Delfi (P34) AI Stock Analysis

• Market Cap: $458.37M
• Dividend Yield: 4.19%
• Average Volume (3M): 394.37K
• Price to Earnings (P/E): 10.1
• Beta (1Y): 0.59
• Revenue Growth: -7.55%
• EPS Growth: -26.87%
• Country: SG
• Employees: 6,000
• Sector: Consumer Defensive
• Sector Strength: 56
• Industry: Food Confectioners
• EPS (TTM): N/A
• Shares Outstanding: 611,157,000
• 10 Day Avg. Volume: 360,460
• 30 Day Avg. Volume: 394,366
• PEG Ratio: -0.59
• Price to Book (P/B): 1.35
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 124.46
• Enterprise Value/Market Cap: 0.74
• Enterprise Value/Revenue: 0.12
• Enterprise Value/Gross Profit: 1.88
• Enterprise Value/Ebitda: 1.04
• 1Y Price Target: $0.78
• Price Target Upside: 3.55% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 3

• Rating: 73 Outperform
• Price Target: S$1.00 ▲(33.33%Upside)

Delfi's overall stock score is driven by its strong financial performance and attractive valuation, despite challenges in profitability. The technical analysis suggests potential buying opportunities, while the lack of specific earnings call data or corporate events means these factors do not impact the score.

Positive Factors

Brand Performance

Resilient sales in Indonesia were attributed to better sales of its own brands, especially within the premium sub-segment, offsetting decreased sales of agency brands.

Financial Stability

Strong cash flow generation should provide support for unchanged absolute dividend payout, implying ~5.9% yield.

Market Position

Delfi has maintained its market leadership position in Indonesia’s chocolate confectionery segment over the past decade.

Negative Factors

Margin Pressure

High cocoa prices are expected to continue impacting margins adversely.

Operational Challenges

EBITDA fell sharply from 15.5% in 1Q24 to 11.3% in 1Q25 due to lower operating leverage, representing a 25% decline in constant currency terms.

Profitability Concerns

Weaker consumer sentiment, coupled with elevated cocoa prices and a weaker Rp against US$, could pressure profitability in the near term.

Delfi Business Overview & Revenue Model

Company Description

Delfi (P34) is a leading manufacturer and marketer of confectionery products, primarily operating in the Southeast Asian region. The company is well-known for its wide range of chocolate and cocoa-based products, serving both consumer and industrial markets. Delfi's extensive portfolio includes popular brands that cater to diverse consumer preferences, positioning it as a key player in the confectionery industry.

How the Company Makes Money

Delfi generates revenue primarily through the sale of its chocolate and confectionery products across various distribution channels, including supermarkets, convenience stores, and online platforms. The company capitalizes on its strong brand portfolio and extensive distribution network to reach consumers in its target markets. In addition to direct sales, Delfi also engages in strategic partnerships and collaborations with retailers and distributors, enhancing its market presence and accessibility. The company's earnings are further supported by its focus on product innovation and marketing initiatives, which help to maintain consumer interest and loyalty.

Delfi Financial Statement Overview

Summary

Delfi's financial performance indicates strong revenue growth and a solid balance sheet with low leverage. However, declining profitability metrics, such as net profit margin and return on equity, pose challenges. Improved cash flow generation suggests positive cash management, although sustainability needs monitoring.

Income Statement

Delfi's income statement reflects stable revenue growth over the years, with a notable increase from $385 million in 2020 to $502 million in 2024. The gross profit margin has been consistent, averaging around 27.4% in recent years. However, the net profit margin has decreased from 8.6% in 2023 to 6.8% in 2024, indicating a decline in profitability. EBIT margin was not reported for 2024, but EBITDA margin was 12.5% in 2024, showing a slight decline from 14.4% in 2023. Overall, the income statement demonstrates healthy revenue growth but a need to address declining profitability.

Balance Sheet

Delfi's balance sheet displays a strong equity position with a debt-to-equity ratio of 0.09 in 2024, down from 0.15 in 2023, indicating low leverage and financial stability. The equity ratio has improved from 63.2% in 2020 to 61.8% in 2024. The return on equity has decreased from 17.4% in 2023 to 12.8% in 2024, reflecting reduced profitability. Overall, the balance sheet is stable with strong equity, but there is room for improved returns on equity.

