- Net Income: BRL97.5 million for the first quarter.
- Adjusted EBITDA: BRL170 million from operational revenues.
- Revenue from Farm Sales: BRL199 million, including BRL192 million from the Alto Taquari Farm sale.
- Sugarcane Harvest: 1.6 million tonnes harvested.
- Area Sold: 2,694 hectares at BRL525 million.
- Sugarcane Productivity: Average TCH of 85 tons, slightly above budget.
- Planted Surface: Expected to finish the harvest with about 180,000 hectares.
- Debt: BRL737 million with a net debt of about BRL550 million.
- Dividends: BRL1.96 per share to be paid on November 14.
- Receivables: BRL891.8 million of receivables per sale near the farm.
Positive Points
- Brasilagro - Cia Bras de Prop Agricolas (NYSE:LND) reported a net income of BRL97.5 million for the first quarter of the 2024/2025 harvest year.
- The company successfully harvested 1.6 million tonnes and started soy plantations, indicating operational progress.
- Sales from the Alto Taquari Farm contributed significantly to the company's revenue, with BRL525 million from 2,694 hectares sold.
- The company has shown resilience in both agricultural and real estate results, reinforcing its dedication to delivering results in both sectors.
- Brasilagro has a strong cash position with BRL900 million in receivables, providing financial stability and flexibility.
Negative Points
- The company faced commercial challenges due to price reversals and initial instability in the rain period, causing delays in soy plantations.
- Soy and cotton prices have been lower, impacting the company's revenue from these commodities.
- The company experienced a delay in planting due to climate conditions, which could potentially affect future yields.
- There is a significant challenge in the corn market due to liquidity issues in contracts, affecting operationalization.
- High interest rates have increased the cost of capital, potentially impacting future investments and expansions.
How well do narratives help inform your perspective?
Disclaimer
The user WaneInvestmentHouse holds no position in NYSE:LND. Simply Wall St has no position in any of the companies mentioned. Simply Wall St may provide the securities issuer or related entities with website advertising services for a fee, on an arm's length basis. These relationships have no impact on the way we conduct our business, the content we host, or how our content is served to users. The author of this narrative is not affiliated with, nor authorised by Simply Wall St as a sub-authorised representative. This narrative is general in nature and explores scenarios and estimates created by the author. The narrative does not reflect the opinions of Simply Wall St, and the views expressed are the opinion of the author alone, acting on their own behalf. These scenarios are not indicative of the company's future performance and are exploratory in the ideas they cover. The fair value estimates are estimations only, and does not constitute a recommendation to buy or sell any stock, and they do not take account of your objectives, or your financial situation. Note that the author's analysis may not factor in the latest price-sensitive company announcements or qualitative material.