#Argentina #Buenos Aires #Fiscal Year 2025 #agricultural company #Cresud S.A.C.I.F.

Cresud S.A.C.I.F. y A. Reports Strong Results for Third Quarter of FY 2025

Cresud S.A.C.I.F. y A., a prominent player in Argentina's agricultural sector, has released its results for the third quarter of the fiscal year 2025, which ended on March 31, 2025. The financial outcomes highlight a significant recovery and growth trajectory for the company compared to the previous year.

Financial Highlights

In the third quarter, Cresud reported a net profit of ARS 57,895 million for the first nine months of FY 2025. This marks a noteworthy improvement from the net loss of ARS 39,987 million recorded for the same period last year, demonstrating the company's effective strategy and operational resilience.

Performance by Business Segment

The performance of Cresud's agricultural business remains strong, generating an adjusted EBITDA of ARS 31,072 million. Urban properties and investments, particularly through IRSA, showed robust results as well, contributing ARS 156,380 million to the overall financial health of the company.

Farm activity has thrived due to favorable weather conditions, with the company planting 300,000 hectares and anticipating a yield of approximately 867,000 tons of grains—23% more than in the previous campaign.

Market Conditions and Pricing

The agricultural sector in Argentina is witnessing excellent price levels, especially in cattle production, leading to healthy profit margins and production rates. Furthermore, recent government measures have positively impacted the market. The Argentine government temporarily reduced export duties, significantly lowering costs for soybeans and grains, which is expected to boost future grain prices.

Additionally, the partial removal of capital controls is set to influence exchange rates positively, further benefiting Cresud’s financial positioning and market strategy.

Sales and Property Transactions

Cresud has also been active in selling portions of its properties. Notably, the company sold a part of the “Los Pozos” farm for USD 2.2 million and saw its subsidiary, BrasilAgro, sell a section of “Alto Taquari” for BRL 189.4 million, contributing to its revenue stream.

Detailed Income Statement Analysis

The income statement for the first nine months of FY 2025 reflects the agricultural and urban property segments' performance:

• - Agricultural Business Revenue: ARS 353,159 million (down from ARS 371,988 million in FY 2024)
• - Agricultural Business Gross Profit: ARS 54,117 million (down from ARS 97,424 million)
• - Urban Properties Revenue: ARS 269,586 million (slightly down from ARS 276,363 million)
• - Urban Properties Gross Profit: ARS 206,917 million (down from ARS 227,653 million)
• - Consolidated Gross Profit: ARS 259,097 million, down from ARS 321,226 million

The business reported a gross profit of ARS 7,882 million from operations, a stark recovery from the ARS 363,662 million loss the previous year.

Shareholder Equities and Market Capitalization

As of March 31, 2025, Cresud’s market capitalization stood at approximately USD 653.5 million, reflecting the health of its financial condition and investor confidence.

Cresud has scheduled a conference call for May 12, 2025, to discuss these results in detail and provide insights into future projections and strategies during continuing challenging market conditions. Stakeholders and potential investors are encouraged to engage in the upcoming webinar to learn more about Cresud's path forward.

This quarter's results signify an impressive turnaround for Cresud S.A.C.I.F. y A., reinforcing its status as a leading agricultural entity in Argentina and beyond, committed to maximizing growth, profitability, and market presence.