Employees work on the High Glove manufacturing unit analysis and improvement lab in Shah Alam on the outskirts of Kuala Lumpur on August 26, 2020.MOHD RASFAN | AFP through Getty ImagesSINGAPORE — Malaysia’s High Glove, the world’s largest medical glove maker, sees “very sturdy” development forward, in response to the corporate’s managing director, Lee Kim Meow.”We’re very optimistic of our future,” Lee informed CNBC’s “Street Indicators Asia” on Friday.His feedback got here after High Glove on Thursday reported that its fiscal 2020 post-tax revenue spiked 417% from final yr. The corporate stated the “great development stemmed from a world surge in demand for gloves on the again of the COVID-19 pandemic.””2020 in the event you take a look at it, the impact solely (kicked) in across the center of this yr,” stated Lee.Wanting forward, he stated the corporate expects a minimum of 20% to 30% extra development for subsequent yr and a minimum of 15% to 20% for 2022.The Covid-19 pandemic has pushed gloves and face masks to the forefront.Lee Kim MeowManaging Director, High GloveLee stated the coronavirus pandemic has had a “reasonably profound” affect on glove producers.”The Covid-19 pandemic has pushed gloves and face masks to the forefront,” he stated.When requested about demand and attainable results of stockpiling, Lee stated items are offered out for his or her distributors and prospects “even earlier than the container has arrived of their warehouse.””It isn’t a case like they’re shopping for the gloves to stockpile, to prepare, and to maintain two or three months stock,” Lee stated. “In our conversations with lots of our prospects, they’ve informed us that they haven’t any stock in any respect at their warehouse and so they’re nonetheless making an attempt very desperately to get their palms on as many gloves as attainable.”Hong Kong itemizing?Shares of High Glove listed in Singapore and Malaysia have seen multi-fold good points thus far in 2020, boosted by the report demand for medical gloves.High Glove can be planning a 3rd itemizing in Hong Kong inside six to 9 months, in response to Reuters. The corporate’s managing director informed CNBC a 3rd itemizing could be a “very pure development.””We need to create an even bigger platform whereby our traders can have extra alternatives to spend money on the High Glove group and on the similar time additionally it has to do with company picture,” Lee stated.”Basically, we take a look at it as the likelihood to boost funds to have a look at the strategic M&As and even the acquisition of firms that play a really synergistic half in our larger image to develop from a glove producer and to maneuver into different strategic enterprise,” he stated.
