Riverstone posts 76.2% drop in Q3 earnings to RM63.5m
MAINBOARD-LISTED specialised cleanroom and healthcare glove manufacturer Riverstone Holdings on Wednesday (Nov 9) reported third-quarter earnings of RM63.5 million (S$19 million), a 76.2 per cent fall from RM266.4 million in the year-ago period.
Earnings per share fell to 4.28 sen, from 17.97 sen in the previous year.
Q3 revenue dropped 58.6 per cent to RM270 million, compared to RM652.8 million in the corresponding quarter last year.
Gross profit decreased 74.5 per cent year-on-year to RM91.2 million from RM357.2 million.
The company said future challenges will be macroeconomic headwinds such as price competition, US dollar fluctuations, volatile raw material prices and increase in overall production costs.
Riverstone executive chairman and chief executive Wong Teek Son said that despite normalisation of demand for healthcare gloves, the company’s clean room segment continues to hold steady.
“Our products, which typically have stringent customer requirements, are not easy to replicate and enable us to have market leadership in the industry,” he added.
The company’s board has recommended a second interim dividend of six sen per share.
Shares of Riverstone rose 2.6 per cent or S$0.015 to S$0.585 before the results were announced.
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