D&l Industries, Inc. · PSE:DNL
D&l Industries — Investor Presentation (August 2026)
44 slides from D&l Industries's investor presentation, Aug 7, 2026
Slide 1: D&L's new plant in Batangas, Philippines
D&L’s new plant in Batangas, Philippines
Slide 2: D&L Industries makes customized specialty ingredients for food and chemicals
D&L INDUSTRIES is a Filipino company that makes customized, specialty ingredients for food and chemicals 56% 33% 1H26 FOOD INGREDIENTS Revenue OLEOCHEMICALS & OTHER Revenue 16% 39% Fats, oils and other specialty SPECIALTY CHEMICALS food ingredients Coco-biodiesel, oleochemicals, resins and powder co
Slide 3: Key Business Strategies
KEY BUSINESS STRATEGIES Maintain Market Innovate Leadership Continuously Capitalize on Growing Enhance Production and Expand Domestic Consumer Market Business Processes Globally 3
Slide 4: Our history of serving customers spans across 60 years
Our history of serving customers spans across 60 years POLYMER & COLOURS, INC. Colorants Specialty Engineered Polymers Commercial operations of For Plastics Aerosols Oleochemicals Fats IPO D&L’s FIT Batangas plant 1963 1976 1984 1987 2000 2006 2012 2023 Corro-coat, Corro-Coat Inc. 1971 early 1985 19
Slide 5: Leading B2B2C company with longstanding customer relationships
As the leading B2B2C company in the Philippines, we have longstanding customer relationships with mostly consumer companies Shortening Flavored Toppings Length of Customer Relationships Flavored Glazes Icings (in Years) 38 Frying Oils Gravy Mixes 31 >70% Breading Dipping Sauces of sales are to 26 Bo
Slide 6: Majority of the Board are independent directors
Majority of the Board are independent directors while 3 out of 7 board members are female – highlights the importance we place on good corporate governance and gender diversity . BOARD OF DIRECTORS* Yin Yong L. Lao, John L. Lao, 72 years old 71 years old Chairman & Director Vice Chairman Trustee - A
Slide 7: Second generation family members compose Senior Management
Second generation family members with more than 20 years of experience in sales, marketing & business development compose our Senior Management team. SENIOR MANAGEMENT Dean A. Lao, Jr. Franco Diego Lao, 46 years old 57 years old Chief Financial Officer, Treasurer, & Chief President & CEO of Chemrez
Slide 8: D&L Ownership Structure
D&L Ownership Structure FOOD INGREDIENTS Lao Family 63.9% Jadel Holdings Co., Inc. (Lao Family holding company) 100% 10.6% Individual Family Members Foreign Ownership as % 74.5% OLEOCHEMICALS, RESINS, & SPECIALTY CHEMICALS of Outstanding Shares 100% Public SPECIALTY PLASTICS 25.5% 100% 55.5% POLYMER
Slide 9: We are shaped and driven by R&D and disciplined innovation
We are shaped and driven by R&D and disciplined innovation OUR MISSION • We are dedicated to growth. We are not complacent, timid, or satisfied with status quo • We are committed to increase productivity and profitability, but not at the expense of ethics • We will continuously enhance our reputatio
Slide 10: Integrated supply chain maximizes efficiency of working capital
We have an integrated supply chain that maximizes efficiency of working capital management > > INTERCONNECTED FLEET OF BARGES STORAGE CAPABILITY GROUND TRANSPORT Direct access to fleet of 6 Ability to store 33,000 metric SYSTEM barges with an aggregate tons of oil; refining facility of Superior grou
