Chemicals and manufacturing firm D&L Industries Inc. is on track for robust corporate expansion this year, with the company projecting a double-digit profit growth, potentially exceeding its 10 percent target, driven largely by export performance and improving macroeconomic conditions.
President and CEO Alvin D. Lao said during a media briefing that first-half 2025 net income reached ₱1.39 billion, up 6 percent year-on-year. If annualized, this implies a 19 percent increase over the company’s ₱2.34 billion net income in 2024.
“For now, we’re sticking to double-digit growth,” Lao said, but noted that current trends could result in earnings well above 10 percent, citing export-led momentum and signs of a more favorable economic environment in the second half.
Corporate performance was bolstered by a 40 percent surge in first-half sales to ₱26.6 billion, largely due to high commodity prices passed through to clients. Exports accounted for around 28 percent of total revenue, with Asia Pacific, Europe, Latin America, and Africa offsetting limited U.S. exposure. Lao emphasized that the US tariffs will have minimal impact, as the American market makes up only 3 percent of sales.
Segment-wise, Chemrez contributed nearly half of net income, followed by specialty plastics (30 percent), food ingredients (18 percent), and consumer product ODMs (6 percent).
While Q2 posed challenges due to record-high coconut oil prices, Lao expects a more stable pricing environment and improved margins in the latter half of 2025. He also pointed to easing inflation and potential interest rate cuts as catalysts for stronger consumer spending, further supporting D&L’s growth outlook.
The company remains confident in its commercial resilience and long-term export strategy, with Lao affirming D&L’s commitment to capitalizing on macro trends and operational strengths to sustain its upward trajectory.
