Top Glove Corp. Bhd.

In the news

Top Glove upbeat on future prospects despite 13% profit fall Sep 26, 2019
Asia Pacific companies need to face up to migrant labor problems Aug 14, 2019
Malaysian glove giant in Vietnam expansion as demand surges Jul 18, 2019
Asian stocks gain amid better-than-expected China June data Jul 15, 2019
Top Glove to spend about 400 million ringgit in annual capex Jan 8, 2019

See more articles on Top Glove Corp. Bhd.

Company Background

Top Glove is the world's largest natural rubber glove maker, exporting to over 195 countries. The Malaysia-based company produces latex and nitrile gloves for health care providers and manufacturers, as well as households.

Chairman Lim Wee Chai, who had been a salesman, and his wife founded the company in 1991, when rubber prices were low and the glove industry was booming. In the mid-1990s, rubber prices rose and the industry went through consolidation; a number of rivals were squeezed out of business.

Top Glove, which started out with three production lines, now has about 500. The company turns out 48 billion gloves a year, accounting for about a quarter of the global market. The group rings up more than half of its sales in Europe and North America, but Top Glove believes demand for gloves in other regions, especially Asia, will continue to increase as populations grow.

Lim is considered a hands-on manager and adheres to a philosophy of efficiently investing $1 for every $2 earned. To save on energy costs, he keeps the air conditioning in his office set at a relatively toasty 25 C.

Business Summary

Top Glove Corp. Bhd. is an investment holding company, which engages in the manufacture and trading of rubber gloves. The company offers latex, nitrile, vinyl, surgical, household, cleanroom, cast polyethylene, industrial high risk, and thermoplastic elastomer gloves. It operates through the following geographical segments: Malaysia, Thailand, China, British Virgin Islands, and Others. The company was founded by Wee Chai Lim and Siew Bee Tong on July 9, 1991 and is headquartered in Shah Alam, Malaysia.

Financial Highlights

Aug 2019	MYR	USD
Revenue	4,801.75M	1,159.55M
Gross Profit	475.35M	114.79M
Operating income	523.52M	126.42M
Income before tax	430.74M	104.01M
Net income	370.56M	89.48M
EBITDA	718.56M	173.52M
Diluted EPS	0.14	0.03
Dividends Per Share	0.07	0.01
Total Assets	5,648.74M	1,343.18M
Total liabilities	3,205.51M	762.22M
Total equity	2,426.15M	576.90M
Operating cash flow	519.12M	125.36M
	Currency in MYR	Currency in USD

Historical Data

MYR | USD

	Aug 2015	Aug 2016	Aug 2017	Aug 2018	Aug 2019
Revenue	2,510.51M	2,888.51M	3,409.17M	4,214.48M	4,801.75M
Gross Profit	554.90M	595.54M	605.31M	846.87M	475.35M
Operating income	350.59M	386.70M	351.99M	541.75M	523.52M
Income before tax	363.53M	442.20M	385.04M	528.59M	430.74M
Net income	279.78M	360.72M	330.66M	434.21M	370.56M
EBITDA	448.67M	492.48M	458.03M	682.85M	718.56M
Diluted EPS	0.11	0.14	0.13	0.16	0.14
Dividends Per Share	0.05	0.07	0.07	0.08	0.07
Total Assets	2,687.93M	2,649.14M	2,990.17M	5,270.56M	5,648.74M
Total liabilities	1,073.53M	823.30M	925.74M	2,876.79M	3,205.51M
Total equity	1,607.96M	1,818.01M	2,055.23M	2,378.48M	2,426.15M
Operating cash flow	364.09M	466.98M	399.10M	354.21M	519.12M

	Aug 2015	Aug 2016	Aug 2017	Aug 2018	Aug 2019
Revenue	700.51M	695.95M	787.27M	1,043.53M	1,159.55M
Gross Profit	154.83M	143.49M	139.78M	209.69M	114.79M
Operating income	97.82M	93.17M	81.28M	134.14M	126.42M
Income before tax	101.43M	106.54M	88.91M	130.88M	104.01M
Net income	78.06M	86.91M	76.35M	107.51M	89.48M
EBITDA	125.19M	118.65M	105.77M	169.07M	173.52M
Diluted EPS	0.03	0.03	0.03	0.04	0.03
Dividends Per Share	0.01	0.01	0.01	0.02	0.01
Total Assets	639.98M	653.22M	700.19M	1,282.53M	1,343.18M
Total liabilities	255.60M	203.00M	216.77M	700.03M	762.22M
Total equity	382.84M	448.28M	481.26M	578.77M	576.90M
Operating cash flow	101.59M	112.51M	92.16M	87.70M	125.36M

Valuation Measures

Aug 2019
PER	32.82
ROA	6.78%
ROE	15.42%
Operating margin	10.90%
Profit margin	7.71%

Key executives

Managing Director & Director: Kim Meow Lee
Senior General Manager-Finance: Say Keong Liew
Executive Director: Cheong Guan Lim
Senior General Manager-Marketing: Noraziah Mahmud
Senior General Manager-Marketing: Yat Hing Lam

Shareholders

LIM WEE CHAI (26.7%)
Firstway United Corp. (7.1%)
Employees Provident Fund (7.1%)
Kumpulan Wang Persaraan (4.9%)
Public Mutual Bhd. (3.2%)
The Vanguard Group, Inc. (2.3%)
MFP Capital Corp. (1.7%)
Bank of Singapore Ltd. (1.7%)
Norges Bank Investment Management (1.7%)
LIM HOOI SIN (1.5%)

Contact Details

Website:http://www.topglove.com.my
Address: Level 21, Top Glove Tower, 16, Persiaran Setia Dagang, Setia Alam, Shah Alam, 40170, Malaysia
Phone: +60.3.3362.3098

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Competitors

Hartalega Holdings Bhd.
Sri Trang Agro-Industry Public Co. Ltd.

Last Updated on 14 Oct, 2019