BrasilAgro profits R$ 42 million in the 1st quarter of the 22/23 crop, down 61%

BrasilAgro, which operates in agricultural production and in the market for buying and selling rural properties, recorded a profit of R$ 42 million in the first quarter of the 2022/23 crop, a drop of 61% compared to the same period in the previous cycle, he said. the company on Tuesday night (8).

Cash generation, measured by adjusted Ebitda, totaled R$107.1 million, a reduction of 52% in the same comparison, while net revenue dropped 21%, to around R$300 million.

“The decrease in net revenue compared to the same period last year is a reflection of the drop in the amount of soybeans sold, explained by the sales strategy adopted by the company due to commodity prices and the decrease in sugarcane revenue…”, said the company. company.

The company recalled that, due to the seasonality inherent to the business, the first quarter represents an average of 30% of the revenue within the fiscal year, which begins on July 1st.

The company added that agribusiness was impacted by instability in commodity and input prices, “squeezing the producer’s margin”.

But he pointed out that the company “correctly” anticipated the purchase of inputs.

“Already foreseeing a logistical bottleneck, we anticipated the receipt of fertilizers and we already have 84% of the products purchased on the farms. With the anticipation of the purchase of inputs, we advanced our hedging positions, locking margins above the historical average”, he highlighted.

BrasilAgro’s cultivated area in the 22/23 crop, even with the decrease in areas sold, had an organic growth of 2%, due to the incorporation of transformed areas and new leases to the portfolio, the company said, adding that the soybean crop has been planted in “optimal window” and climate forecasts “remain optimistic”.