<PAGE>
 
                      SECURITIES AND EXCHANGE COMMISSION
                            Washington, D.C. 20549

                                   FORM 10-Q

     [x]  QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
          SECURITIES EXCHANGE ACT OF 1934 FOR THE QUARTERLY PERIOD YEAR ENDED
          MARCH 31, 1999 OR

     [_]  TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
          SECURITIES EXCHANGE ACT OF 1934 FOR THE TRANSITION PERIOD
          FROM ______________ TO ________________.

                       Commission file number 333-64675

                           GLOBE MANUFACTURING CORP.
            (Exact name of registrant as specified in its charter)

                    Alabama                               63-1101362         
       (State or other jurisdiction of                 (I.R.S. Employer 
        incorporation or organization)                Identification No.)

456 Bedford Street, Fall River, Massachusetts               02720
   (Address of principal executive offices)               (Zip Code)

        Registrant's telephone number, including area code: 508/674-3585

     Indicate by check mark whether the registrant (1) has filed all reports
required to be filed by Section 13 or 15(d) of the Securities Exchange Act of
1934 during the preceding 12 months (or for such shorter period that the
registrant was required to file such reports), and (2) has been subject to such
filing requirements for the past 90 days.

Yes     X           No 
    ---------          ---------           


     As of March 31, 1999, the Registrant had 1,000 shares of Common Stock
outstanding.

<PAGE>
 
                               TABLE OF CONTENTS


<TABLE> 
<CAPTION> 
PART I  FINANCIAL INFORMATION                                                    PAGE
<S>       <C>                                                                    <C> 
Item 1.   Financial Statements

          Condensed Consolidated Balance Sheets - March 31, 1999 (Unaudited)
          and December 31, 1998.................................................   1

          Condensed Consolidated Statements of Income (Unaudited) - Three Months
          Ended March 31, 1999 and March 31, 1998...............................   2

          Condensed Consolidated Statements of Cash Flows (Unaudited) - Three 
          Months Ended March 31, 1999 and March 31, 1998........................   3
      
          Notes to Condensed Consolidated Financial Statements (Unaudited)
          -March 31, 1999.......................................................   4

Item 2.   Management's Discussion and Analysis of Financial Conditions and
          Results of Operations.................................................   6

Item 3.   Quantitative and Qualitative Disclosure about Market Risk.............   8
 
PART II   OTHER INFORMATION
 
Item 1.   Legal Proceedings.....................................................   8
 
Item 2.   Changes in Securities and Use of Proceeds.............................   9
 
Item 3.   Defaults Upon Senior Securities.......................................   9
 
Item 4.   Submission of Matters to a Vote of Security Holders ..................   9
 
Item 5.   Other Information.....................................................   9
 
Item 6.   Exhibits and Reports on Form 8-K......................................   9
 
</TABLE>
<PAGE>

                                     PART I
                                     ------

                           GLOBE MANUFACTURING CORP.
                     Condensed Consolidated Balance Sheets
                             (Dollars in thousands)
<TABLE>
<CAPTION>
                                                        (Unaudited)            (Note A)
                                                       March 31, 1999     December 31, 1998
                                                       --------------     -----------------
<S>                                                    <C>                <C>
Assets
Current assets:                                          
 Cash and cash equivalents                               $     901            $   1,439
 Accounts receivable, net                                   31,195               22,510
 Inventories                                                16,405               18,380
 Prepaid taxes and other assets                              8,995                8,840
                                                         ---------            ---------
Total current assets                                        57,496               51,169

Property, plant and equipment                              161,035              157,436
  Less accumulated depreciation                            (76,716)             (74,107)
                                                         ---------            ---------
Net property, plant and equipment                           84,319               83,329

Other assets                                                11,080               11,328
                                                         ---------            ---------

Total assets                                             $ 152,895            $ 145,826
                                                         =========            =========

Liabilities and stockholders' equity (deficit)
Current liabilities:
  Accounts payable                                       $   4,521            $   6,012
  Accrued interest expense                                   3,925                7,773
  Other current liabilities                                  8,099                5,010
  Note payable                                              22,500               11,300
                                                         ---------            ---------
Total current liabilities                                   39,045               30,095

