Cresud Sa · BCBA:CRES
Cresud Sa — Investor Presentation (2021)
28 slides from Cresud Sa's investor presentation, 2021
Slide 1: Institutional Presentation – 2Q FY 2021
CRESUD INSTITUTIONAL PRESENTATION – 2Q 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: CBOT Prices
GLOBAL AGRICULTURAL OUTLOOK CBOT PRICES OF COMMODITIES - USD/tn Soybean: US & the World S/C ratio STRONG RECOVERY IN 2020 35% EE.UU Mundo Prom Mundo Prom EEUU REACHING 2013 LEVELS 30% 550 25% SOYBEAN 497,8 22,8% 500 +54.0% 20% Since 15% 450 10% Jun20 400 5% 3% 0% 350 300 Corn: US & the World S/C rat
Slide 8: Historical Farming Track Record
HISTORICAL FARMING TRACK RECORD CAGR +13% RECORD 264 262 248 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: 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: Cresud Soybean Yields Evolution vs Argentine Corn Belt
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 Argentina
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 Brazil
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: Farmland Sales Track Record
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 15: 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 16: 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 17: 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 17 2001 2002 2008 2011 2015 2018 2020
Slide 18: 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 19: 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% 19 A+ Office BA City Market Share
Slide 20: 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 20 Montevi
Slide 21: 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 22: 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 23: 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 24: Financials
FINANCIALS S T R O N G T R A C K R E C O R D 24
Slide 25: Agribusiness: Adjusted EBITDA
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% 25 Cr
Slide 26: 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 27: Debt
DEBT ARS 21% STAND ALONE USD Debt by Dec-2020 55% currency USD Linked 24% USD 436.1 million Net Debt DEBT AMORTIZATION SCHEDULE Description Amount Maturity USD MILLION Short term debt 50.0 <360 days 165,6 147,7 Notes debt 361.0 - 136,6 Other Debt 64.3 - GROSS DEBT 475.3 CASH & EQ 39,2 25,4 NET DEBT
Slide 28: Contact Us
CONTACT US Della Paolera 261 9th floor (333) 4323-7449 [email protected] www.cresud.com.ar @cresudir 28