Adecoagro S.a. · NYSE:AGRO
Adecoagro — Q2 2023 Earnings Presentation
17 slides from Adecoagro's earnings presentation, August 2023
Slide 1: Adecoagro 2nd Quarter 2023 Earnings Webcast
ADECOAGRO 2ND QUARTER 2023 EARNINGS WEBCAST
Slide 2: Disclaimer
DISCLAIMER This press release contains forward-looking statements that are based on our current expectations, assumptions, estimates and projections about us and our industry. These forward-looking statements can be identified by words or phrases such as “anticipate,” “forecast”, “believe,” “continu
Slide 3: Adecoagro 2Q23 Key Takeaways
ADECOAGRO 2Q23 KEY TAKEAWAYS Adjusted EBITDA 15% higher despite the drought. Diversification and focus on efficiency pays off. SE&E: very positive outlook. Innovations drive TRS/hectare. Crops: focus on the 23/24 campaign. Good expectations with El Niño forecast. Dairy: increase in productivity leve
Slide 4: Consolidated Financial Highlights
CONSOLIDATED FINANCIAL HIGHLIGHTS Gross Revenues Adjusted EBITDA 2Q23 2Q23 Dairy $136 million Crops 0% $407 million 16% 15%(1) 6%(1) Rice 10% Sugar, Sugar, Ethanol & Ethanol & Rice Energy Dairy 7% Energy 20% 46% 79% . Land Transformation 1% . Corporate Crops -3% 18% Gross Revenues Adjusted EBITDA 6M
Slide 5: Consolidated Financial Highlights
CONSOLIDATED FINANCIAL HIGHLIGHTS Gross Revenues (US$ million) Adjusted EBITDA (US$ million) $ 1,352 $437 $433 $ 1,098 $342 $305 $ 892 10% 11% 335 $ 822 374 631 $205 $226 $ 654 254 $ 588 253 562 411 162 194 532 257 287 721 107 124 83 536 72 56 360 411 368 43 330 -20 -19 -22 -24 -12 -11 2019 2020 202
Slide 6: Sugar, Ethanol & Energy Business
SUGAR, ETHANOL & ENERGY BUSINESS
Slide 7: Sugar, Ethanol and Energy Business Operational Performance
SUGAR, ETHANOL AND ENERGY BUSINESS OPERATIONAL PERFORMANCE Sugarcane milled Yield TRS per ton (‘000 Tons) (Tons/Hectare) (Kg/Ton) 42% 30% 9% 29% 6% 5,078 4% 78 76 126 3,606 3,574 60 59 122 3,302 119 117 2Q22 2Q23 6M22 6M23 2Q22 2Q23 6M22 6M23 2Q22 2Q23 6M22 6M23 Sugar production Ethanol production P
Slide 8: Sugar, Ethanol and Energy Business Net Sales by Product
SUGAR, ETHANOL AND ENERGY BUSINESS NET SALES BY PRODUCT Total Net Sales by product Energy . Cbios 1% 5% Sugar Sales Volume Ethanol Sales Volume (Tons) (M3) Hydrous 22.1 22.2 19.1 Ethanol 20.2 9% 23.5 19.8 (14%) 20.0 15% 23.0 8% Net (35%) Revenues 403% 316,711 (43%) 257,928 2Q23 359% $179 million(2)
Slide 9: Sugar, Ethanol and Energy Business Adjusted EBITDA
SUGAR, ETHANOL AND ENERGY BUSINESS ADJUSTED EBITDA Adjusted EBITDA Quarterly Adjusted EBITDA YTD (US$ Thousand) (US$ Thousand) 63% 61% 3% 3% 69% 67% 12% 116,843 193,531 20% 161,636 104,358 2Q22 2Q23 6M22 6M23 Adjusted EBITDA Margin Adjusted EBITDA Margin 9
Slide 10: Sugar, Ethanol and Energy Business Outlook 2023
SUGAR, ETHANOL AND ENERGY BUSINESS OUTLOOK 2023 Good sugarcane availability with high productivity levels = Crushing volumes +15% YoY in 2023 Lower cash cost on better dilution of fixed costs Sugar contracts trading on average at 24 cts/lb – sugar hedges still open Ethanol’s role in Brazil’s transit
Slide 11: Farming Business
FARMING BUSINESS 11
Slide 12: Farming Business 2022/23 Harvest Season
FARMING BUSINESS 2022/23 HARVEST SEASON As of August 4, 2023. Unharvested area 21% Harvested area 51,846 ha 32,882 35,789 ha Harvested Harvested Harvested 4% 79% 100% 100% 247,820 ha Harvested Soybean 1st Corn 1st Wheat 1.8 tn/ha 4.8 tn/ha 2.3 tn/ha 805,429 tons (40%)(2) (29%)(2) (21%)(2) produced 3
Slide 13: Farming & Land Transformation Business Financial Performance
FARMING & LAND TRANSFORMATION BUSINESS FINANCIAL PERFORMANCE Crops Rice Dairy (US$ Thousand) (US$ Thousand) (US$ Thousand) 15% 16,300 27,372 109% 14,205 24,438 (98%) 41% 10,178 203% 14,704 13,109 7,206 (95%) 5,948 4,859 313 509 2Q22 2Q23 6M22 6M23 2Q22 2Q23 6M22 6M23 2Q22 2Q23 6M22 6M23 Others Land
Slide 14: Capital Allocation
CAPITAL ALLOCATION 14
Slide 15: Capital Allocation
CAPITAL ALLOCATION SHAREHOLDER DEBT EXPANSION DISTRIBUTION CAPEX ✓ Net debt $852 million, DIVIDENDS 2023: 1st installment of ✓ Sugarcane Expansion $17.5 million (16 cents per share) paid up 2.7% YoY Planting (SE&E) on May 24th. 2nd installment to be paid ✓ Net leverage 1.9x in November in an equal c
Slide 16: Q&A Session
Q&A SESSION 16
Slide 17: Thank You!
THANK YOU! Website: ir.adecoagro.com Emilio Gnecco - CFO Victoria Cabello - IRO Investor Relations Department [email protected] [email protected] [email protected]