Plastics and food ingredients producer D&L Industries Inc. said Monday it expects to hit another record net income in 2023 amid continued reopening of the domestic economy.
D&L president and chief executive Alvin Lao said in interview Monday following the company’s 10th listing anniversary bell-ringing ceremony at the Philippine Stock Exchange 2023 net income will receive a boost from the recovery of its food business.
“2023 will be a better year in terms of net income for the company. This year we were still affected by the omicron virus and people are still hesitant to go out,” Lao said
He said that as.people gain more confidence in going out of their houses with the recent lifting of the mask mandate, the resulting rise in consumer spending should be good for their various businesses.
At the same time, the group expects export sales to benefit from the opening of the expansion plant in Batangas slated in the second quarter of 2023.
“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,” Lao said.
Lao said the Batangas plant should enable D&L to ramp up its export business which currently account for 33 percent of total revenues.
The reopening of the Chinese economy is also seen to recover exports to China, which account for five percent of D&L’s overseas sales.
Lao said 2022 net income will exceed the all time high of P3.2 billion achieved in 2018.
Meanwhile, PSE president Ramon Monzon, in a speech during the listing ceremony expressed confidence that D&L will be able to sustain its growth trajectory moving forward.
“Confidence in the company is evident in how it has performed over the years. It emerged as one of the honored companies in the ASEAN region by New York-based Institutional Investor, a leading international business-to-business publisher, in its 2019 All-Asia Executive team survey,” Monzon said.
D&L managed to grow its market capitalization to P56 billion over the past 10 years from P15 billion in 2012. The company also attracted both retail and institutional investors as well as domestic and foreign funds.