Slide 11: Asset-Light Model
ASSET-LIGHT MODEL Rental expenses Management and Shared Service Fees (paid to affiliates) (MSSF) D&L provides management and shared services to its subsidiaries and affiliates, including executive management and admin support such as legal, MIS, accounting, human resource, and finance land, faciliti
Slide 12: Dividend policy increased from 25% to 50% payout ratio
Our dividend policy increased from a 25% to 50% payout ratio* (effective 2016) Cash Dividends (Pmn) Payout Ratio* Dividend Per 2021 2022 2023 2024 2025 2026 65% Share Dividend yield at 6.7% at current 2,143 levels Total P0.191 P0.24 P0.30 P0.209 P0.213 P0.236 65% 65% 65% 1,686 1,714 65% Regular P0.1
Slide 13: Investor Relations
INVESTOR RELATIONS Ownership as of June 2026 #70 Shares bought back by the Lao Family Public, 25% Lao % of # of Shares Family, Year outstanding (in mn) 75% P25 bn* Since IPO 642 shares 9% Foreign Ownership as % Ranked 70th of Outstanding Shares among 2025 106 1.6% Philippines’ largest companies 2026
Slide 14: Investor Relations
INVESTOR RELATIONS Return since IPO Price Change Total Return DNL PM +63% +187% PCOMP Index +8% +23% Price as of 7/30: P3.50 Market Cap as of 7/30: P25bn USD 406 mn (USD1:P61.57) Outstanding Shares: 7,142,857,990 Dividend yield at DNL 6.7% at current +63% levels PCOMP 12/12 06/14 12/14 06/15 06/16 1
Slide 15: Awarded and recognized locally and internationally
We have been awarded and recognized both locally and internationally Finance Asia 2019 – Best Mid-Cap Company, 7th Best Investor Relations 2024 – ASEAN Honored Company; Crissa Bondad as 3rd Best Investor 2018 – 2nd Best Mid-Cap Company 2017 – Top 50 Global Relations Professional in Asia ex- 2015 & 2
Slide 16: Corporate Social Responsibility
CORPORATE SOCIAL RESPONSIBILITY of D&L’s annual net 1% income is committed to corporate social responsibility programs through the foundation 2025 AREAS OF FOCUS P31.2M 103 Committed amount Direct scholars in from D&L 5 communities Education 388 16,872 Educational Assistance Total beneficiaries scho
Slide 17: Our CSR projects focus on education and values formation
Our CSR projects focus on education and values formation PROGRAM BENEFICIARIES Partner Based Educational Program College, TechVoc, High School, Elementary and Hearing Impaired students nationwide Community Based Educational Program Various communities and elementary schools where D&L plants are loca
Slide 18: 1H26 Results
1H26 Results 18
Slide 19: 1H26 Highlights
1H26 Highlights 1 1H26 net income reached P1.5 bn, up 8% YoY; 2Q26 net income reached P786 mn, up 10% YoY 2 HMSP margins improved by 2.1 ppts for the period; Sales mix shifted toward HMSP (51% of sales) FCF turned positive on lower capex and easing commodity prices; 3 Net gearing down to 91% (from 9
Slide 20: 1H26 Net income reached P1.5 bn, up 8% YoY
1H26 Net income reached ₱1.5 bn, up 8% YoY *nu mbe r o f out sta nd ing sha res: 7, 14 2, 85 7,9 90 20
Slide 21: 1H26 Net Income up 8% YoY
1H26 Net Income up 8% YoY Net Income (Php mn) Net income breakdown Consumer Products ODM, 7% 3,318 Food Ingredients, 16% 2,643 2,590 2,295 2,342 +8% Specialty 1,396 1,502 Plastics, Chemrez 38% Group, 39% FY21 FY22 FY23 FY24 FY25 1H25 1H26 Start of commercial operations of Batangas plant. Incremental
