.
For the total monetary yr, Kossan’s net profit jumped 162.6% to RM2.85bil in opposition to RM1.08bil a yr in the past primarily as a result of increased common promoting worth (ASP) within the gloves division.
It recorded income of RM6.66bil, a rise of 82.97% as in contrast with RM3.64bil in FY20 as a result of increased income from all three divisions.
Commenting on its prospects, Kossan stated the glove business remained difficult with the availability and demand imbalance persisting.
“The group expects the continued tapering of glove demand and ASP from the heights of the pandemic as a result of the rollout of mass vaccinations globally,” it stated, including that glove sector is seeing elevated competitors and incoming capability from home in addition to international producers.
“As we move forward, the group will continue with its transformation where structural changes have been implemented throughout the organisation, with a focus on operating efficiency which will allow the group to be resilient even in the face of rising costs and heightened competition,” Kossan stated,
The group has accelerated reinvestments into digitalisation and automation of its vegetation to extend productiveness and to arrange the group for its subsequent part of progress.
“Post-pandemic, the glove industry will continue to experience stable growth underpinned by higher healthcare standards and hygiene awareness in both the medical and non-medical sectors,” it stated.
