DNL Industries, Incorporated president Alvin Lao has expressed his sentiments regarding the coronavirus outbreak.
In a briefing held yesterday, he remarked that DNL Industries continues to stay concentrated on growing the enterprise.
Aside from expanding their business, he pointed out that they are focusing on projects that enable them to build resilience amid the coronavirus outbreak.
Due to the ongoing global healthcare emergency, Lao admitted that his company presently faces some uncertainties.
Moreover, the DNL Industries president acknowledged that he is well-aware of the new risks that the coronavirus pandemic causes.
He cited that he is mindful of the effects of these hazards on the international economy.
Nevertheless, Lao said that the long-term prospects of his firm are still promising. This scenario is despite the challenges that the disease, also known as COVID-19, poses, the company head said.
DNL Industries announced that, for 2020, it is allocating P3 billion in capital expenditures (capex), as per the news posted online by Philippine daily newspaper The Philippine Star.
This amount is twice the 2019 capex allocation that totaled to P1.5 billion. Also, the publicly listed firm said that it would spend the bulk of the allotted budget for its ongoing facility expansion.
This project involves the firm’s P8-billion new manufacturing facility. This building is in Batangas.
Lao remarked that the producer of plastics, oleochemicals, and special food ingredients is on the right track.
He relayed that the construction of their next-generation growth facility is ongoing. Lao affirmed that they see it becoming operational by the second half of next year.
Furthermore, the DNL Industries head confirmed that he does not see any disruption in the supply of the raw materials. This fact is despite the company importing some of these commodities from coronavirus-infested China.
Lao said that he observed that the economy of the Philippines remains pliant. Furthermore, he gathered that local consumption had always been robust.
With these favorable situations, Lao cited that he sees plenty of reasons to feel upbeat this year.
First, he pointed to the waning tensions in the trade battle between China and the United States.
Second, he also said that anticipations of more cuts in interest rates are another positive development.
Third, Lao mentioned the early passage of the Philippine government budget for this year as among the grounds to be optimistic.
Finally, he said that he finds feeling buoyancy worthy at this time due to the extended validity of the government’s budget for last year.
On Thursday, March 5, 2020, D&L Industries, Incorporated (PSE: DNL) closed at P7.05 per share.
Furthermore, the Philippine Stock Exchange recorded the 52-week high of the firm at P11.76.
Meanwhile, its 52-week low is at P7.05.
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