Other long-term liabilities                                  7,149                5,908
Long-term debt                                             112,225              115,000
Senior subordinated notes                                  150,000              150,000

Stockholders' equity (deficit)

  Common stock, Class A, voting, $.01 par value                  1                    1
  Other stockholders' equity (deficit)                    (155,525)            (155,178)
                                                         ---------            ---------
Total stockholders' equity (deficit)                      (155,524)            (155,177)

                                                         ---------            ---------

Total liabilities and stockholders' equity (deficit)     $ 152,895            $ 145,826
                                                         =========            =========
</TABLE>

See notes to condensed consolidated financial statements.

                                      -1-
<PAGE>

                           GLOBE MANUFACTURING CORP.
                  Condensed Consolidated Statements of Income
                            (Dollars in thousands)

<TABLE>
<CAPTION>
                                                 (Unaudited)          (Unaudited)
                                                March 31, 1999        March 31, 1999
                                                --------------        --------------
<S>                                             <C>                   <C>
Net Sales                                         $  43,584             $  46,424
Cost and expenses:
  Cost of sales                                      29,929                30,064
  Selling, general & administrative expenses          6,170                 6,251
  Research & development expenses                     1,155                 1,070
  Interest, net                                       6,900                   928
  Miscellaneous                                         (50)                 (639)
                                                  ---------             ---------
                                                     44,104                37,674
                                                  ---------             ---------
Income (loss) before incomes taxes                     (520)                8,750

Provision (benefit) for income taxes                   (173)                3,282
                                                  ---------             ---------

Net income/(loss)                                 $    (347)            $   5,468
                                                  =========             =========

</TABLE>

See notes to condensed consolidated financial statements.

                                      -2-
<PAGE>

                           GLOBE MANUFACTURING CORP
                Condensed Consolidated Statements of Cash Flows
                            (Dollars in thousands)

<TABLE>
<CAPTION>
                                                    Three Months Ending
                                                    -------------------

                                                   (Unaudited)        (Unaudited)
                                                  March 31, 1999     March 31, 1999
                                                  --------------     --------------
<S>                                               <C>                <C>
Cash from (used in) operations                       ($9,178)           $10,851

Investing Activities
 Capital expenditures                                 (2,450)            (7,107)

Financing Activities
 Net change in note payable                           11,200             (2,475)
 Principal payments on long-term debt                      -             (1,875)
 Other                                                  (110)               (66)
                                                     --------           -------
                                                      11,090             (4,416)
                                                     --------           -------
Net decrease in cash and cash equivalents               (538)              (672)

Cash and cash equivalents at beginning of year         1,439              1,946
                                                     --------           -------
Cash and cash equivalents at end of period           $   901            $ 1,274
                                                     ========           =======
</TABLE>

See notes to condensed consolidated financial statements.

                                      -3-
<PAGE>
 
                           GLOBE MANUFACTURING CORP.
       Notes to Condensed Consolidated Financial Statements (Unaudited)
                            (Dollars in thousands)
                                March 31, 1999


Note A.  Basis of presentation

The accompanying unaudited condensed consolidated financial statements have been
prepared in accordance with generally accepted accounting principles for interim
financial information and with the instructions to Form 10-Q and Article 10 of
Regulation S-X. Accordingly, they do not include all of the information and
footnotes required by generally accepted accounting principles for complete
financial statements. In the opinion of management, all adjustments (consisting
of normal recurring accruals) considered necessary for a fair presentation have
been included. Operating results for the three month period ended March 31, 1999
are not necessarily indicative of the results that may be expected for the year
ended December 31, 1999.

The balance sheet at December 31, 1998 has been derived from the audited
financial statements at that date but does not include all of the information
and footnotes required by generally accepted accounting principles for complete
financial statements.

For further information, refer to the consolidated financial statements and
footnotes thereto included in the Registrant Company and Subsidiaries' annual
report on Form 10-K for the year ended December 31, 1998.

