KUALA LUMPUR: Glove maker Supermax Corp Bhd posted net profit of RM38.12 million for the third quarter ended Sept 30, 2011, down marginally from RM40.15 million a year ago due to the weaker US dollar and rising latex prices.

It said on Monday, Nov 8 that revenue was RM235.1 0 million versus RM237.56 million a year ago. Earnings per share were 11.24 sen versus 15.14 sen.

Supermax said the group sold more gloves during the current quarter compared to the corresponding quarter a year ago but revenue was slightly lower by 1% or RM2.4 million.

"This is because the US dollar has continuously & steadily weakened against the Ringgit by 10.2% during this period from an average of US$1:RM3.52 to US$1:RM3.16," it said.

It said margins were affected by the weakening US Dollar together with escalating latex prices where latex is the largest cost component in rubber glove manufacturing at close to 60% of total costs and it rose by 58% during this period.

"The escalation & increase in latex prices and the weakening of the US Dollar were faster than the costs pass through onto the product selling prices during this period. As such, profit before tax and profit after tax fell by 11.3% (RM5.3 million) and 5.0% (RM2.0 million) respectively," it said.