High energy, logistics costs moderate DDL’s mid-year profit growth

– records $2.3B after-tax profit in 1st half of 2026

Despite pressures from rising costs, local beverage giant Demerara Distillers Limited (DDL) has reported a profit after tax of $2.284 billion for the first six months of 2026 compared to $2.202 billion last year.
“The profit margins were negatively affected by increases in energy and logistics, as well as input costs,” Chairman of the DDL Group, Komal Samaroo, explained in the 2026 Interim Report up to June 30, 2026.
He also reported that the Group’s profit before taxation for the period was $3.142 billion, an increase of $180 million, or six per cent, over the $2.962 billion achieved for the same period in 2025.
According to Samaroo, the trend continues of the Guyana economy experiencing rapid growth in stark contrast to the sluggish performance of the world economy. In the first half of 2026, the DDL Chairman said consumer spending in international markets was adversely influenced by high inflation, as fuel prices escalated due to the continued conflict in the Middle East.
Additionally, he pointed out that the persistent war in Ukraine, coupled with other geopolitical uncertainties, impacted markets negatively.
“In North America and Europe, spirits sales have declined, particularly in the premium and super premium segments. Growth in the domestic market has been sustained, as the economy continued to benefit from the growing oil and gas sector,” Samaroo stated.
To this end, he reported that the Group’s turnover for the period was $16.968 billion compared to $14.585 billion for the same period last year, representing an increase of 16.3 per cent.
Samaroo added that turnover in international markets increased slightly by 3.3 per cent over comparative turnover as of the end of June 2025, while turnover in the domestic market recorded a welcome increase of 19.2 per cent as of June 30, 2026, compared with the same period in 2025.
He added that new products, launched in the second quarter of 2026, which were made possible by new investments in production capacity, accounted for approximately 15 per cent of the increase in turnover for the half-year period.
Meanwhile, during the first six months of this year, the DDL Group continued to advance its capital expansion projects, including the completion and subsequent opening of its DSL Retail Cash & Carry Store in Lethem, Region Nine (Upper Takutu-Upper Essequibo) on March 30, 2026.
The construction of the US$30 million Demerara Dairy Inc (DDI) Dairy Farm at Moblissa also continued and is now at an advanced stage, with full completion projected for November 2026. In the meantime, the arrival of the first shipment of 85 heifers allowed for the commencement of the DDI Dairy Farm Operations, including the provision of ongoing care for the heifers, training of staff, testing of equipment, etc. A second batch of 473 pregnant heifers arrived earlier this month.
During this period, the Group also continued the rehabilitation of the Demerara Shipping Company Ltd wharf facilities in Georgetown. These works are expected to be fully completed in January 2027.
Additionally, construction commenced in February 2026 on a new DSL Retail Cash & Carry Store at Vreed-en-Hoop, West Demerara, and this is expected to be completed by the end of the year.
Moreover, equipment for the upgrade of the Group’s Carbon Dioxide Plant at Diamond, East Bank Demerara, is being shipped, with those works also scheduled for completion by the end of 2026. Upgrades to the facilities at the Tropical Orchard Products Company Ltd Operations (TOPCO) for the receiving and processing of fresh milk are still ongoing and are scheduled for completion by the end of this month.
On the other hand, as the DDL Group’s beverage operations scaled up the use of its expanded capacity that was installed last year, several new products were launched on the domestic market in the first half of 2026. These include the Ready-to-Drink Cocktails (RTD), which were launched back in March, offering six different flavours.
In addition, under an expanded agreement with PepsiCo, the production of Gatorade Isotonic Sports Beverage was undertaken for the first time in Guyana and introduced to the market in May of this year. Further, the packaging of Pepsi in cans was also pursued for the first time in Guyana and was launched in the domestic market back in June 2026.
“With steady expansion of the Group with a wider range of products as well as an extended focus on varied distribution channels and new markets, the Group remains well-positioned to continue its growth and profitability in the future,” Samaroo stated in his report.
The DDL Chairman went on to commend the hard-working members of staff at all levels within the Group, loyal customers, and the prudent Board of Directors as they continue to pursue diversified and sustained growth of one of the leading manufacturing companies in the country.