Sri Trang Gloves (Thailand) Public Company Limited or STGT announced its record high Q1/2021 net profit at THB 10,051.6 million, rose 2,245% from the same period last year. Its revenue reaches THB 15,433.7 million, an increase of 308.8% from the same period last year, as global pent-up demand continues  to push prices upward. Demand for latex gloves this year remains solid due to shortages of glove supply and the number of new cases of covid-19 does not show any sign of slowdown in many countries. 2021 growth is committed with faster than planned commissioning of new plants. Company’s board approves an interim dividend of THB 1.50 per share.

Ms. Jarinya Jirojkul, Chief Executive Officer of STGT, one of the world leader glove producer, reports that the overall performance for Q1/2021 continues to post a strong growth compared to the last year with a history record net profit of THB 10,051.6 million, soared 2,245%, while revenue reaches THB 15,433.7 million, increased 308.8% from the same period last year.

The spectacular Q1/2021 performance derived by the strong demand for latex gloves from every corner of the world. STGT successfully allocates its limited capacity to capture demand in different markets and delivered the average selling price of approx THB 2.30 per piece.  Prices continued in an upward trend since the emerge of covid-19. Meanwhile.  Despite the shortage of containers and ocean vessel space which is expected to be eased in Q3 onwards, STGT is confident overall 2021 sale volume shall increase at least 10% from the last year.

As a result of the company’s striking performance, the Board of Directors on May 12, 2021, resolved to approve an interim dividend of THB 1.50 per share, amounting to 4,286 million baht.  The ex-dividend (XD) date will be May 25, and the dividend will be paid out on June 10, 2021.

The CEO adds that the company expects the global demand for latex gloves during the rest of this year continue to be strong even the vaccine rollouts in several countries. Glove has now become an indispensable fundamental PPE, particularly during the coronavirus pandemic that changes the world into a “New Normal”.   Global demand for latex gloves is estimated at 420 billion pieces, increasing 17% from the last year.

Meanwhile, the company is committed to delivering new capacity in the second half of this year. The new SR2 plant in Surat Thani has been fully recovered and refurbished while the SR3 plant, also in Surat Thani, will commence operation in Q2/2021. In addition, another new plant in Sadao District of Songkhla will start operation in Q3, followed by the fourth plant in Trang in Q4.  Total capacity in 2021 is expected to increase 12% and 50% in 2022.