KUALA LUMPUR, Dec 9 — Top Glove Corporation Bhd remained in the red with more than one per cent loss ahead of the release of its first quarter financial year 2022 (Q1 FY2022) results.

The glove maker will be releasing its Q1 results ended Nov 30, 2021 tomorrow.

At 12.30pm, the counter eased three sen to RM2.41 with 8.42 million shares traded. The stock has dropped about 14 per cent from RM2.81 on Thursday last week.

Meanwhile, the company's shareholders' approval for its Stock Exchange of Hong Kong (HKEX) listing plan have already been factored in by the market, hence did not excite investors, an analyst told Bernama.

He said the lower average selling price (ASP) projection amid normalised demand is also hurting its future prospects.

Top Glove yesterday secured shareholders’ approval at its extraordinary general meeting in support of its HKEX listing plan.

Barring unforeseen circumstances and subject to the relevant approvals being obtained, the company expects the proposed listing to be completed in Q1 2022.

"Upon completion of this exercise, Top Glove shares will be fungible among the three stock exchanges it is listed on, namely Bursa Malaysia Securities, Singapore Exchange Limited and HKEX, which is a highly liquid and active market,” managing director Datuk Lee Kim Meow said.

Top Glove’s net profit jumped 349 per cent to RM7.87 billion in FY2021 from RM1.75 billion in the same period a year earlier. 

Revenue for the year also surged by 127 per cent to RM16.4 billion from RM7.24 billion in FY2020 due to strong glove demand, coupled with elevated ASP driven by the ongoing pandemic.

However, its net profit declined to RM607.95 million in Q4 FY2021 against RM1.18 billion year-on-year, while revenue fell to RM2.12 billion from RM3.11 billion on the back of normalising demand.— Bernama