BUENOS AIRES, Argentina, May 14, 2012 /PRNewswire/ -- Cresud S.A.C.I.F. y A. (Nasdaq: CRESY, BASE: CRES), today announces results for the first nine-month period of FY 2012 ended March 31, 2012
- Operating income was ARS 501.8 million, a fall of 2.1% as compared to the same period of the previous fiscal year.
- Net income for the nine-month period was ARS 67.1 million, 52.7% lower than in the same period of 2011, explained mainly by exchange rate differences and higher financial losses.
- During this period, Argentina has experienced a severe drought caused by the "La Nina" effect, which affected the country's core productive area, where Cresud has most of the farms leased from third parties. We expect only a mild impact in the farms of our portfolio as they are located in areas not affected by the drought. Besides, the company anticipated this weather effect and has postponed planting and applied specific processes aimed at reducing its impact.
- Soybean and Corn projected production in Argentina is expected to be 42.5 million tons and 21.5 million tons, respectively. These data represent falls of 19.8% and 17.3% compared to 53.0 million tons and 26.0 million tons projected a year ago. Consequently, Soybean prices have shown an increase of more than 15% during the quarter.
- Crop production grew by 540.5% compared to the first nine months of fiscal year 2011, reaching 870.2 thousand tons, as a result of the consolidation of our subsidiary BrasilAgro and the late harvesting of part of the corn plantations in our Argentine farms.
- The Beef cattle segment recorded a year-on-year increase in beef production close to 40.9%, generating a 73.6% increase in production income from this segment. Operating income from this segment fell 77.5%, mainly because holding results were ARS 55.9 million lower. This decrease is explained by the fact that beef cattle prices grew at a smaller pace.
- As concerns milk production, we have continued to observe productivity increases thanks to the consolidation of production in our "El Tigre" dairy facility. During this period, our milking herd generated 22.5 liters per milking cow per day, 16.8% higher than during the same period of fiscal year 2011.
- During this fiscal year we developed 34,157 hectares in the whole region, 8,607 of which were placed into production during this season.
- After the closing of this period we purchased 570,000 American Depositary Receipts ("ADRs") issued by IRSA, representing 0.985% of the total outstanding shares of such company, for a total price of US$ 4.91 million. In this way, CRESUD's interest in IRSA increased to 64.20%.
(In thousands of Argentine Pesos)
Nine-month period FY 2012
Ended March 31, 2012
Total Production Revenues
Total Agribusiness Revenues
Total Real Estate Sales
Real Estate Results
Net Income (loss)
Non Current Assets
Non Current Liabilities
Cresud is a leading Argentine agricultural company with a growing presence in the Brazilian agricultural sector through its investment in BrasilAgro-Companhia Brasileira de Propriedades Agricola. Cresud is currently involved in a range of activities including crop production, cattle raising and milk production. Cresud's business model, which is being rolled out regionally in Latin America, taking into account the specific conditions of each country, focuses on the acquisition, development and exploitation of properties having attractive prospects for agricultural production and/or value appreciation and the selective disposition of such properties where appreciation has been realized.
Additionally, Cresud owns a 64,20% stake in IRSA Inversiones y Representaciones S.A., Argentina's largest, most well-diversified real estate company. Through its subsidiaries, IRSA manages an expanding top portfolio of shopping centers and office buildings, primarily in Buenos Aires. The company also develops residential subdivisions and apartments (specializing in high-rises and loft-style conversions) and owns three luxury hotels.
A longer version of this press release with detailed information is available on the web site: http://www.cresud.com.ar.
Cresud cordially invites you to participate in its nine-month period of Fiscal Year 2012 Results Conference Call on Friday, May 18, 2012, at 15:00 Eastern Time
If you would like to participate, please call:
United States: (888) 841-3494
International: +1-(706) 758-3350
To access the webcast, click on the link below:
SOURCE Cresud S.A.C.I.F. y A.