Riverstone hit by stiff competition

Its 3Q ASP declined 2.5% despite robust healthcare market.

Despite the strong demand in the healthcare space, Riverstone Holdings' ASP has declined by 2.5% QoQ in 3Q16, on the back of increasing pressure to lower prices from customers due to stiff competition.

Moving forward, gross margins are likely to fluctuate around the 15% level, said RHB.

The research house also expects the downward pressure on ASPs to continue in the near future as competitors continue with their expansion plans to boost capacity.

Sales from the cleanroom segment increased by 15% QoQ in 3Q16, with the company gaining new customers from the Automotive and Pharmaceutical sectors. However, that was not enough to maintain the sales mix for the additional capacity of 1bn pa.

RHB said that while demand from the healthcare segment remains relatively strong, it resulted in a higher sales mix of healthcare gloves, which yield lower margins.

Reaching the people who run Asia's businesses is harder than it used to be.

Inboxes are crowded. Attention is short. The executives you most want to reach — the founders, CFOs, and operators who actually move budgets — are the hardest to find through the usual channels. If you're building a company, a category, or a reputation, you already know this.

We've spent twenty years building the room they read. Singapore Business Review is where senior decision makers in Singapore and across Southeast Asia come for business coverage they can't get elsewhere — in print, online, and in person at the summits and roundtables we host across seven markets.

If you have something these readers should know about — a point of view worth publishing, a product worth their attention, an event worth their time — we'd like to hear what you're trying to do.

Book a meeting

| Or download the media kit (PDF)

240,000 senior readers quarterly in print Top 1,700 Singapore companies reached

7 markets across Southeast Asia