D&L Industries reported recurring income of P1.95 billion in the first nine months, an 8 percent increase year-on-year. In the third quarter alone, recurring income reached P554 million, up 12 percent, driven largely by resilient volume growth despite elevated coconut oil prices.
“The operating environment remains challenging, with coconut oil prices hitting record highs in the third quarter—nearly triple the lows recorded two years ago,” said D&L president and chief executive officer Alvin Lao. “Despite this, we delivered 8% earnings growth, supported by healthy volume expansion, which underscores the fundamental strength of our business.”
Lao said the company’s continued focus on research and development and innovation, developing higher-value and differentiated solutions to help insulate D&L from macroeconomic volatility. He expressed cautious optimism for the remainder of 2025, noting improving macro fundamentals such as easing inflation and interest rates could support economic activity.
The company’s Batangas plant is expected to anchor the next growth phase. Confidence in long-term prospects is reflected in the Lao family’s continued share accumulation through Jadel Holdings, increasing their stake in D&L by roughly 5% since the pandemic, including **20 million shares in 2024 and 69 million year-to-date in 2025.
Volume growth remained robust at 11 percent, even as coconut oil—a key raw material—saw average prices surge 78% YoY. While elevated prices temporarily pressured margins, D&L expects a full recovery once commodity costs normalize, following historical trends of sharp run-ups being followed by swift corrections.
At current market levels, the stock offers an **attractive dividend yield of about 4.7 percent, reflecting both operational resilience and long-term investor confidence.
