Singapore Exchange Ltd (SGX)

Singapore Exchange is Asia’s leading and trusted market infrastructure, facilitating the exchange of capital and ideas to create value for people, businesses and economies. As a multi-asset exchange operating equity, fixed income and derivatives markets to the highest regulatory standards, SGX is a vertically integrated business that provides listing, trading, clearing, settlement, depository and data services.

With about 40% of listed companies and over 80% of listed bonds originating outside of Singapore as well as established linkages across the region and in Europe, SGX is Asia’s most international and connected exchange. Offering a full suite of derivatives products across Asian equity indices, commodities and currencies, SGX is the world’s most liquid international market for the benchmark equity indices of China, India, Japan and ASEAN.

As Asia’s pioneering central counterparty, SGX is globally recognised for its risk management and clearing capabilities, and was one of the first globally to adopt the Principles for Financial Market Infrastructure.

Headquartered in AAA-rated Singapore, SGX has over 800 employees including offices in Beijing, Chicago, Hong Kong, London, New York, Mumbai, San Francisco, Shanghai and Tokyo.

Asia’s leading multi-asset exchange

SGX Market Strategist, Equity & Fixed Income, Singapore Exchange Ltd (SGX)

Geoff Howie

SGX Market Strategist, Equity & Fixed Income

Equity Bottom-Up

<h2>10 Questions for Top Glove Corporation</h2>
<p>Company Overview<br>Established in 1991 and headquartered in Malaysia, Top Glove Corporation Bhd is the world’s largest manufacturer of gloves capturing 26% of the world’s market share for rubber gloves. The company has manufacturing operations in Malaysia, Thailand, China and Vietnam. Top Glove offers a comprehensive product range, which now includes a non-glove segment comprising condoms, face masks, dental dams and exercise bands. <a href="https://www.sgx.com/securities/equities/BVA" target="_blank" rel="noopener">Link to StockFacts company page</a></p>
<ol>
<li><strong>What are some notable developments that Top Glove’s shareholders can look forward to? </strong></li>
</ol>
<ul>
<li>We believe that global demand for gloves will continue to be robust, growing by c.25% in 2021, especially given the current pandemic. Average Selling Prices (ASP) have also been increasing monthly, along with higher raw material and operating costs. We have since allocated 30% of our total capacity for spot orders and are fully sold for the next 3 months.</li>
<li>Post-pandemic, global demand for gloves is expected to grow at 15%, higher than pre-pandemic given the increased awareness and best practices adopted in medical and non-medical sectors.</li>
<li>We have earmarked a capital expenditure of RM10 billion for the next 5 years to be invested in several key areas including new capacity expansion, enhancement of existing manufacturing facilities, a Nitrile latex plant, a gamma sterilisation plant, land bank for future expansion, industry 4.0 initiatives and improve workers’ facilities.</li>
<li>We adopt a 50% dividend payout policy with payment on a quarterly basis, and we have committed to a payout ratio of 51% for FY2020.</li>
</ul>
<p><strong>2. What differentiates Top Glove from its competitors?</strong></p>
<ul>
<li>We have grown exponentially in 30 years to be the world’s largest manufacturer for Nitrile Rubber gloves, Rubber gloves and Surgical gloves.</li>
<li>We have a balanced product mix, allowing us to tap on a wider range of customers globally across medical and non-medical sectors. We now serve 2,000 customers worldwide and export to over 195 countries, and no single customer contributes over 4% of our revenue.</li>
<li>Our operations risk is also lower and diverse as we operate in various countries, including Malaysia, Thailand, China, United States, Germany, Brazil and Vietnam.</li>
</ul>

10 Questions for Top Glove Corporation
Company Overview Established in 1991 and headquartered in Malaysia, Top Glove Corporation Bhd is the world’s largest manufacturer of gloves capturing 26% of the world’s market share for rubber gloves. The company has manufacturing operations in Malaysia, Thailand, China and Vietnam. Top Glove offers a comprehensive product range, which now includes a non-glove segment comprising condoms, face masks, dental dams and exercise bands. Link to StockFacts company page

What are some notable developments that Top Glove’s shareholders can look forward to? 


We believe that global demand for gloves will continue to be robust, growing by c.25% in 2021, especially given the current pandemic. Average Selling Prices (ASP) have also been increasing monthly, along with higher raw material and operating costs. We have since allocated 30% of our total capacity for spot orders and are fully sold for the next 3 months.
Post-pandemic, global demand for gloves is expected to grow at 15%, higher than pre-pandemic given the increased awareness and best practices adopted in medical and non-medical sectors.
We have earmarked a capital expenditure of RM10 billion for the next 5 years to be invested in several key areas including new capacity expansion, enhancement of existing manufacturing facilities, a Nitrile latex plant, a gamma sterilisation plant, land bank for future expansion, industry 4.0 initiatives and improve workers’ facilities.
We adopt a 50% dividend payout policy with payment on a quarterly basis, and we have committed to a payout ratio of 51% for FY2020.

2. What differentiates Top Glove from its competitors?

We have grown exponentially in 30 years to be the world’s largest manufacturer for Nitrile Rubber gloves, Rubber gloves and Surgical gloves.
We have a balanced product mix, allowing us to tap on a wider range of customers globally across medical and non-medical sectors. We now serve 2,000 customers worldwide and export to over 195 countries, and no single customer contributes over 4% of our revenue.
Our operations risk is also lower and diverse as we operate in various countries, including Malaysia, Thailand, China, United States, Germany, Brazil and Vietnam.


10 in 10 with Top Glove Corporation – Gloves For The World