D&L overcomes headwinds as profit grows 8% in H1

MANILA, Philippines — D&L Industries Inc., the country’s largest producer of oleochemicals and specialty plastics and food products, overcame headwinds in the first half, as the company managed to expand its profits by eight percent to P1.5 billion.

D&L president and CEO Alvin Lao said 2026 has remained a challenging year thus far, marked by geopolitical tensions, supply chain disruptions, elevated inflation and higher interest rates.

However, Lao said the diversified nature of the company’s business, coupled with the essential nature of its products, has enabled D&L to navigate volatility with resilience.

“In many ways, periods of disruption – particularly those affecting global supply chains – have created opportunities for us to further strengthen our position as a reliable partner to our customers,” Lao said.

“These situations allow us to demonstrate the value we bring through our differentiated products, technical capabilities and ability to ensure business continuity for our customers. Together, these strengths continue to deepen customer relationships and reinforce our competitive position in the marketplace,” he added.

Net income during the second quarter reached P786 million, up by 10 percent year-on-year.

Lao said the company’s food ingredients business delivered a significant turnaround in the second quarter, indicating that earnings have likely bottomed and reached an inflection point.

“As raw material costs stabilize and our portfolio optimization initiatives continue to gain traction, we are optimistic about the segment’s ability to deliver more stable and improved profitability moving forward,” Lao said.

While prevailing macroeconomic uncertainties continue to weigh on market valuations and liquidity, Lao said D&L remains confident in the long-term prospects of the business.