Brasilagro Companhia Brasileira de Propriedades Agricolas
NYSE:LND
Brasilagro Companhia Brasileira de Propriedades Agricolas
BrasilAgro Cia Brasileira de Propriedades Agricolas focuses on the acquisition, development and exploration of agricultural properties. The company is headquartered in Sao Paulo, Sao Paulo. The company went IPO on 2006-05-02. The firm's activities are divided into six business segments: Real Estate, Grains, Sugarcane, Cattle Rising, Cotton and Other. The Real Estate division focuses on the purchase, sale and leasing of properties, land and buildings in rural and urban areas. The Grains segment is engaged in the production and sale of soybean and corn. The Sugarcane division offers raw sugarcane sale. The Cattle Rising segment breeds and distributes beef calves after weaning. The cotton division specializes in the production and sale of cotton lint and seed. The Other division includes services related to agricultural activity. The firm operates a number of farms in Brazil. The company controls Jaborandi Agricola Ltda, Imobiliaria Araucaria Ltda and Imobiliaria Cremaq Ltda, among others.
BrasilAgro Cia Brasileira de Propriedades Agricolas focuses on the acquisition, development and exploration of agricultural properties. The company is headquartered in Sao Paulo, Sao Paulo. The company went IPO on 2006-05-02. The firm's activities are divided into six business segments: Real Estate, Grains, Sugarcane, Cattle Rising, Cotton and Other. The Real Estate division focuses on the purchase, sale and leasing of properties, land and buildings in rural and urban areas. The Grains segment is engaged in the production and sale of soybean and corn. The Sugarcane division offers raw sugarcane sale. The Cattle Rising segment breeds and distributes beef calves after weaning. The cotton division specializes in the production and sale of cotton lint and seed. The Other division includes services related to agricultural activity. The firm operates a number of farms in Brazil. The company controls Jaborandi Agricola Ltda, Imobiliaria Araucaria Ltda and Imobiliaria Cremaq Ltda, among others.
Weak Semester: BrasilAgro reported a challenging first half, with revenue of BRL 470 million and a net loss of BRL 61.8 million, mainly due to poor sugarcane performance.
Sugarcane Headwinds: Sugarcane productivity was hit by frost, fire, and aging plantations, resulting in a sharp drop in output and profitability.
Cost Management: The company achieved 7–8% savings on key agricultural inputs by locking in lower prices and prepaying for defensives and fertilizers.
Commodity Markets: Soy and corn saw better-than-expected crop conditions, but price pressures remain due to oversupply and volatile markets.
Portfolio Adjustments: Cotton planting was significantly reduced and concentrated in irrigated, higher-yield areas to reduce risk and improve returns.
Debt Position: Debt remained stable at BRL 886 million, with a low cost of capital and a large receivables balance providing financial flexibility.
Market Outlook: Management expects sugarcane recovery in the next cycle, but is cautious on near-term prices. Expansion of planted areas is slowing amid high costs and tighter margins.
