A PRS Aaa rating signals minimal credit risk and extremely strong repayment capacity, while the stable outlook means the grade is unlikely to change over the next year.
PhilRatings said the rating reflects D&L’s strong foothold across its industries, a wide mix of products and markets, and specialty innovations that keep demand steady even in competitive sectors. The firm’s consistent revenue growth, even with tighter margins and rising borrowings for expansion, also helped secure the top grade.
D&L, operating since 1971, serves local and global markets through four divisions: food ingredients, oleochemicals and other specialty chemicals, specialty plastics, and consumer products ODM.
Key details
Exports contributed 34 percent of revenues in the first quarter of 2025, with a goal to hit 50 percent.
Research-driven, customized products secure long-term client relationships.
High capital barriers make it tough for new competitors to enter D&L’s markets.
Batangas plant, opened July 2023, turned profitable in 2024 and is set to boost growth.
In the first quarter of 2025, D&L’s revenues jumped 61.6 percent year-on-year to P14.2 billion on higher volumes, while net income climbed 10.2 percent to P681.1 million.
Profit margins dipped from 7 to 4.8 percent as coconut oil and other raw material prices surged, though the company expects recovery once costs stabilize.
Total debt rose 4.8 percent to P22.1 billion as of March 2025, mainly from expansion loans, but equity also grew 3.1 percent to P22.5 billion, keeping its debt-to-equity ratio steady at 1.0x.
—Edited by Miguel R. Camus
