World’s top condom maker expects rising demand as SOPs ease

 

Karex Bhd, which makes Durex condoms, produces one of every five condoms worldwide. (Bernama pic)

KUALA LUMPUR: The world’s largest producer of condoms said it expects the demand for its products to increase as the widening vaccine coverage prompt governments to ease social-distancing rules.

The use of the company’s products were reported to have slumped as much as 40% in the last two years.

“As vaccination rates ramp up around the world, more economies continue to relax restrictions and societies begin to adapt to post-pandemic life,” Karex Bhd said in a note accompanying its earnings on Monday.

Karex, which produces Durex condoms, makes one out of every five condoms worldwide. It reported a loss of RM2.8 million in the December quarter, versus RM2.8 million profit a year earlier, because of higher costs of raw materials and Covid-induced disruptions in supply chains. Revenue declined about 11%.

The company said that the exceptional measures implemented during the pandemic had drastically affected the sexual health and medical devices industries.

The use of the company’s products slumped as much as 40% in the last two years, Nikkei Asia reported last month, citing CEO Goh Miah Kiat.

The closure of hotels and non-essential clinics such as sexual wellness centres during the pandemic, along with various governments suspending condom handout programmes, contributed to the drop in Karex’s condoms sales, according to the report. - FMT