Top Glove (TOPGLOV) Q2 2026 earnings summary

Executive summary

• Sales volume surged 57% year-over-year and 23% quarter-over-quarter in 2QFY26, with robust growth across all key markets, especially Europe and North America.

• For 1HFY26, sales volume rose 36% YoY, revenue grew 7% to RM1.9 billion, and PATAMI increased 92% to RM69 million.

• Operational efficiency improved through higher utilization rates (89% in 2QFY26), cost optimization, and organizational realignment.

• Positive operating cash flow and proceeds from land disposal reduced bank borrowings and financing costs, strengthening the cash position.

• Achieved top honors in governance and sustainability, ranked #1 among 847 PLCs on Bursa Malaysia and included in the S&P Sustainability Yearbook for the fifth consecutive year.

Financial highlights

• 2QFY26 revenue rose 14% YoY to RM1,005 million; sales volume up 57% YoY and 23% QoQ.

• Adjusted EBITDA increased 14% YoY to RM138 million; adjusted PATAMI up 142% YoY to RM46 million.

• 1HFY26 revenue grew 7% YoY to RM1,889 million; adjusted EBITDA up 32% YoY to RM272 million; adjusted PATAMI up 389% YoY to RM88 million.

• EBITDA for 1HFY2026 was RM253 million, up 13% YoY, with an EBITDA margin of 13%.

• Foreign exchange loss of RM15 million in 2QFY26 due to sharp Ringgit strengthening.

Outlook and guidance

• Healthy order book maintained despite Middle East disruptions; glove demand remains strong.

• Ongoing geopolitical risks may increase raw material and energy costs; proactive engagement with customers and suppliers to mitigate impact.

• ASPs expected to rise in line with anticipated raw material price hikes.

• The group will continue to calibrate hedging practices to manage forex volatility.