Buenos Aires, February 17, 2019. Simultaneously with the presentation of the IIQ Fiscal Year 2020 results, the CEO of Cresud, agronomist Alejandro Elsztain, announced that the company will plant its largest crop area ever. During the last campaign, the company which operates in the Mercosur planted 248,000 hectares. But in this new campaign, they pretend to expand 9% the area until to reach 269,000 hectares.
In the previous five years, Cresud planted an average of 201,600 hectares. The new area implies a 33% jump from the 2012/2018 fiscal years. The largest area will be sown in Argentina, which involves 140K hectares or 9K above the 2019 FY. In Brazil, Cresud will grow other 10K until to reach 105K hectares. The remaining area will be planted in Bolivia (14k) and Paraguay (10K).
According to Mr. Elsztain “we are arriving to our record of 269,000 between the four countries and 9% growth comparing to last year numbers. Here, we see that the soybeans represent 51%, corn 24%, sugarcane is 12% and the others are 13%. And this is a combination of owned and leased land between the four countries. The two countries that they are doing that are Argentina and Brazil. The other two are doing only — in Bolivia, we have a small leasing too”.
Talking about the financial situation, Cresud reaches AR$2.6 billion in its EBITDA from its agribusiness unit. According to the CFO Matias Gaivironsky, “we can see a very good performance in agriculture. So leaving aside the farmland sales that last year we recognized it here the gain of Jatoba that is included in the ARS1.5 billion of the previous year against a small recognition this year. Then the rest of the segment, we see that our results almost doubling in farming the previous year, and this is adjusted by inflation. So we can see in grains, better performance, in the sugarcane, in cattle, a lower loss and the agriculture and rent services flat”.