Slide 22: Batangas plant consistently books profits
Batangas plant consistently books profits Quarterly income of Batangas plant 3Q22 4Q22 1Q23 2Q23 3Q23 4Q23 1Q24 2Q24 3Q24 4Q24 1Q25 2Q25 3Q25 4Q25 1Q26 2Q26 400 333 300 264 246 200 160 149 139 97 100 20 - -16 -100 -101 -111 -132 -132 -137 -200 Pre-operating rental expenses -300 -315 -400 -390 -500 S
Slide 23: Sales mix
Sales mix REVENUES % share to total group revenues 33% 34% 33% 31% 42% 41% 40% 39% 42% 37% 37% 43% 38% 49% 47% 49% 54% 67% 66% 67% 69% 59% 60% 61% 58% 63% 63% 62% 58% 57% 51% 53% 51% 46% 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1H26 High Margin Specialty Produc
Slide 24: HMSP Quarterly Volume Growth (YoY)
HMSP Quarterly Volume Growth (YoY) HMSP volume growth (YoY) 40% Confluence of events such as the late36% 36% passage of the budget, US- China 33% trade war, and spillover of negative consumer sentiment dampened overall volume in 2019 13%14% 13% 13% 12% 11% 10% Average quarterly YoY 7% 8% 7% 6% growt
Slide 25: Exports sales
Exports sales FY19 FY20 FY21 FY22 FY23 FY25 1H25 1H26 EXPORT/ SALES 29% 33% 31% 27% 30% 26% 28% 23% Breakdown of exports 14.4 Oleochemicals 13.6 29% 12.4 Food 10.2 49% 9.1 -17% 7.4 Specialty Plastics 19% 6.3 6.1 Consumer Products ODM 3% In P bn FY20 FY21 FY22 FY23 FY24 FY25 1H25 1H26 25
Slide 26: Pass-through pricing as natural hedge against forex and commodity volatility
Pass-through pricing mechanism as natural hedge against volatility in forex and commodity prices 20.9% 19.1% 16.8% 18.3% 17.3% GP Margin 15.1% 15.7% 14.8% 13.4% 13.9% 13.1% 13.9% We expect margins to improve over 12.6% 12.4% 12.0% 10.5% 11.7% 10.8% 9.9% 10.9% 8.9% EBIT Margin time as we further inve
Slide 27: FCF turned positive in 1H26
FCF turned positive in 1H26 In P mn 1H26 FY25 EBITDA 3,222 5,852 Interest Received 12 3 Paid taxes (145) (315) Non cash items 4 170 Change in working (652) (5,143) capital Net Operating Cash 2,441 567 Flow Capex (114)* (849)* Free Cash Flow 2,327 (281) *cash basis capex 27
Slide 28: Capex normalizing after completion of Batangas plant
Capex normalizing after the completion of Batangas plant Capex (P mn)* 3,497 • Capex peaked in 2022 and 3,179 started to normalize in 2023 after the completion of the plant • No other major capex 2,114 requirement in the near-term 1,552 1,441 1,160 767 443 456 167 2017 2018 2019 2020 2021 2022 2023
Slide 29: 1H26 Group Results
1H26 Group Results Food Ingredients Oleochemicals & Specialty Consumer D&L Industries - Other Specialty Plastics Products ODM Consolidated Chemicals % change in (10%) +6% +17% +22% +1% Revenues % change in Net (12%) (17%) +24% +27% +8% Income* 29
Slide 30: Balance Sheet remains robust
Balance Sheet remains robust As of end As of end As of end As of end In Pmn In P mn Jun-26 Dec-25 Jun-26 Dec-25 Book Value 22,686 22,869 Cash 3,211 3,394 BVPS1 (in P) 3.18 3.20 Debt-to- Current Assets 33,257 32,795 3.7x 4.3x EBITDA 13.2% Debt-to- equity Total Assets 52,873 53,012 1.05x 1.11x 11.0% 1
Slide 31: Capital Structure
