{"id":329464,"date":"2024-09-14T17:53:05","date_gmt":"2024-09-14T09:53:05","guid":{"rendered":"https:\/\/www.pinoyinvestor.com\/smartinvestor\/?p=329464"},"modified":"2024-09-14T17:53:07","modified_gmt":"2024-09-14T09:53:07","slug":"trade-the-news-delm-widens-net-loss-on-unfavorable-results-from-us-business","status":"publish","type":"post","link":"https:\/\/www.pinoyinvestor.com\/smartinvestor\/trade-the-news-delm-widens-net-loss-on-unfavorable-results-from-us-business\/","title":{"rendered":"Trade the News: DELM widens net loss on \u2018unfavorable results\u2019 from US business"},"content":{"rendered":"\n
Potential Impact of this News<\/strong><\/td>NEGATIVE on the stock price<\/strong><\/td><\/tr>
Company<\/strong><\/td>Del Monte Pacific Ltd.<\/td><\/tr>
Stock Code<\/strong><\/td>DELM<\/td><\/tr>
Long-term Recommendation on the Stock<\/strong><\/td>Unrated<\/td><\/tr>
1-Year Target Price<\/strong><\/td>Unrated<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n
<\/div>\n\n\n\n

Del Monte Pacific Ltd. (DMPL) widened its attributable net loss to $34.17 million for the first quarter (May-July) of its fiscal year 2025, ending in April, compared with a $13.08 million attributable net loss the prior year, due to \u201cunfavorable results\u201d from its United States business and higher interest expenses.<\/p>\n\n\n\n

\u201cDMPL reported a net loss\u2026 largely driven by unfavorable results from Del Monte Foods, Inc. (DMFI), and increased interest expenses,\u201d DMPL said in a regulatory filing on Wednesday.<\/p>\n\n\n\n

First-quarter gross profit dropped by 19% to $87.57 million on high inventory costs and inflationary impact from last year\u2019s production. Interest expenses rose by 27.5% to $56.16 million on higher loans and interest rates.<\/p>\n\n\n\n

DMPL grew its sales by 4% to $536.9 million from $516.73 million the previous year led by higher packaged and fresh pineapple exports and stronger domestic sales led by Philippine subsidiary Del Monte Philippines, Inc. (DMPI).<\/p>\n\n\n\n

\u201cFirst-quarter margins have increased against the fourth quarter, resulting in lower first-quarter losses than the fourth quarter. We are executing the priorities we have set to improve our operating and financial performance across all businesses. This is most evident in DMPI where profitability has significantly increased,\u201d DMPL Chief Operating Officer Luis F. Alejandro said.<\/p>\n\n\n\n

US subsidiary DMFI recorded a 0.1% increase in sales to $356.59 million on stronger Joyba bubble tea sales which offset lower sales in the healthy snacking category.<\/p>\n\n\n\n

DMPI posted $77.2 million in sales, up by 2% and 6% in dollar and peso terms, respectively. The growth came from better performances of packaged fruit, beverage, and culinary.<\/p>\n\n\n\n

Sales in international markets increased by 20% in peso terms due to better sales across processed, fresh, frozen and not from concentrated juice categories.<\/p>\n\n\n\n

The company\u2019s net debt shrank by 3.2% to $2.23 billion from $2.3 billion on decreased inventory from DMFI and settlement of loans.<\/p>\n\n\n\n

(News Source: BusinessWorld<\/a>)<\/em><\/p>\n\n\n\n

<\/div>\n\n\n\n

This report is prepared by PinoyInvestor\u2019s partner broker below. Find out more about our partner brokers<\/a> and sign up to avail their complete trading brokerage services.<\/em><\/em><\/em><\/p>\n","protected":false},"excerpt":{"rendered":"

Take advantage of the price opportunity that might arise when the news hits. Trade the news!<\/p>\n","protected":false},"author":11,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1371],"tags":[],"class_list":["post-329464","post","type-post","status-publish","format-standard","hentry","category-trade-the-news","generate-columns","tablet-grid-50","mobile-grid-100","grid-parent","grid-33"],"_links":{"self":[{"href":"https:\/\/www.pinoyinvestor.com\/smartinvestor\/wp-json\/wp\/v2\/posts\/329464","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.pinoyinvestor.com\/smartinvestor\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.pinoyinvestor.com\/smartinvestor\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.pinoyinvestor.com\/smartinvestor\/wp-json\/wp\/v2\/users\/11"}],"replies":[{"embeddable":true,"href":"https:\/\/www.pinoyinvestor.com\/smartinvestor\/wp-json\/wp\/v2\/comments?post=329464"}],"version-history":[{"count":2,"href":"https:\/\/www.pinoyinvestor.com\/smartinvestor\/wp-json\/wp\/v2\/posts\/329464\/revisions"}],"predecessor-version":[{"id":329468,"href":"https:\/\/www.pinoyinvestor.com\/smartinvestor\/wp-json\/wp\/v2\/posts\/329464\/revisions\/329468"}],"wp:attachment":[{"href":"https:\/\/www.pinoyinvestor.com\/smartinvestor\/wp-json\/wp\/v2\/media?parent=329464"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.pinoyinvestor.com\/smartinvestor\/wp-json\/wp\/v2\/categories?post=329464"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.pinoyinvestor.com\/smartinvestor\/wp-json\/wp\/v2\/tags?post=329464"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}