Note B.  Inventories

The components of inventory consist of the following:

<TABLE>
<CAPTION>
                                      March 31      December 31,
                                      --------      ------------
                                        1999           1998
                                        ----           ----
<S>                                   <C>           <C>
                 Raw materials         $ 2,813        $ 2,688
                 Finished goods         14,400         16,500
                                       -------        -------
                                       $17,213        $19,118
                 Less LIFO reserve        (808)          (808)
                                       -------        -------
                                       $16,405        $18,380
</TABLE>

                                      -4-
<PAGE>
 
Note C.  Debt

Long-term debt consists of the following:

<TABLE>
<CAPTION>
                                                         March 31  December 31
                                                         --------  -----------
                                                           1999       1998
                                                         --------  -----------
<S>                                                      <C>       <C>
  Term loan A, principal due in variable semi-annual     $ 60,000     $ 60,000
   installments through 2005; variable rate interest
                                                           55,000       55,000
  Term loan B, principal due in variable semi-annual
   installments through 2006; variable rate interest
                                                          150,000      150,000
  Senior Subordinated Notes, due 2008; interest at 10%   --------     --------
 
                                                          265,000      265,000
  Less current maturities                                   2,775            -
                                                         --------     --------
                                                         $262,225     $265,000
</TABLE>

  On March 23, 1999 the Company exchanged all of its outstanding 10% Senior
Subordinated Notes due 2008 for an equal amount of its Series B 10% Senior
Subordinated Notes due 2008.

Note D. Segment Information

  Globe Manufacturing Corp. (the "Company") operates in one industry segment
encompassing the manufacture and sale of elastomeric fibers. These fibers, which
consist of spandex fibers and latex thread, are sold to customers in the textile
and apparel industries that are geographically diversified throughout the United
States and in various foreign countries. The Company's manufacturing facilities
are located in the United States. The following is a summary by geographic area
of revenues from customers. Revenues are attributed to each geographic location
based upon the location of the Company's customers.

<TABLE>
<CAPTION>
                                            March 31  March 31,
                                            --------  ---------
                                               1999      1998
                                               ----      ----  
<S>                                          <C>        <C>
 
               United States..............   $30,405    $32,425
               Europe.....................     7,472      8,308
               Asia.......................     2,749      1,612
               Central and South America..       553        865
               Other......................     2,405      3,214
                                             -------    -------
 
               Total Sales................   $43,584    $46,424
                                             =======    =======
</TABLE>

                                      -5-
<PAGE>
 
Item 2. Management's Discussion and Analysis of Financial Condition and Results
        of Operations

     In 1998, the Company's sole shareholder, Globe Holdings, Inc. ("Globe
Holdings") entered into a recapitalization transaction obtaining additional debt
and equity whereby Code, Hennessy & Simmons III, L.P. obtained a majority
interest in Globe Holdings and certain continuing shareholders retained a
minority interest. Assets and liabilities of the Company were carried at
historical cost bases and distributions to certain Company shareholders were
recorded as a distribution from retained earnings. The recapitalization
transaction was financed with $50 million of equity and $295 million of debt. As
a result of the transaction, the aggregate indebtedness for borrowed money and
interest expense increased and shareholders' equity decreased.

Results of Operations

     Three Months Ended March 31, 1999 Compared to Three Months Ended March 31,
1998

     Net sales for the three months ended March 31, 1999 decreased $2.8 million,
or 6.1%, to $43.6 million from $46.4 million in the comparable prior year
period. The decrease is primarily related to a decrease in latex fiber sales,
while fine denier and heavy denier spandex sales had slight decreases and
increases, respectively, that offset each other.

     Gross margin for the three months ended March 31, 1999 decreased $2.7
million, or 16.5%, to $13.7 million from $16.4 million in the comparable prior
year period. The Company's gross margin as a percentage of net sales decreased
to 31.3% from 35.2%. The decrease in gross margin was primarily due to foreign
pricing pressure on fine denier spandex and a decrease in latex fiber sales
volume.

