Results
Latest quarterly results published by the Company
See a summary of the Results Release for 3Q18 (second quarter of 2018) available on the CVM website and also a summary of the latest quarterly results published by the Company.
For more details visit the Investor Relations site www.slcagricola.com.br/ir
Highlights of the period
| (R$ thousand) | 9M17 | 9M18 | AH | 3Q17 | 3Q18 | AH |
| Net revenue | 1,152,326 | 1,296,156 | 12.5% | 459,587 | 408,451 | -11.1% |
| Change Fair Value of Biol. Assets | 340,753 | 656,799 | 92.7% | 101,442 | 129,134 | 27.3% |
| Gross income | 509,984 | 730,385 | 43.2% | 155,556 | 114,498 | -26.4% |
| Gross margin | 44.3% | 56.4% | 12.1 p.p | 33.8% | 28.0% | -5.8 p.p |
| Operating income | 399,314 | 600,779 | 50.5% | 114,095 | 68,755 | -39.7% |
| Operating margin | 34.7% | 46.4% | 11.7 p.p | 24.8% | 16.8% | -8.0 p.p |
| Net profit | 232,634 | 373,042 | 60.4% | 70,500 | 35,587 | -49.5% |
| Net margin | 20.2% | 28.8% | 8.6 p.p | 15.3% | 8.7% | -6.6 p.p |
| Adjusted EBITDA (1) | 314,087 | 397,588 | 26.6% | 116,834 | 88,298 | -24.4% |
| Adjusted EBITDA margin | 27.3% | 30.7% | 3.4 p.p | 25.4% | 21.6% | -3.8 p.p |
| Adjusted Net debt (2) | 844,882 | 1,189,668 | 40.8% | 844,882 | 1,189,668 | 40.8% |
(1) Excludes the effects from Biological Assets, since they are noncash, and excluding the write-off of Property, Plant and Equipment. (2) Adjustes by gain and losses with derivatives.
Marketplace Overview
Variation in commodity prices
The average cotton spot price on the ICE US during 3Q18 was de 84.4 USc per pound, slightly below the average price in the prior quarter, but presenting a downward trend towards the close of the quarter. Supply and demand in the short term remains favorable for cotton, with consumption following a solid upward path in recent years to set new records.
The average spot soybean price on the CBOT was 14% lower than the average price in the prior quarter and 12% lower than the price at the start of the year, basically due to the confirmation by China of the 25% duty on soybean imports from the United States, which is one of the developments of the trade war cited earlier.
The average corn price of the first contracts traded on the Chicago Board of Trade (CBOT) in 3Q18 was slightly lower than the average price in the previous quarter and, by the end of September, was basically at the same level observed at the start of 2018.
Operational Performance
2017/18 Crop
Soybeans
Harvest was concluded on the 230,127 hectares in the current crop year dedicated for this crop, where we registered a record yield of 3,756 kg/ha, which is 11.8% more than initially projected.
Cotton
The area cultivated for cotton crops in 2017/18 was 95,124 ha, divided between the initial cotton crop and the 2nd cotton crop.
Corn
The productivity of the corn grown in the 2nd crop was 9,912 per hectare. The planting of the corn 2nd crop began in the second half of January 2018, as the harvest of early soybean varieties advanced.
Get to know our Investor Relations website
SLC Agrícola is a Company with shares traded on Bovespa since 2007.
On the Investor Relations Website you will find comprehensive content that includes:
– Event Calendar where SLC Agricola’s IR team will be present in the coming months
– Section for downloads, historical data spreadsheets and document files already published by the Company, release of results as well as relevant facts
– Section for quotes and charts
– Details on corporate governance
– Section “Why invest in SLC Agrícola?”
