Top Glove Foresees Improving Sales Volume To Europe To Meet Strong Orders

KUALA LUMPUR, Dec 17 (Bernama) -- Top Glove Corporation Bhd expects its sales volume to Europe to improve significantly during the second quarter of the financial year ending Aug 31, 2026 (2Q FY2026), underpinned by the recently secured strong orders.

Managing director Lim Cheong Guan said glove demand continues to rise, with stronger and sustainable growth projected, enabling the group to compete more effectively and secure additional orders across all regions.

“As glove demand continues to strengthen, we will keep expanding capacity, sharpening our operations, and capturing opportunities across the markets we serve," he said during a virtual media briefing on its financial results for the first quarter ended Nov 30, 2025 (1Q FY2026) today.

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Earlier today, Top Glove announced its net profit surged to RM38.58 million in the 1Q FY2026 compared to RM5.47 million in the same quarter in the preceding year, primarily driven by robust sales volume growth across key markets, particularly in the United States.

Revenue slipped slightly to RM883.57 million in 1Q from RM885.89 million previously amid a challenging and competitive environment, the company said in a statement to Bursa Malaysia.

“In 1Q FY2026, we are now cruising with confidence, powered by improved efficiency, stronger operations, and a team that knows exactly what it takes to win,” Lim said.

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According to Lim, to meet the growing demand and high utilisation across its production capacity, Top Glove has recommenced operations at four additional factories, bringing an additional six billion pieces of annual capacity by the end of FY2026.

“In 1Q FY2026, our running capacity was at 65 billion pieces with utilisation of around 73 per cent.

“Looking ahead, we expect utilisation to continue its upward trend, reaching around 75 per cent in the coming months as monthly sales gained momentum from December onwards,” he added.

On prospects, Lim emphasised that the group remained constructive on the outlook of all the glove industries and confident of its ability to deliver stronger sales growth in the coming quarters.

He said that, with stronger demand and extended lead time, the group sees an opportunity to gradually increase the average selling price.

“Our results reinforced fundamental expanding capacity and disciplined execution, giving us confidence in our ability to navigate market dynamics and deliver sustainable growth.

“Like any business, we expect occasional challenges, but we are confident that robust demand will persist, supported by several key factors,” he added. 

-- BERNAMA