$Top Glove (BVA.SG)$$HARTA (5168.MY)$$KOSSAN (7153.MY)$ Mala...
Malaysia-listed glove makers have been falling the past few days to multiple month lows after Hartalega reported a 12.8% decline in net profit for the third financial quarter ended Dec 31, 2024 (3QFY2025). It was lower than expected. It also provided a lacklustre outlook for the rest of the year. The weaker guidance was said to be due to US customers front-loading their orders in the fourth quarter of calendar year 2024, which is expected to result in lower sales volumes for the first quarter of 2025. It was also noted that the rapid capacity expansion by Chinese glovemakers may also negatively affect Hartalega's sales volume.
According to an analyst covering Hartalega, the management cited that the front-loading effect was a major factor, which will impact sales volume for the coming quarters.
"I expect the share price may retrace further after the Mar reporting season if the sales volume outlook remains weak and guidance remains uninspiring," the analyst said.
"The front-loading issue seems to be a one-off event and could be resolved by May or Jun this year. With tariff benefits still intact, I wouldn't jump the gun to downgrade further at this point," the analyst added.
Kossan and Top Glove also fell.
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bullrider_21 OP : Top Glove looks oversold. May rebound from the 0.285-0.29 support.
Momentum Trader : this sector went straight to stage 4…gotta have steel balls to BTFD and sit for a long recovery imo
bullrider_21 OP Momentum Trader : Hope the front-loading issue is resolved by Jun.
103166235 : Rebound 2.10, 2.20, 2.30
hengheng888 : what is happenjng to singapore stock market? Announced good financials results, the share price dropped? for US mkts, if results is good, share price will surely go up. SGX should investigate why share price keep dropping despite financial results are good
bullrider_21 OP hengheng888 : The reason is in my post above.