Delfi has reported earnings of US$21.1 million ($28.35 million) for its 2HFY2023 ended December, down 14.1% y-o-y.
This is due to higher trade promotions during the year to counter increasing competition as well as to strategically increase investment to strengthen its core brands and build products which the company believes have the strongest growth opportunities.
Earnings per share for 2HFY2023 stood at 3.44 US cents, down 14.1% compared to 2HFY2022’s 4.01 US cents.
Revenue for 2HFY2023 grew 9% y-o-y to US$255.2 million. Cost of sales increased by 16.3% to US$185.6 million.
Gross profit for 2HFY2023 declined 6.5% to US$69.6, while gross profit margin stood at 27.3%.
For the full year, the company reported earnings of US$46.3 million, up 5.4% y-o-y.
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Revenue grew by 12.7%y-o-y to US$538.2 million, while cost of sales grew by 15.9% to US$385 million.
Gross profit for the full year grew 5.4% y-o-y to US$153.2 million, while gross profit margin stood at 28.5%.
As at Dec 31, 2023, Delfi’s cash and cash equivalents stood at US$59.4 million. This was after dividend payments of US$29.1 million during the year as well as US$23.6 million in capital expenditure mainly for production equipment.
The board has proposed a final dividend of 1.74 US cents and special dividend of 0.52 US cents per share. Together with the interim dividend of 2.06 US cents, the total dividend for FY2023 would be 4.32 US cents per share, representing 57% of the patmi.
“Amidst the uncertain economic climate caused by geopolitical tensions and more competition within our markets, our proven and longstanding strategies helped to tackle increasing costs, higher inflation and interest rates, enabling us to deliver healthy results despite rising input costs,” says Delfi CEO John Chuang.
Shares in Delfi closed flat on Feb 27 at $1.03.
