Slide 1: Investor Presentation IIIQ 2024
INVESTOR PRESENTATION IIIQ 2024
Slide 2: Summary
INVESTOR PRESENTATION SUMMARY About Agribusiness Commodities Financial CRESUD Strategy Outlook & Performance LATAM strengths Agricultural Farming Farmland ESG Commercial Activity Real Estate Commitment Services
Slide 3: About Cresud
ABOUT CRESUD • LEADING AGRICULTURAL COMPANY 100% Farms in Managing an approximately 800k ha portfolio in Argentina, and in Brazil, Argentina Paraguay & Bolivia through our subsidiary Brasilagro. • DIVERSIFIED PORTFOLIO 35.3% Exposure to farmland in Argentina, Brazil, Paraguay and Bolivia mitigates F
Slide 4: Leading agribusiness in the region since 1994
LEADING AGRIBUSINESS IN THE REGION SINCE 1994 HISTORICAL MILESTONES Current Expansion management to Brazil BrasilAgro foundation takes control listed on NYSE IPO USD 276 MM 1960 1994 1997 2008/9 2020/21 1936 2006 2012 2023 Expansion Transference Listed on Listed on to Bolivia & of Bolivia & BYMA NAD
Slide 5: Current regional agribusiness portfolio
CURRENT REGIONAL AGRIBUSINESS PORTFOLIO THROUGH CRESUD, BRASILAGRO & SUBSIDIARIES CREciendo en SUDamérica Growing in South América ✓ 866,000 HA UNDER MANAGEMENT 71% OWNED, 14% LEASED & 15% LT CONCESSION ✓ 27 FARMS ACROSS THE REGION ✓ 420,000 PRODUCTIVE HA 60% CROP & 40% CATTLE BrasilAgro farms CRESU
Slide 6: Farmland portfolio evolution
FARMLAND PORTFOLIO EVOLUTION EXPANDING OUR AGRIBUSINESS MODEL FROM ARGENTINA TO THE REGION GROWTH IN ARGENTINA REGIONAL EXPANSION DEVELOPMENT & SALE PHASE CONSOLIDATING THE MODEL 880 866 Th. Ha LT Concessions 132 15% Leased 121 14% 564 477 325 Owned 613 71% 20 1994 1995 1998 2006 2010 IIIQ 24 6 6
Slide 7: Investment in Brasilagro
INVESTMENT IN BRASILAGRO CRESUD STAKE: 35.3% CONSOLIDATING OUR VEHICLE FOR REGIONAL EXPANSION IN BRAZIL CRESUD’S INVESTMENT IN BRASILAGRO FARMLAND ACQUISITIONS AND SALES 43,3% 43,3% 43,3% After warrants exercise 321 321 39.4% 39,8% 39,4% Acum. Acquired Ha 300 310 37,9% 33,6% 35,4% Acum. Sold Ha 249
Slide 8: Investment in IRSA
INVESTMENT IN IRSA (IRSA:BYMA & IRS:NYSE) 30 YEARS DEVELOPING, ACQUIRING & OPERATING REAL ESTATE IN ARGENTINA CRESUD’S INVESTMENT IN IRSA ✓ ~480 K RENTAL SQM ACROSS ARGENTINA 63.4% 57.5% 56.8% 56.9% ✓ 15 SHOPPING MALLS 49.9% 54.7% 67% MARKET SHARE IN BA CITY After merge with IRCP After IRSA shares d
Slide 9: Agribusiness strategy
AGRIBUSINESS STRATEGY 1 FARMING ACTIVITY PRODUCING FOOD FOR A GROWING POPULATION 2 AGRICULTURAL COMMERCIAL SERVICES COMPLEMENTING TRADITIONAL FARMING WITH SERVICES, TRADING AND AGTECH 3 FARMLAND REAL ESTATE ADDING VALUE TO THE LAND & ROTATING THE PORTFOLIO 4 ESG COMMITMENT SUSTAINABILITY IN OUR OPER
Slide 10: Farming activity
