Hartalega 4Q net income surge to RM1.12b


HARTALEGA Holdings Bhd’s net profit jumped in its fourth quarter ended March 31, 2021 to RM1.12 billion from RM114.42 million posted in the same period last year on higher sales revenue, lower utilities and upkeep expenses.

Its revenue also rose significantly year-on-year (YoY) to RM2.30 billion against RM778.24 million on higher average selling price.

In a filing with Bursa Malaysia today, the group noted that for the year-to-date (YTD) period, the group’s net profit was at RM2.89 billion against the previous RM433.62 million on higher sales revenue, better production efficiency and after offsetting higher raw material price.

Its revenue for the YTD period was also much higher on increased average selling price as well as sales volume, going up to RM6.70 billion against the previous RM2.92 billion.

The Group’s strong performance for the year was primarily due to significantly higher sales revenue, driven by higher average selling prices and increased sales volume, although this was partially affected in the fourth quarter due to the temporary disruption in the global container supply chain.

Earnings per share (EPS) for the fourth quarter grew to 32.75 sen while for the full financial year, EPS improved to 84.43 sen. Net assets per share stood at RM1.45 as on 31 March 2021.

“While vaccination programmes have commenced, countries across the world have unfortunately seen new waves of COVID-19 cases, particularly in India, South America, the Middle East and Southeast Asia.

“As such, global demand for medical supplies including nitrile gloves is expected to remain elevated. Heightened demand growth will further be driven by the structural step-up in demand, on the back of increased glove usage from emerging markets with low glove consumption per capita and increased hygiene awareness, establishing a new baseline for the industry,” said CEO Hartalega Kuan Mun Leong in a separate statement.