Results
Latest quarterly results published by the Company
See a summary of the 1T22 Earnings Release (first quarter of 2022) made available on CVM´s website as well as a summary of the latest quarterly results published by the Company.
For more details, access the Investor Relations website www.slcagricola.com.br/ir
Highlights of the period
| (R$ thousand) | 1T21 | 1T22 | AH |
| Net revenue | 1.227.004 | 2.409.077 | 96,3% |
| Change Fair Value of Biol. Assets | 918.701 | 1.086.728 | 18,3% |
| Gross income | 785.402 | 1.478.677 | 88,3% |
| Gross margin | 64,0% | 61,4% | -2,6p.p. |
| Operating income | 668.248 | 1.315.602 | 96,9% |
| Operating margin | 54,5% | 54,6% | 0,1p.p. |
| Net profit | 315.125 | 797.062 | 152,9% |
| Net margin | 25,7% | 33,1% | 7,4p.p. |
| Adjusted EBITDA | 455.518 | 1.259.434 | 176,5% |
| Adjusted EBITDA margin | 37,1% | 52,3% | 15,2p.p. |
| Net debt | 917.988 | 2.005.655 | 118% |
Marketplace Overview
Variation in the price of commodities
We ended planting for both first- and second-crop cotton and for second-crop corn within the ideal window. In March and April, we had water shortages in 3 farms in Bahia, which affected the production potential of crop cotton. The water deficit in western Mato Grosso at the same time is affecting the productive potential of the second cotton and corn crop in that region.
The Company’s financial performance in the quarter improved significantly, reflecting the yields, prices and costs of the 2021/22 soybean crop.
Adjusted EBITDA was R$1,259 million, a record for a first quarter and 176.5% higher than in 1Q21, while margin expanded by 15.2 p.p. Net Income grew 152.9% to R$797 million, with net margin of 33.1%. The main factors that contributing to the growth in Adjusted EBITDA and Net Income were the better margins and the higher cotton and soybean volumes shipped.
Another important indicator of the quarter’s performance was the cash generation of R$449.3 million, mainly due to the higher volume invoiced in the period. The variation contributed to a decline in the Net Debt/Adjusted EBITDA ratio, which ended 1Q22 at 0.75 times, which means that with the leverage ratio remaining low, the Company will be able to continue focusing on its growth plan.
Operational Performance
2021/22 Crop
Soybeans
The harvest was concluded with a yield of 3,994 kg/ha, 0.2% above the previous crop year, 6.1% above our initial estimate and 33.1% above the national average (CONAB, Apr/22).
Cotton
The crops are in the blooming stage for apple filling. In this harvest we had a water deficit during March in the states of Bahia and Mato Grosso. Due to this weather scenario, we are updating our productivity estimate to 1,807g/ha, 3.4% lower than projected for the first harvest and 1,642 kg/ha for the second harvest, 9.0% lower than the initial project.
Corn
In Mato Grosso, second-crop corn was affected by the drought, which led to a revision of our estimate, to 7,188 kg/ha, 6.8% below budget.
Check out our Investor Relations website
SLC Agrícola is a Company that has traded shares on Bovespa since 2007.
On the Investor Relations website, you will find complete content that includes:
– Calendar of events where SLC Agrícola´s IR team will be in attendance in the coming months
– Downloads section, with historical data spreadsheets and a file of documents already published by the Company, from release of results to relevant facts
– Quotations and charts section
– Details on corporate governance
– “Why invest in SLC Agrícola?” Section