1 FARMING ACTIVITY PRODUCING FOOD FOR A GROWING WORLD POPULATION WHAT WHERE HOW Grains, In owned and With sustainable sugarcane, meat leased farms in practices & state & wool South America of the art technology Feeding more than 4 million people per year 10
Slide 11: Regional planted area evolution
1 FARMING ACTIVITY REGIONAL PLANTED AREA EVOLUTION PLANTED SURFACE (Th. Has) 283 279 283 BREAKDOWN BY CROP 278 278 Leased to 262 14 24 24 28 21 3rd parties Others 14 12 11 Bolivia 18% Wheat 226 12 7 Paraguay 220 220 217 3% 213 208 Sugarcane 47% Soybean 10% 197 181 Corn 22% 109 120 Brazil 142 141 BRE
Slide 12: Regional crop production track record
1 FARMING ACTIVITY REGIONAL CROP PRODUCTION TRACK RECORD SUGARCANE PRODUCTION (Th. Tn) GRAIN PRODUCTION (Th. Tn) 828 844 2.411 813 2.150 2.215 2.123 798 2.039 2.076 774 1.814 1.901 147 182 141 Bolivia 764 1.157 1.229 928 658 1976 1857 1935 Brazil 576 612 596 589 359 568 328 Region 362 536 2012 2013
Slide 13: Improving yields through technology
1 FARMING ACTIVITY IMPROVING YIELDS THROUGH THE USE OF TECHNOLOGY SOYBEAN YIELDS CORN YIELDS (tn/ha) (tn/ha) 4,00 Argentina Brazil Avg. 8,00 Argentina Brazil Avg. 3,50 7,00 6,65 3,08 6,38 2,89 2,85 2,92 6,23 3,00 6,10 2,78 2,66 2,66 2,60 6,00 5,64 5,74 5,73 5,74 5,74 2,50 2,19 2,21 4,85 5,00 4,63 1,
Slide 14: Cattle: complete cycle including feedlot
1 FARMING ACTIVITY CATTLE: COMPLETE CYCLE INCLUDING FEEDLOT CATTLE (Th. Heads) 153,1 134,7 116,5 106,6 99,0 94,0 90,3 91,0 82,6 83,7 83,6 86,0 85,4 86,6 82,2 83,0 80,2 75,0 74,0 76,0 71,2 70,6 70,0 71,3 64,0 61,3 61,5 63,1 46,2 34,0 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 20
Slide 15: State of the art technology applied to production
1 FARMING ACTIVITY STATE OF THE ART TECHNOLOGY APPLIED TO OUR PRODUCTION SUSTAINABLE PRODUCTION USE OF TECHNOLOGY NO-TILL FARMING Artificial Intelligence Platform for agricultural management • Soil conservation & carbon retention EXTENSIVE & HIGH WELFARE LIVESTOCK • Efficient use of inputs (mainly f
Slide 16: Agricultural commercial services
2 AGRICULTURAL COMMERCIAL SERVICES CRESUD COMPLEMENTING TRADITIONAL FARMING WITH SERVICES, TRADING AND AGTECH STAKE: 51.2% 1999 fyo.com Start up. TRADED TONS EVOLUTION Partnership & MARKET SHARE 2000 with Cresud. (MM TONS & %) 7,20 6,44 6,65 8,24% 2003 Barter and Supplies. 5,76 5,48 5,10 6,43% We o
Slide 17: Farmland real estate
3 FARMLAND REAL ESTATE DUE DILIGENCE OF MORE THAN 10 MM HECTARES ACROSS THE WORLD 17 17
Slide 18: Farmland acquisition and sale in Argentina
3 FARMLAND REAL ESTATE ACQUISITION, LAND APPRECIATION AND SALE IN ARGENTINA 8.9 18.0 ARGENTINA Farmland prices 6.7 29.0 Farmland Sales USD/ha 1.5 farms per year 6.0 14,300 IRR (USD): 16% 8.6 4.5 6.1 4.8 25.0 1.3 7.3 5.7 5.0 10.6 1.0 6.8 25.2 30.0 2,254 2.5 30.0 Corn Belt Land Value in 9.0 4.1 USD/Ha
