Cost pressures likely to weigh on Dutch Lady’s results in 2H

KUALA LUMPUR: Dutch Lady Milk Industries Bhd is expected to see weaker financial results in the second half of this year, due to the absence of major festivities and cost pressures, according to Kenanga Research.The research unit pointed out that cost pressures will persist with extended supply chain disruptions as well as a prolonged Russian-Ukraine war.

“We also believe Dutch Lady has moral as well as environmental, social, and governance obligations not to excessively raise prices of its staple food products that make up the daily diet of the population,” said Kenanga Research.