Top Glove's ratings reflect its global market leadership position in glove manufacturing.

KUALA LUMPUR: Top Glove Corporation Bhd maintained its corporate credit rating of AA+ in 2022 by the Malaysian Rating Corporation Bhd (MARC) in 2021.

Concurrently, Top Glove successfully maintained its 2021 rating of AA-IS(CG) with a stable outlook concerning its special purpose vehicle, TG Excellence Bhd's Perpetual Sukuk Wakalah Programme.

Executive director Lim Cheong Guan said the positive ratings affirm the confidence in the company's promising long-term prospects and the leadership team's capabilities.

"We are inspired to continue building on our firm foundation while deepening our commitment to sustainability, towards deftly navigating this challenging period and delivering the results our stakeholders have expected of us," he said in a recent statement.

Top Glove's ratings reflect its global market leadership position in glove manufacturing, its strong cash flow generation and its liquidity position relative to its financial obligations, which the company has maintained amidst a challenging business environment.

MARC Ratings notes that Top Glove's robust balance sheet has been further strengthened with a sharp increase in equity base to RM6.9 billion for the first half of financial year (FY) 2022 from RM2.6 billion in FY19.

Its adjusted debt-to-equity (DE) was strong at 0.20x and in a net cash position.

The company's capital structure will remain strong in the foreseeable future.

New Straits Times