Kuala Lumpur, 26 August 2025 â Supermax Corporation Bhd reported a significant reduction in its net loss for the fourth quarter ended 30 June 2025 (4Q FY2025), but remains unprofitable for the 11th straight quarter.
Key Metrics
- Net Loss: Slowed down to RM67.04 million (2.17 sen per share) in 4Q FY2025, a substantial improvement from a loss of RM128.52 million (4.99 sen per share) in the same quarter a year earlier.
- Revenue Decline: Quarterly revenue fell 13.9% yearâonâyear, dropping to RM154.75 million from RM179.64 million, attributed to weaker sales volumes, particularly in the U.S., where inventory build-up and import surges from Chinese glove manufacturers weighed heavily.
Full-Year Recap and Dividend Outlook
- Annual Loss: Supermax narrowed its full-year net loss to RM160.40 million from RM175.62 million previously.
- Revenue Growth: For the full year, revenue increased by 21%, reaching RM781.85 million, up from RM646.17 million.
- No Dividend: The firm opted again not to declare a dividend for both the quarter and full year, marking the second consecutive year of payout abstinence. The last dividend paid was 3.5 sen per share in FY2023.
Challenges and Strategic Response
Supermaxâs continued losses reflect broader industry pressures, including heightened global competition, oversupply, depressed selling prices, elevated energy and labour costs, and U.S. trade-related uncertainties.
To mitigate these challenges, the company is accelerating its investment in automation, robotics, and AI-driven manufacturing technologies across its plants. Additionally, Supermax’s new Texas facility has entered test-run operations, having secured ISO 9001 and ISO 13485 certificationsâbolstering its strategic presence in the U.S. market.
Market Reaction
Supermaxâs stock closed at 49 sen, down 0.5 sen (â1.01%) after the announcement, giving it a market capitalisation of approximately RM1.60 billion. The share price has declined over 60% year-to-date.
Summary Table
| Metric | 4Q FY2025 | 4Q FY2024 | Year-on-Year Change |
|---|---|---|---|
| Net Loss | RM67.04 million | RM128.52 million | â47.8% |
| Revenue | RM154.75 million | RM179.64 million | â13.9% |
| Full-Year Net Loss (FY2025) | RM160.40 million | RM175.62 million | Improved year-on-year |
| Full-Year Revenue (FY2025) | RM781.85 million | RM646.17 million | +21% |
| Dividend | â | â | No payout for 2nd consecutive year |
Why It Matters
- Improved but Still Challenged: Despite narrowing its losses and growing revenue, Supermax remains in the red amid structural headwinds and prolonged industry disruption.
- No Dividends: The absence of dividends for two successive years raises concerns over profitability and capital allocation.
- Strategic Focus: Investment in automation and the U.S. facility reflects Supermaxâs pursuit of cost efficiencies and geographic expansion to regain profitability and market share.
Would you like to explore how Supermax’s performance compares to other glove manufacturers, or dig deeper into their U.S. expansion and automation strategy?
