Top Glove sees FY2027 growth as higher costs prompt price increases
FY2026 net profit tripled to RM308 million, while revenue rose 21% to RM4.23 billion on higher sales volume.
Top Glove Corporation Bhd expects profit or sales to grow by about 10% in FY2027, executive chairman Tan Sri Dr Lim Wee Chai said, after reporting a threefold increase in FY2026 net profit. The group is also raising glove prices to offset higher operating costs.
Speaking at a briefing on its fourth-quarter results, Lim said the outlook followed projected global market demand growth of around 10%. He said stronger execution could allow the group to exceed that rate and improve on its FY2026 performance.
For FY2026, which ended on Aug 31, 2026, net profit reached RM308 million. Revenue increased to RM4.23 billion, up 21% from FY2025, with sales volume rising 28%.
Joint managing director Ng Yong Lin said a 30% increase in gas tariffs from Oct 1 would add 50 to 70 US cents to the cost of producing 1,000 pieces, equivalent to about RM2 to RM2.86, or 2% or 3%. The group also faces higher raw material costs linked to crude oil price volatility amid the prolonged Iran war.
The company is increasing average selling prices for October and November by US$2 to US$4 for every 1,000 pieces. Lim said orders for both months remained strong despite the adjustments. Ng said energy use for every 1,000 gloves had fallen by 30% to 35% against 2019 levels, while automation and AI technology were expected to help protect margins.
Top Glove shares finished at 87.5 sen, gaining nine sen or 11.46%, with market capitalisation reaching RM7.2 billion. Trading volume was 165.13 million shares, making it Bursa Malaysia's second most active stock.
