Riverstone posts 5% drop in Q4 profit

RIVERSTONE Holdings reported a 5 per cent drop in net profit to RM34.23 million for the fourth quarter ended Dec 31, 2017 due to an increase in other operating expenses and finance costs.

But revenue rose 15.1 per cent to RM210.69 million during the same period, the producer of healthcare gloves said on Thursday.

The increase in other operating expenses was mainly due to the net foreign exchange loss of RM13 million that was partly offset by a fair value gain of RM6.7 million on derivatives.

For the full year, the group posted a 7.4 per cent rise in net profit to RM129.29 million on the back of a 24.8 per cent jump in revenue to RM817.44 million.

But gross profit margin for the year fell to 24.2 per cent from 26.4 per cent due to drop in average selling price for healthcare gloves and change in product mix.

As of December 2017, the group has a total annual production capacity of 7.6 billion gloves.