D&L INDUSTRIES, Inc. is expecting another record year in 2023 after achieving record net income this year despite the pandemic restrictions during the first quarter, its top official said.
“Next year should be better [since] this year we lost January because of Omicron,” D&L President and Chief Executive Officer (CEO) Alvin D. Lao said in a media briefing on Monday.
“Just based on the thought that 10% of the year was really bad and we are still going to hit record profit, implies next year should be better than this year kasi mukhang wala ng lockdown (because I think there will be no more lockdowns),” he added.
The company is also set to open its Batangas expansion plants in the second quarter of 2023 which Mr. Lao said will help in increasing sales as these will upsize D&L’s manufacturing capacities.
The new plant is also expected to help in ramping up its exports, which currently account for 33% of D&L’s total revenues.
In relation to this, Mr. Lao said that the company will also benefit from China’s move to ease coronavirus-related restrictions.
“China is one big market. The reopening should be good for all companies, including us,” he said.
D&L delivers food and chemical products to China, which market comprises 5% of the company’s overseas sales, said Mr. Lao.
On Monday, D&L celebrated the 10th anniversary of its maiden listing at the Philippine Stock Exchange (PSE). Mr. Lao said that the company’s market capitalization rose to P56 billion from P15 billion in 2012.
Mr. Lao noted that the initial public offering has helped in increasing D&L’s foreign ownership to 14% from zero in 2012.
“We look forward to the next decade with excitement and optimism especially as our Batangas plant is set to commence commercial operations by the middle of next year,” Mr. Lao said.
“This plant represents the next leg of growth for the company and our aspiration to be recognized globally as a world-class Filipino manufacturing company,” he added.
In nine months to September, D&L posted a record-high income of P2.54 billion, up by 17.4% from P2.16 billion in 2021.
The company’s top line rose by 57.5% to P33.9 billion for the period from P21.53 billion in 2021.
“I am confident that this net income growth trajectory will not only be maintained but will be surpassed in the coming years as the company’s new P10.2 billion facility in Batangas becomes operational next year, 2023,” PSE President and CEO Ramon S. Monzon said.
“It is my sincere wish and hope that the D&L narrative is one that can be emulated by those planning to take their company public,” Mr. Monzon added. — Justine Irish D. Tabile