Glove former

Hi guys,

Covid 19 latest infections have almost reached 8 Million people in over 180 Nations. And Malaysia supllies 2/3 of the life saving Exam & Surgical Gloves in this time of Emergency

There are 7 Glove Players in Malaysia - Topglove, Harta, Kossan, Supermax, Comfort, Rubberex & Careplus (Plus 3 in Singapore - Riverstone, Sri Trang & Ug healthcare)

 

And almost all Glove Companies are stepping up production to FULL CAPACITY & OVER TIME!

Plus Supermax is building 4 More NEW GLOVE FACTORIES AS well as TOPGLOVE, RUBBEREX & All OTHERS

SRI TRANG (THAILAND) ALSO GOING INTO IPO AND EXPANDING FEVERISHLY

But there s only one Glove hand mold maker called Es_ceramic

See

https://www.youtube.com/watch?v=fJCfnmEcQ-E

 

With the NEED FOR MORE HAND MOLDS ALSO MEAN THE NEED FOR MORE GLOVE LATEX AND GLOVE NITRILE CHEMICALS

 

Plus there are few glove chemical makers like Luxchem & Samchem

And as both Luxchem & Samchem have gone up in prices

Calvin has found TEXCHEM at 49 sen to be another potential glove chemical laggard

See (Refer to TEXCHEM ANNUAL REPORT: Page 4)

The US-China trade war has resulted in severe raw material price reduction, unstable supply and demand and keen

competition affecting margins. Our Industrial Division cushioned this impact by increasing sales volumes and recorded

marginally lower revenue of RM442.0 million (FY 2018: RM445.3 million) and lower pre-tax profits at RM4.6 million

(FY 2018: RM5.4 million). The Division ceased its distribution of food additives in Vietnam due to severe competition

resulting in pre-tax loss amounting to RM0.4 million. Meanwhile, diversification into the manufacturing of latex glove

chemicals is progressing as planned.

 

TEXCHEM INDUSTRIAL POLYMER REVENUE IS BIGGER THEN ITS SUSHI KING FOOD BUSINESS

 

So the Pivoting into Glove Latex & Glove Nitrile Chemical is IN PERFECT CHUN CHUN TIMING

 

Its fore runner is the TEXSHIELD (Face shield) already selling well in the market

 

See

 

 

 

 

 

 

 

SELLING WELL ON-LINE

 

 

 

 

 

 

 

SO BOTH ES_CERAMIC & TEXCHEM WILL DO WELL

(NOTE: TOPGLOVE SAID ALL RUBBER GLOVES HAVE BEEN PRE-BOOKED AND SOLD FOR THE NEXT 400 DAYS)

 

 

ES_CERAMIC IS 52.5 SEN

 

Target price is 70 sen to 80 sen

 

TEXCHEM IS 49 SEN

 

Target price is 70 sen to 80 sen

 

 

 

Best regards

 

Calvin Tan Research

Singapore

 

 

Please buy or sell after doing your own due diligence. In doubt please consult your Remisier or Fund Manager

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Gloves Supply will continue to increase and boost up every year
https://www.google.com/imgres?imgurl=https%3A%2F%2Fwww.gminsights.com%...


A search about Glove Former keywords:
https://www.google.com/search?q=gloves+former&oq=gloves+former&...-8

**** & our guru Calvin Tan post ****
https://klse.i3investor.com/blogs/www.eaglevisioninvest.com/2020-06-14...

If one day where other gloves former companies, like below, do subscribe it's IPO and go for it

Creamtec
https://www.ceramtec.com/dipping-formers-for-gloves/
(The CeramTec subsidiary in Seremban, Malaysia produces and sells ceramic dipping formers used to manufacture rubber gloves, operation/surgical gloves, examination gloves, household gloves and industrial gloves)

GIC
http://gloveformer.my/

MediCeram
http://mediceram.com.my/products/

Gotaj Ceramics
https://www.gotajceramics.com/

Also it has a challenging competitor in Thailand right now, Progress Plasmic
https://www.progressplasmic.com/en/

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From Calvin Tan : T

These are the salient factors:

1. Excellent result of 1,000% profit surge

2. Results shown are due to increasing ASP, payables received and cash upfront from new orders of hand molds.

This shows that Esceramic is involved with CASH Business with Good Paying Customers

3. As a result Cash position has jumped to Rm60 millions

4. With so much fresh sales Esceramic is doubling production from 500,000 hand formers to 1 million hand formers by adding two new factories -- making it the largest Glove Hand Formers manufacturer in the world

With factories located both in Thailand and Perak it will capture the lion share of glove hand Former business by both sales and services (hand formers life span ranges from 8 months to 15 months ) and are subjected to constant moving, dipping into chemicals and heating in ovens see https://www.youtube.com/watch?v=1-uH0KmgU_o

5. Sri Trang Thai Rm6.4 billion expansion till year 2026 will ensure lots of immediate business

6. Hartalega Rm7 billions expansion near Thai border will give long term 20 years demand

7. Thailand is now the bigger rubber producer on earth followed by Indonesia Malaysia in 3rd place

Japan, USA and Europe cannot compete in medical gloves because rubber trees cannot grow in their countries so they don't have fresh rubber latex . For Sri Trang Thai and Topgloves they have their own rubber plantations

8. That means that Esceramic is almost a sole monopoly and will have a long term edge in growth for many more years to come