Rubberex Corp (M) Bhd (+ve)
TRADING of shares in Rubberex Corp (M) Bhd (fundamental: 1.8/3, valuation: 0.6/3) triggered our momentum algorithm yesterday for the fourth time this month.
Rubberex shares closed up five sen or 4.63% at RM1.13. Some 27.47 million shares were traded, over 16 times the counter’s 200-day average volume of 1.7 million shares.
For the fourth quarter ended Dec 31, 2019, Rubberex posted a net profit of RM3.88 million, up 5% from RM3.69 million a year ago, due to favourable glove selling prices and higher profit margins. Quarterly revenue jumped 38% to RM54.64 million from RM39.52 million. For the full financial year 2019, its net profit grew by 31% to RM11.35 million from RM8.69 million as revenue increased 9% to RM222.97 million from RM205.24 million.
Rubberex manufactures household and general-purpose gloves, industrial gloves and nitrile disposable gloves for exports. It has a production facility in Bercham, Ipoh.