     Selling, general and administrative expenses for the three months ended
March 31, 1999 decreased $0.1 million, or 1.3%, to $6.2 million from $6.3
million in the comparable prior year period. As a percentage of net sales,
selling, general and administrative expenses increased to 14.2% from 13.5%.

     Research and development expenses for the three months ended March 31, 1999
increased $0.1 million, or 7.9%, to $1.2 from $1.1 million. Research and
development expenses as a percentage of net sales increased to 2.7% from 2.3%.
The increase is attributed to the development of a new heavy denier spandex
fiber.

     Net interest expense for the three months ended March 31, 1999 increased
$6.0 million to $6.9 million from $0.9 million for the comparable prior year
period. The increase in interest expense was directly attributable to the
recapitalization of the Company.

Liquidity and Capital Resources

     Cash used by operating activities was $9.2 million for the three months
ended March 31, 1999 as compared to cash provided by operating activities of
$10.9 million for the comparable prior year period. The reduction in cash
provided by operating activities for the three months ended March 31, 1999 was
due to increases in interest expense, accounts receivable, prepaid expenses,
prepaid taxes, and a decrease in

                                      -6-
<PAGE>
 
accounts payable and accrued expenses. This reduction was partially offset by a
decrease in inventory balances, and increases in the note payable, accretion on
discounted notes and depreciation and amortization.

     The average days sales outstanding for accounts receivable was
approximately 63 days for the three months ended March 31, 1999 compared to 55
days for the comparable prior year period. The increase in days sales
outstanding is due to increases in export sales which had extended payment
terms. Inventory balances decreased $2.0 million from December 31, 1998,
primarily due to a 15.4% increase in net sales for the three months ended March
31, 1999 compared to the three months ended December 31, 1998. The note payable
increased $11.2 million primarily due to an interest payment due on the senior
subordinated notes.

     Capital expenditures, including capital leases, were $2.5 million for the
three months ended March 31, 1999 compared to $7.1 million the comparable prior
year period. Capital expenditures for the three months ended March 31, 1999
consisted primarily of expenditures for the expansion of the Tuscaloosa
facility.

     As part of the recapitalization transaction, the Company entered into a
Senior Credit Facility consisting of a $115.0 million term loan facility, which
was fully drawn upon the consummation of the transaction and a $50.0 million
revolving loan facility. The revolving loan facility is available for general
corporate and working capital purposes. 

Impact of the Year 2000 Issue

     The year 2000 issue is the result of computer programs being written using
two digits rather than four to define the applicable year. Any of the Company's
computer programs that have date-sensitive software may recognize a date using
"00" as the year 1900 rather than the year 2000.

     If the Company, its significant customers or suppliers fail to make
necessary modifications and conversions on a timely basis, the year 2000 issue
could have a material adverse effect on Company operations. However, the impact
cannot be quantified at this time. The Company believes that its competitors
face similar risks.

     The Company has established a corporate-wide project team to identify non-
compliant software and complete the corrections required for the year 2000
issue. The Company has completed its repairs for major manufacturing systems in
all locations. The Company also completed its repair of its major financial
systems. The Company's current target is to resolve compliance issues in its
distribution systems and other ancillary systems by July 31, 1999. The Company
also has made inquiry of its major customers and suppliers to assess their
compliance. There can be no assurance that there will not be a material adverse
effect on the Company if third party governmental or business entities do not
convert or replace their systems in a timely manner and in a way that is
compatible with the Company's systems.

     Costs related to the year 2000 issue are funded through operating cash
flows. Through March 31, 1999, the Company expended approximately $200,000 in
systems development and remediation efforts, including the cost of new software
and modifying the applicable code of existing software. The Company

                                      -7-
<PAGE>
 
estimates remaining costs to be between $25,000 and $75,000. The Company
presently believes that the total cost of achieving year 2000 compliant systems
will not be material to the Company's financial condition, liquidity or results
of operations.

     Time and cost estimates are based on currently available information.
Developments that could affect estimates include, but are not limited to, the
availability and cost of trained personnel, the ability to locate and correct
all relevant computer code and systems and remediation success of the Company's
customers and suppliers.

