Cresud Sa · BCBA:CRES
Cresud Sa — Investor Presentation (May 2021)
30 slides from Cresud Sa's investor presentation, May 2021
Slide 1: Institutional Presentation – 3Q FY 2021
CRESUD INSTITUTIONAL PRESENTATION – 3Q FY 2021 1
Slide 2: About Us
ABOUT US LEADING AGRICULTURAL COMPANY 100% 34,1% 62.1% Managing an approximately 800k ha portfolio in Argentina, and in Brazil, Paraguay & Bolivia through our subsidiary Brasilagro. Farms in ARGENTINA Regional Farmland DIVERSIFIED PORTFOLIO Brazil, Bolivia & Paraguay Real Estate Exposure to farmland
Slide 3: Our Business Strategy
OUR BUSINESS STRATEGY OUR FAVORITE FARMING ACTIVITY FARMLAND REAL ESTATE AGRICULTURAL SERVICES Proven track record in the purchase, We leverage our deep understanding of We produce grains, sugarcane improvement and sale of farms in its optimum agribusiness through our investment in commercial and be
Slide 4: Our Portfolio Growth
OUR PORTFOLIO GROWTH REGIONAL BUSINESS EXPANSION TO EXPANSION TO CONSOLIDATION BOLIVIA & PARAGUAY BRAZIL Th. Ha PORTFOLIO OPTIMIZATION 877 880 877 865 861 867 885 850 854 842 852 IN ARGENTINA 832 827 726 MANAGEMENT CONTROL +15.7% CAGR 564 Mr. Eduardo Elsztain appointed Chairman & Mr. Alejandro Elszt
Slide 5: Regional Agricultural Portfolio
REGIONAL AGRICULTURAL PORTFOLIO Brazil 153,368 ha 4% 20% 40% Bolivia 10% Hectares 9,875 ha 56% 1% 885,820 (Owned, LT 11% concession & leased farms) 60% 40% Paraguay 48% 52% 59,585 ha 28% 8% Argentina 536,589 ha 71% 51% 5
Slide 6: Global Agricultural Outlook
GLOBAL AGRICULTURAL OUTLOOK To meet the future global Global demand for food to keep growing, while arable lands will be even more scarce demand for food, an increase in World population is expected to increase, driving a consistent demand for commodities area of arable lands as well as their produc
Slide 7: Global Agricultural Outlook
GLOBAL AGRICULTURAL OUTLOOK CBOT PRICES OF COMMODITIES - USD/tn Soybean: US & the World Stock / Consumption ratio 35% 30% EE.UU Mundo Prom Mundo Prom EEUU STRONG RECOVERY IN 2020 25% 23,5% REACHING 2012 LEVELS 20% SOYBEAN 15% 700 +87% 10% 9% Since 608 5% 600 Jun20 0% 20/21 ant 93/94 94/95 95/96 96/9
Slide 8: Farming Track Record
FARMING TRACK RECORD CAGR HISTORICAL RECORD +13% 248 264 259 GRAINS 212 213 813 828 183 200 202 205 199 12 179 24 142 141 Planted Area 310 (Th. ha) 589 612 74 82 568 65 596 536 47 46 44 41 46 49 36 37 32 484 16 23 469 435 452 322 Grain production 288 482 (Th. Tn) 133 160 187 128 156 115 105 69 70 73
Slide 9: Farming Track Record: Vision of Feeding the World
FARMING TRACK RECORD FOLLOWING OUR VISION OF FEEDING THE WORLD 4,200,000 “We imagine Cresud as the world’s food provider. With growing populations and an ever-increasing need for food, it is our responsibility to use this region’s blessings professionally” Eduardo S. Elsztain (Chairman) 10,000 peopl
Slide 10: Progress in the Food Chain Process
PROGRESS IN THE FOOD CHAIN PROCESS FOLLOWING OUR VISION OF FEEDING THE WORLD Synergies with FyO in developing commercial agreements with clients, both for specialties and traditional grains MEAT SOYBEAN – CORN - WHEAT SPECIALTIES SUGARCANE PEA – CHICKPEA – BARLEY - POPCORN 10
