AGRO Earnings Prediction
The chart below shows how AGRO performed 10 days before and after its earnings report, based on data from the past quarters. Typically, AGRO sees a -3.86% change in stock price 10 days leading up to the earnings, and a +1.13% change 10 days following the report. On the earnings day itself, the stock moves by +0.30%. This data can give you a slight idea of what to expect for the next quarter's release.
AGRO Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
374.22M
41.78%
-20.63%
Gross Margin
20.39%
-10.96%
-12.97%
Operating Margin
9.06%
-29.16%
2.14%
Net Margin
4.32%
-86.13%
8.82%
EPS
0.16
-79.22%
-15.79%
No Data Available
AGRO Earnings Analysis
Adecoagro SA Corporation (AGRO.N) Earnings Conference Call
Positive
Strong EBITDA Performance: Consolidated adjusted EBITDA reached $103 million in Q4 and $444 million for the full year, indicating strong financial performance.
Record Results in Agriculture: Record results in rice and dairy operations due to investments in production and efficiency.
Market Expansion Strategy: Vertical integration allowed the company to cater to both export and domestic markets, benefiting from higher selling prices.
Rice Harvest Productivity Improvement: Over 50% of the rice planted area has been harvested with yields above the previous year, indicating improved productivity.
Record Sugar Production: Achieved a new crushing record in the sugar, ethanol, and energy business, with a total sugar production of 832,000 tons, marking a new record.
Dividend and Buyback Distribution: Distributed $102 million in dividends and share buybacks, exceeding the distribution policy by $32 million without compromising debt commitments.
Strong Cash Generation: Generated $161 million in net cash from operations, showcasing strong cash generation despite challenges.
Cost Reduction in Production: Total cash costs for sugar and ethanol production decreased by 8% year-over-year, reflecting improved efficiencies and cost management.
Dairy Segment EBITDA Record: Adjusted EBITDA for the dairy segment reached a record $34 million for the year, driven by higher sales and improved product mix.
Expansion Investment Strategy: Invested $104 million in expansion projects, focusing on increasing sugarcane plantation size and enhancing rice production capabilities.
Negative
Mixed Operational Performance: Despite achieving record results in rice and dairy operations, the overall performance was negatively impacted by a year-over-year loss in the mark-to-market of biological assets in the sugar, ethanol, and energy business.
Fourth Quarter Sales Decline: Net sales during the fourth quarter decreased by 22% year-over-year, indicating a significant drop in revenue despite an annual total that remained in line with the previous year.
Profitability Challenges in Sugar Segment: The sugar and ethanol segment faced challenges with lower international prices for their main products, which negatively affected profitability.
Farming Business Challenges: Adjusted EBITDA for the farming business was only $4 million during the quarter, with the crops segment reporting a negative $3 million, highlighting ongoing struggles in this area.
Margin Pressure and Profitability: The company experienced higher costs in U.S. dollar terms, which further pressured margins and profitability across various segments.
Acquisition Proposal Uncertainties: The proposal from Tether Investments to acquire a majority stake raised uncertainties regarding the company's future direction and shareholder interests, which could impact investor confidence.
AGRO FAQs
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AGRO Earning Call Sentiment
Adecoagro S.A. (NYSE:AGRO) Q4 2024 Earnings Call Transcript
AGRO.N
0.09%Positive
The earnings call highlights strong financial performance with record results in rice and dairy, increased revenue, and efficient cash generation. Despite challenges in crop operations, the company maintains a positive outlook on sugar production and ethanol demand. The Q&A reveals optimism about sugar's S&D scenario and benefits from trade changes. Although management avoided discussing the Tether offer, overall sentiment is positive due to increased shareholder returns and strategic expansions. With a market cap of $1 billion, the stock is likely to react positively, within a 2% to 8% range.
