D&L Industries expresses optimism despite global oil crisis

Specialty chemicals and food ingredients maker D&L Industries Inc., a top industrial exporter, on Wednesday expressed optimism that it will navigate through the challenging economic environment arising from the global oil shock crisis.

At a virtual press briefing, D&L president and CEO Alvin Lao said that while the ongoing Middle East conflict might cause price spikes on crude oil, raw materials, and global supply chains, “periods of disruption also create opportunities.”

“Looking ahead, 2026 presents a new set of uncertainties, particularly with the ongoing war in the Middle East and its potential impact on crude oil prices, raw material costs, and global supply chains,” Lao said.

“We believe this environment allows us to further strengthen our position as a reliable supplier and trusted partner, supporting our customers with customized solutions as they navigate a more volatile operating landscape,” he said.

The D&L chief said that the  essential nature of its products provides a stable base of demand even amid economic uncertainty.

In 2025, the company reported a 10.6% increase in its recurring net income to P2.6 billion, from P2.3 billion in 2024 on the strength of its biodiesel, plastics and consumer businesses.

With emerging concerns over the availability of raw material supplies, Lao said D&L is currently in talks to a lot of the group’s suppliers to ensure they will not cut the supply of raw materials since a lot of them have already declared “force majeure.”

Lao expressed confidence in securing these supplies because of the company's strong ties with its suppliers and because it already knows how to deal with such a crisis considering that it already went through several oil crises in 1973, 1979 and more crises almost every decade since the 1980s.

“We were able to survive. We've learned the lessons. We have put in a lot of measures to deal with the problems, because we still remember what we did before,” he said.

Lao said D&L still has 74 days’ worth of inventories to keep its manufacturing facilities running “but the trick is getting more inventory… that’s something we’re looking at a lot today.” —RF, GMA Integrated News