Capital Structure Borrowings (Pmn) Equity (Pmn) Net Gearing 96% interest 21,790 22,869 22,686 91% 4x cover 20,868 73% 73% 20,651 19,105 57% 66% P20.6 net 17,764 25,296 23,814 Billion debt 17,112 21,090 17,135 ~5.9% average 15,487 13,790 8% 17% 3,400 5,150 p.a. cost of debt* 2019 2020 2021 2022 2023
Slide 32: Net debt, effective interest rate, and interest cover
Net debt, effective interest rate, and interest cover 35 7.0% 21.9 22.0 21.9 21.3 20.7 20.6 30 6.0% 18.2 Interest Cover (LHS) 25 5.0% 14.3 14.5 20 12.5 4.0% 12.0 12.0 11.9 11.9 11.2 10.0 15 9.5 3.0% 9.0 8.6 Effective Interest Rate (RHS) 6.6 10 2.0% 4.4 Net Debt (P bn) 3.7 4.0 2.9 2.8 3.0 5 1.0% 2.1
Slide 33: Working Capital Cycle
Working Capital Cycle 25,000 CASH CONVERSION 190 14,000 140 INVENTORY 170 143 139 12,000 120 20,000 114 150 107 120 110 10,000 111 100 130 101 20,625 91 15,000 110 8,000 80 19,790 74 74 90 74 12,704 12,593 16,300 6,000 11,767 60 10,000 13,142 70 9,531 9,284 11,823 4,000 50 8,150 40 5,000 30 2,000 6,
Slide 34: Appendix
Appendix DésiL
Slide 35: FIT Expansion
FIT Expansion Natura Aeropack D&L Premium Foods Natura Aeropack 35
Slide 36: Biodiesel blend to remain at 3% (B3); B4 and B5 postponed
Biodiesel blend to remain at 3% (B3); B4 and B5 implementation postponed Biofuels industry short overview Impact of a higher biodiesel blend 2006 – Biofuels law was passed with the to the industry intention of a 5% biodiesel blend (B5) 2007 – implementation of 1% blend (B1) Volume Overall industry 2
Slide 37: CNO & CPO 5-yr Price Chart
CNO & CPO 5-yr Price Chart notate = New Last Price BE CNOIRDM1 Index (USD). 2225.00 3000 KO1Comdty (USD) 113.9946 i | | \ 12568.8794} f i " ad 1000 500
Slide 38: Maiden Bond Offering
MAIDEN BOND OFFERING *Awarded Best New Bond (Philippines) by the Asset Magazine Offer Size Interest Rate Tenor Spread over BVAL 2.7885% p.a. 3 years +50 bps Base offer: P3bn (Series A) Oversubscription option: P2bn (Series B) 3.5962% p.a. 5 years +60 bps Bond Rating PRS Aaa with Stable Outlook Use o
Slide 39: 3yr and 5yr BVAL rates
3yr and 5yr BVAL rates D&L Bond Listing September 2021 39
Slide 40: News and Developments 2016
NEWS AND DEVELOPMENTS 2016 OLEO-FATS premium soft oils, Distribution agreement with including coconut • Exports within Asia Pacific (FOOD Bunge Limited oil (under Bunge’s • Food service and retail INGREDIENTS) (NYSE:BG) Farm Origin brand) • Dean L. Lao, one of D&L’s founders, stepped down as Directo
Slide 41: Bunge Soft Oil Products
BUNGE SOFT OIL PRODUCTS = = a mea bal = \ <a Se |
Slide 42: News and Developments 2015
NEWS AND DEVELOPMENTS 2015 INCREASE IN CAPITAL STOCK Dividends taken from retained earnings as of March 31, 2015 No changes in equity Capital Stock Pre - Inc in ACS Post - Inc in ACS Authorized ₱4,000,000,000 ₱18,000,000,000 Issued and Outstanding Subscribed ₱3,571,428,995 ₱7,142,857,990 shares doub
Slide 43: News and Developments 2014
NEWS AND DEVELOPMENTS 2014 • buying 65.3% of Chemrez for • Taking Chemrez private for P6/share competitive reasons Transaction Strategic • Chemrez now wholly-owned • New product innovations Details subsidiary Rationale with large potential for • funded with 2/3s short-term margin improvement debt, 1
Slide 44: Investor Relations Contact
Investor Relations Contact Crissa Bondad Investor Relations Manager – D&L Industries, Inc. crissabondad@dnl.com.ph | ir@dnl.com.ph https://dnl.com.ph/investors/ 44