August 12, 2013

D&L Industries posts 16% profit hike

D&L Industries Inc.’s net income jumped 16% to P655 M in the first semester. But revenues dropped 17% to P4.9 B due to lower prices of commodities like palm oil that was passed on to customers.

However, D&L benefited from high margin specialty products like customized specialty food ingredients, plastics and aerosols.

High margin products accounted for 66% of the group’s overall sales, while low margin commodities like refined vegetable oils accounted for 34% of total turnover.

Hence, gross profit margin picked up to 18.7% from 15% last year while net income margin hit 13.3% from 9.5% a year ago. - WealthSec