JAKARTA. PT Mark Dynamics Indonesia Tbk (MARK), a glove mold manufacturer, has reduced production even though market demand for glove is on the rise because of the COVID-19 pandemic.
Handiman Soetoyo, Analyst of Mirae Asset Sekuritas, said that the company's decision to reduce production was due to export barriers to Malaysia. Exports to Malaysia alone contributed 65% of MARK's sales in 2019. "The main export destination, Malaysia, has been locked down for several weeks. As a result, gloves manufacturers reduce their production activities, " explained Soetoyo in his research report today.
Nevertheless, MARK has exported its products to China. This also makes the company remain confident of recording 16% revenue growth at the end of 2020.
Previously, MARK continued to increase its glove mold production capacity. In December 2019, the production capacity of MARK had reached 610,000, then it was increased in January 2020 to 710,000.
Soetoyo assesses that MARK will be able to maintain its reputation as a global market leader in glove mold industry, and "record stable growth in the future." (KR/AR)