Cash Flow

The cash flow statement shows a significant increase in operating cash flow from $25 million in 2023 to $52 million in 2024. Free cash flow also increased substantially from $1.5 million in 2023 to $23.6 million in 2024, indicating improved cash generation. However, the free cash flow growth rate is high, which may not be sustainable. The operating cash flow to net income ratio improved to 1.55 in 2024, suggesting strong cash conversion. Overall, the cash flow statement reflects improved cash generation, but sustainability should be monitored.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	646.96M	502.65M	538.15M	482.97M	405.13M	385.12M
Gross Profit	179.89M	137.82M	153.24M	148.31M	119.71M	110.11M
EBITDA	85.49M	63.05M	77.58M	75.46M	58.70M	44.57M
Net Income	40.63M	33.95M	46.26M	43.90M	29.27M	17.48M
Balance Sheet
Total Assets	420.94M	428.23M	420.94M	395.09M	363.90M	382.49M
Cash, Cash Equivalents and Short-Term Investments	59.38M	43.78M	59.38M	77.14M	86.24M	65.52M
Total Debt	40.97M	24.78M	40.97M	20.30M	11.45M	50.22M
Total Liabilities	154.72M	163.64M	154.72M	148.89M	124.59M	156.74M
Stockholders Equity	266.22M	264.58M	266.22M	246.19M	239.30M	225.63M
Cash Flow
Free Cash Flow	7.77M	23.64M	1.49M	3.80M	73.81M	37.48M
Operating Cash Flow	39.87M	52.57M	25.23M	7.74M	77.19M	42.41M
Investing Cash Flow	-41.56M	-28.79M	-23.97M	-3.61M	-196.00K	-4.84M
Financing Cash Flow	-32.53M	-34.93M	-22.66M	-13.12M	-54.74M	-28.21M

Delfi Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.75
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SG:P34, the sentiment is Positive. The current price of 0.75 is above the 20-day moving average (MA) of 0.74, above the 50-day MA of 0.72, and below the 200-day MA of 0.76, indicating a neutral trend. The MACD of <0.01 indicates Negative momentum. The RSI at 56.88 is Neutral, neither overbought nor oversold. The STOCH value of 69.44 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SG:P34.

Delfi Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
5JS	73 Outperform	S$446.69M	4.73	7.94%	4.02%	-4.59%	74.87%
P34	73 Outperform	$458.37M	10.11	12.79%	4.19%	-7.55%	-26.87%
Q01	71 Outperform	S$523.49M	15.09	7.04%	5.46%	1.20%	26.15%
Sector *	68 Neutral	S$3.39B	16.86	-11.82%	5.93%	5.14%	-8.01%
MV4	66 Neutral	S$397.68M	7.66	4.76%	5.89%	15.23%	-4.95%

Delfi Corporate Events

Delfi Limited Conducts Annual General Meeting with New Leadership

Delfi Limited held its Annual General Meeting (AGM) on April 29, 2025, at the Singapore Marriott Tang Plaza Hotel. The meeting was chaired by Mr. Doreswamy Nandkishore, who expressed his gratitude for the trust placed in him as the new Chairman and acknowledged the contributions of the former Chairman, Mr. Pedro Mata-Bruckmann. The AGM included a poll voting process facilitated by Boardroom Corporate & Advisory Services and MSA Business Solutions, with a demonstration provided to familiarize shareholders with the system.

The most recent analyst rating on (SG:P34) stock is a Hold with a S$0.96 price target. To see the full list of analyst forecasts on Delfi stock, see the SG:P34 Stock Forecast page.

Delfi Limited Reports Resilient Q1 2025 Amidst Industry Challenges

Delfi Limited reported a slight decline in net sales for the first quarter of 2025, with a 0.5% year-on-year decrease in US dollar terms, but a 1.5% increase on a constant currency basis. The company faced challenges due to weaker regional currencies and reduced promotional spending by agency partners in Indonesia. However, increased sales in its Own Brands segment, particularly in premium products, helped offset these declines and maintain market share in Indonesia.

The most recent analyst rating on (SG:P34) stock is a Hold with a S$0.96 price target. To see the full list of analyst forecasts on Delfi stock, see the SG:P34 Stock Forecast page.

Delfi Limited Appoints New Deputy Chairwoman for Sustainability Committee

Delfi Limited has appointed Madam Lim Seok Bee as the Deputy Chairwoman of its Sustainability Committee, following her re-election as an Independent Director. With over 40 years of experience in sustainability and the cocoa industry, Madam Lim is expected to significantly enhance the Group’s sustainability efforts, supporting the Chairman, Mr. Pedro Mata-Bruckmann, in his duties.