Kossan Rubber reported its 9-month results achieving a revenue of RM1.19 billion, a decrease of 35.4% as compared with RM1.83 billion in 9M22 due to lower revenue from all the divisions. Profit sank to RM13 million compared to RM159 million it registered in 9M22.
The decrease itsaid was mainly due to lower revenue from Gloves and Clean-Room division. The Gloves division’s revenue decreased by 40.0% to RM954.63 million in 9M23 as compared with RM1.59 billion in 9M22. Loss before tax was RM15.77 million in 9M23 as compared with PBT of RM165.35 million in 9M22 due to lower sales volume, lower ASP, higher natural gas cost and lower plant utilisation with higher overhead costs in 9M23.
For the third quarter, the Group recorded revenue of RM403.48 million, a decrease of 28.0% as compared with RM560.52 million in 3Q22 due to the lower revenue from all divisions. Profit before taxation increased by 76.1% to RM48.96 million as compared with PBT of RM27.80 million in 3Q22 mainly due to higher PBT from the Gloves and TRP division.
The Gloves division’s revenue decreased by 30.8% to RM321.24 million in 3Q23 as compared with RM464.17 million in 3Q22 due to the lower average selling price (ASP) and lower sales volume. PBT was RM31.21 million in 3Q23 as compared with PBT of RM1.00 million in 3Q22 due to improved cost control management, with lower raw material costs in 3Q23.
Looking forward, despite the current operating challenges, the Group is unwavering in its commitment to the glove industry.
