The world is using fewer condoms than expected - The Hustle
The Hustle

The world is using fewer condoms than expected

Condom makers have been taken by surprise.

You might not know of Karex, but a lot of people use its products.

The Malaysian company is responsible for producing 20% of the world’s condoms, and it exports 5B condoms each year.

Karex stock has been in a long, slow decline since 2016, but at the start of the pandemic, hopes were high that the trend would reverse with everyone bored at home.

Yet its stock is currently down ~60% from its 2020 high. Why?

Partially because condom use hasn’t spiked on a net basis, as hotels and clinics have closed and some governments halted condom handouts.

The company is now pivoting to medical glove-making, which seems reasonable given the state of the world.

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