Medtecs profit tumbles 87% to US$17.3m on lower demand for PPE, face masks

Singapore

PROTECTIVE gear manufacturer Medtecs International on Tuesday (Mar 1) posted a net profit of US$17.3 million for the full year ended Dec 31, 2021, 87 per cent lower than the US$131.7 million posted in the year-ago period.

This was mainly due to decreased demand and margins for personal protective equipment (PPE) and face masks, the company said in a bourse filing.

The results translate to earnings per share of US$0.03171 against earnings per share of US$0.23973 in the year-ago period.

The group's FY2021 results were consistent with a profit warning released on Feb 11. Medtecs said at the time that it expects to incur a loss for the fourth quarter and the second half year ended Dec 31, 2021. This was due to inventory provisions for PPE amounting to US$3 million - arising from lower average selling prices for PPE. That being said, the company said it will still generate a net profit for the full fiscal y…

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