The company also posted earnings per share of P0.095, with volume rising 33 percent across high-margin specialty products and basic commodities.
Management’s view
“The year started with strong momentum. However, the increasing global uncertainties have led to a noticeable slowdown and dampening of global business sentiment,” said D&L president and CEO Alvin Lao.
“Nonetheless, the Philippines may be one of the least affected countries given its import-heavy trade balance. In addition, the lower proposed reciprocal tariff for the Philippines versus its neighboring countries may put the Philippines in an advantageous position,” he added.
Robust exports
D&L’s export business was a bright spot, with sales climbing 69 percent to P4.8 billion and gross profit up 90 percent. Export margins reached 18.3 percent, nearly twice the domestic margin of 9.8 percent.
Income from the Batangas plant hit P333 million, up 35 percent from the previous quarter, as the site ramped up deliveries to local and overseas customers.
Return on equity improved to 12.1 percent, while return on invested capital rose to 10 percent, both higher than full-year 2024 levels.
Margins projected to rise
D&L also expects profit margins to recover as coconut oil prices stabilize during the peak harvest season between May and July.
“While volatility is likely to persist in the near-term, we remain unfazed and continue to focus on building resiliency and long-term growth strategies,” Lao said.
“We believe that with our product portfolio, the majority of which cater to basic and essential industries, we will continue to grow and be relevant in an ever-changing business environment and world trade order,” he added.
