Revenue for the quarter also improved by 20% to RM636.88 million versus RM530.62 million previously.

“The group’s more robust performance was driven primarily by stronger glove demand, as customers replenished their glove inventories having cleared excess stocks.

“The higher utilisation, coupled with ongoing quality and cost optimisation measures also positively impacted the bottom line,” the glovemaker said in a filing with Bursa Malaysia today.

The group said that although raw material costs escalated in Q3 FY2024, it successfully reduced its production costs through multiple improvement initiatives.

Prices of raw material for Q3 FY2024 were on an uptrend mode quarter on quarter, with the average natural latex concentrate price up by 20% to RM6.77 per kg, while the average nitrile latex price rose 16% to US$0.89 (RM4.19) per kg.

Moreover, with growing glove demand, the group was able to share some of the cost increases with customers through upward revisions in the average selling prices.

Additionally, the sale of excess land helped to strengthen the group’s profit and cash flow position, which was in line with a key objective of its turnaround plan.

“We are pleased to see a return to black this quarter as the glove industry turns a corner, and we remain deeply appreciative of our colleagues whose good efforts and commitment have been instrumental in accelerating our recovery,” said Top Glove managing director Lim Cheong Guan in a statement.

As at 3.40pm, Top Glove’s share price was down by 3 sen or 2.56% at RM1.14, giving the group a market capitalisation of RM9.36 billion.