Forward-Looking Information

     This Quarterly Report on Form 10-Q contains certain forward-looking
statements, including, without limitation, statements concerning the Company's
future financial position, business strategy, budgets, projected costs and plans
and objectives of management for future operations. These forward-looking
statements are made pursuant to the safe harbor provisions of the Private
Securities Litigation Reform Act of 1995 (which do not apply to initial public
offerings). Forward- looking statements generally can be identified by the use
of forward-looking terminology such as "may," "will," "expect," "intend,"
"estimate," "anticipate," "believe," "should," "plans," or "continue" or the
negative thereof or variations thereon or similar terminology. Although the
Company believes that the expectations reflected in such forward-looking
statements are reasonable, it can give no assurance that such expectations will
prove to have been correct. These forward-looking statements are subject to a
number of risks and uncertainties, including, without limitation, those related
to the Company's substantial leverage and debt service requirements, the
Company's dependence on significant customers and on certain suppliers, the
effects of competition on the Company, the risks related to environmental,
health and safety laws and regulations, the Company's exposure to foreign sales
risk and the cyclicality of the textile industry, risks related to the year 2000
issue, and the other factors discussed in the Company's filings with the
Securities and Exchange Commission. Actual results could differ materially from
these forward-looking statements.

Item 3. Quantitative and Qualitative Disclosures about Market Risk.

     The Company's market risk disclosure set forth in the Company's Annual
Report on Form 10-K have not changed significantly through the three months
ended March 31, 1999.

 
                           Part II Other Information

Item 1. Legal Proceedings

     In April 1997 two domestic purchasers of extruded latex thread filed a
complaint against a number of foreign manufacturers and distributors of such
thread, including an Indonesian limited liability company in which Globe
Holdings then owned a 40% interest (the "Joint Venture"). The complaint alleged
an international conspiracy to restrain trade in, and fix prices of, the thread
in the U.S. The Company was not named as a defendant in the case. The Joint
Venture alleged in its motion to dismiss that not all parties to the conspiracy
had been joined. There can be no assurance that the Company will not be named in
the future. The Company is entitled to indemnification from, among other items,
any liabilities arising out of any criminal or civil antitrust claims or
investigations resulting from the above-described proceedings to the

                                      -8-
<PAGE>
 
extent related to the Company's activities prior to the recapitalization
transaction in 1998. This indemnity expires on December 31, 2001.

     The U.S. Department of Commerce has imposed anti-dumping duties on
Indonesian extruded latex producers. Additional duties of 28.29% have been
levied on extruded latex thread imported from Indonesia from May 1999 going
forward.

     From time to time, the Company has been and is involved in various legal
proceedings, all of which management believes are routine in nature and
generally incidental to the conduct of its business. The ultimate legal and
financial liability of the Company with respect to such proceedings cannot be
estimated with certainty, but the Company believes, based on its examination of
such matters, that none of such proceedings, if determined adversely to the
Company, would have a material adverse effect on the Company's results of
operations, financial condition and its ability to meet its obligations under
the Company's existing debt.

Item 2.  Changes in Securities

     None.

Item 3.  Defaults Upon Senior Securities

     None.

Item 4.  Submission of Matters to a Vote of Security Holders

     None.

Item 5.  Other Information

     None.

Item 6.  Exhibits and Reports on Form 8-K

     (a)  Exhibits
 
     27.1 Financial Data Schedule

     (b)  Reports on Form 8-K

     On March 8, 1999 the Company filed a Form 8-K disclosing certain financial
information for the year ended December 31, 1998.

                                      -9-
<PAGE>
 
                                  SIGNATURES

     In accordance with the requirements of the Exchange Act, the registrant
caused this report to be signed on its behalf by the undersigned, thereunto duly
authorized.

                              GLOBE MANUFACTURING CORP.


Date: May 11, 1999            By: /s/ LAWRENCE R. WALSH
                                  ----------------------------------------------
                                      Lawrence R. Walsh
                                      Vice President, Finance and Administration
                                      and duly authorized signatory on
                                      behalf of the Registrant