Slide 11: Farming Track Record: Soybean Yields
FARMING TRACK RECORD CRESUD SOYBEAN YIELDS EVOLUTION vs ARGENTINE CORN BELT Increasing land value through development & efficient farming in the region 4,5 Tn/ha 4,0 4,01 3,5 3,44 3,10 3,0 3,1 2,5 2,0 1,5 Avg. Farming EBITDA Last 3 years: 1,0 ARG Los Pozos ARG Corn Belt USD 55 MM 0,5 Highly above hi
Slide 12: Farmland Real Estate Track Record
FARMLAND REAL ESTATE TRACK RECORD 8.9 18.0 Farmland prices ARGENTINA Corn belt USD/ha 6.7 6.0 29.0 AVERAGE IRR (USD) 4.8 14,000 16% 25.0 1.3 7.3 Corn Belt Land Value in 5.0 USD/Ha 5.7 Land Acquisitions USD MM 10.6 Land Sales USD MM 1.0 6.8 30.0 2,254 2.5 25.2 30.0 4.1 9.0 21.1 9.2 17.2 13.5 14.1 12
Slide 13: Farmland Real Estate Track Record
FARMLAND REAL ESTATE TRACK RECORD BRAZIL 9,536 USD/Ha 13.7 38.3 AVERAGE IRR (BRL): 24.7 17.5 89.0 2019 22% 45.8 27.1 15.9 67.0 21.5 19.0 31.3 6.776 USD/Ha 38.0 6.030 111.1 51.4 23.9 2.928 1,343 USD/Ha 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020
Slide 14: Cresud Investment in BrasilAgro
CRESUD INVESTMENT IN BRASILAGRO BRL/Share SHARE PRICE EVOLUTION (BRL) – CALENDAR YEAR 2021 38,00 PRE-CAPITAL POST-CAPITAL INCREASE 3-feb Current 15-may 36,00 INCREASE Bolivia sale & price BrasilAgro’s 34,00 BrasilAgro's warrants 34 maturity 32,00 capital increase +54% 30,00 28,00 26,00 Exercised the
Slide 15: Farmland Real Estate Track Record: Farmland Sales
FARMLAND REAL ESTATE TRACK RECORD FARMLAND SALES 134 USD MILLION PROFIT 72 62 67 BOOK VALUE 46 28 34 21 26 21 60 62 39 19 14 20 5 13 34 13 17 3 7 12 8 14 7 7 1 - 2 FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 Farms sold 1 2 3 4 2 4 0 6 3 3 4 25 YEARS TRACK RECORD FARMS SOLD PER YEAR HA SOL
Slide 16: Leader in Agricultural Commercial Services
LEADER IN AGRICULTURAL COMMERCIAL SERVICES FYO began with the idea of innovating the traditional grain market and, over the years, has incorporated new business units that allow them to keep on growing and to reconvert the company, creating an ecosystem of services that is constantly adjusting to th
Slide 17: Investment in Agtech
Annual visits Last capital round IIQ20 INVESTMENT IN AGTECH 33.796.362 38.513.424 USD 23 million PIONEER IN AGRIBUSINESS E -COMMERCE 14.159.699 ▪CRESUD subscribed USD 2 MM ▪BrasilAgro USD 1 million Dic_18 Dic_19 Dic_20 The Agribusiness Marketplace Monthly contacts LATAM EXPANSION OWNERSHIP 1.107.496
Slide 18: Investment in IRSA
INVESTMENT IN IRSA I N C R EA S I N G P O S I T I O N I N M A R K E T O P P O RT U N I T I ES CRESUD STAKE IN IRSA 64,30% 29,1 63,70% 28,0 62,10% 57,50% IRS Share price (USD/ADR) 49,90% 19,3 19,0 15,3 15,6 26,70% -85.0% 14,80% 7,9 3,3 2,8 2,6 18 2001 2002 2008 2011 2015 2018 2020
Slide 19: IRSA Investment
IRSA INVESTMENT LEADING REAL ESTATE IN ARGENTINA ✓ 30 years acquiring, developing and operating real estate ✓ 25 years listed on the NYSE and accessing capital markets ✓ Rental Portfolio of more than 500,000 sqm of GLA RENTAL PROPERTIES Controlling shareholder of IRCP (BYMA:IRCP ; NASDAQ:IRCP), lead
Slide 20: Rental Portfolio
RENTAL PORTFOLIO 25 Rental Properties P O T E N T I A L LY 526,000 Rental sqm 67% Mall’s BA City Market share 10% 20 A+ Office BA City Market Share
Slide 21: Properties for Development
Caballito (BA city) PROPERTIES FOR DEVELOPMENT San Martin (BA province) 18 17.4 Polo Dot (BA city) # Land Reserves Total surface (mm sqm) 700k sqm 6.2 Santa María Plot Buildable surface Puerto Madero – BA city (mm sqm) (approvals pending) Capacity to almost double current rental portfolio 21 Montevi
Slide 22: Environmental Commitment
AGRORIEGO SAN LUIS ENVIRONMENTAL 10yrs certified ISO 14,001 COMMITMENT ENVIRONMENTAL POLICY Environmental • We innovate in the use of the best practices for the Awareness development of our activities balancing an efficient use of resources and a growing production. "Best Farmer" La • We work toward
Slide 23: Social Responsibility
SOCIAL RESPONSIBILITY We are part of the communities where our farms are located • We have constructed 8 schools in the commnunities where our farms are located. • We deliver school kits, organize workshops with extra curricular activities such as theater, puppet factory and educational visits for s
Slide 24: Corporate Governance
CORPORATE BOARD OF DIRECTORS GOVERNANCE 12 Regular 5 Independent We stood out in (3 in Audit Committee) EDUARDO S. ELSZTAIN credibility, pride and fellowship • NASDAQ Level 3 listing since 1997 (24 yrs listed) Chairman • Sarbanes-Oxley compliant In recent years, we included 3 women promoting diversi
Slide 25: Financials
FINANCIALS S T R O N G T R A C K R E C O R D 25
Slide 26: Agribusiness
AGRIBUSINESS ADJUSTED EBITDA 93 105 75 USD 105 million FY20 FY 18 FY 19 FY 20 39% Others Sugarcane 36% 10% FY 20 33% FY 20 Farming Adj. EBITDA 66% by segment 7% Cattle Adj. EBITDA by Company FY 20 Agricultural 64% 7% and rental 61% Farmland sales Adj. EBITDA services By Farming 24% segment 53% 26 Cr
Slide 27: NAV
NAV Other Assets 11% Brazil 31% Bolivia 2% Paraguay 5% Dec-20 – USD million GAV by business Urban Real Estate Business 44% Farmland value by country USD 602 million Agribusiness 45% Argentina 62% LTV 464 42% Mkt cap Paraguay 21 115 USD 272 MM Bolivia 10 Brasil 144 436 Argentina 289 1.038 602 459 1 2
Slide 28: Cresud Capital Increase March 2021
CRESUD CAPITAL INCREASE MARCH 2021 90.0 million shares CRESUD Subscription USD 42.5 million (87.3 million preemptive right subscription & 2.6 million from accretion rights) +26% oversubscribed 591.2 million shares Funds received Cresud new capital stock + 90.0 million warrants for 90 million additio
Slide 29: Debt
DEBT USD 62% USD STAND ALONE Debt by Linked 27% Mar 2021 currency USD 377.4 million ARS 11% Net Debt DEBT AMORTIZATION SCHEDULE Description Amount Maturity USD MILLION Short term debt 23.1 <360 days Notes debt 349.3 - 182.7 147.7 Other Debt 40.8 - GROSS DEBT 475.3 57.4 CASH & EQ 35.8 25.4 NET DEBT 3
Slide 30: Contact Us
CONTACT US Della Paolera 261 9th floor (333) 4323-7449 [email protected] www.cresud.com.ar @cresudir 30