Slide 19: Farmland acquisition and sale in Brazil, Paraguay & Bolivia
3 FARMLAND REAL ESTATE ACQUISITION, LAND APPRECIATION AND SALE IN BRAZIL, PARAGUAY & BOLIVIA 13.7 120 22.848 52.8 Farmland Sales 51.9 IRR (BRL): 22% 17.5 13.7 38.3 24.7 89.0 27.1 12.4 14.332 67.2 17.5 18.8 Corn Belt Land Value in USD/Ha 31.3 111.1 21.5 4.6 Land Acquisitions USD MM 51.4 2.066 23.9 Sa
Slide 20: Adding value to the land and rotating portfolio
3 FARMLAND REAL ESTATE ADDING VALUE TO THE LAND & ROTATING OPTIMIZED PORTFOLIO 133,8 2.4x 17k PROFIT 121,9 Sold farms Sold ha per year per year BOOK VALUE 72 3.0% 61,7 67,2 103 Sold portfolio 51,9 per year 46,5 28 34,1 60 26,1 62 40 20,6 21,3 39 18,8 21,0 20 14 34 13 15 17 15 6,1 4,7 19 12 6 0 14 12
Slide 21: ESG commitment: main goals
4 ESG COMMITMENT MAIN GOALS ENVIRONMENTAL SOCIAL GOVERNANCE • Sustainable production • Promotion of development • To continue with the and improvement of the development of the • Biodiversity and quality of life of our Corporate Governance environment protection communities model • Promotion of gend
Slide 22: Sustainable and digital agriculture
4 ESG COMMITMENT SUSTAINABLE & DIGITAL AGRICULTURE: TECHNOLOGY APPLIED TO OUR PRODUCTION No-till farming & Precision planting, agriculture by Irrigation equipment: Cover cropping environments & intelligent Drip & sprinkler agrochemicals application systems (WEEDSEEKER) Drones for digital harvest Com
Slide 23: Environmental certifications
4 ESG COMMITMENT ENVIRONMENTAL CERTIFICATIONS ON FARMS, CROPS & PRODUCTS 40% OF SOYBEAN AGRORIEGO FARM EL TIGRE FARM LA PAMPA - ARGENTINA PRODUCTION SAN LUIS – ARGENTINA CRESUD ARGENTINA (2012 – 2022) WOOL COTTON 8 DE JULIO SANTA CRUZ ARGENTINA 23
Slide 24: Farmland natural reserves
4 ESG COMMITMENT FARMLAND NATURAL RESERVES PROTECTING BIODIVERSITY & ENVIRONMENT BREAKDOWN BY USE OF THE LAND 409k ha 458k ha Productive Land Surface 47% 53% Reserves Natural Reserves in Argentina 4,700 ha private natural reserve in Los Pozos farm (Salta) 2,000 ha reserve for penguins and native fau
Slide 25: Social contribution to communities
4 ESG COMMITMENT SOCIAL CONTRIBUTION TO OUR COMMUNITIES FOCUS ON INFRAESTRUCTURE, EDUCATION & HEALTH We are part of the communities where our farms are located Social Group Relationship Community 96.6 Investment +90 with NGOs 17 Actions • We have built 1 school in “Los Pozos” farm, and we ARS MILLIO
Slide 26: Our federal and diverse team
4 ESG COMMITMENT OUR FEDERAL & DIVERSE TEAM PROMOTING INCLUSION & EQUALITY IN AGRICULTURE 133 31 21% up to 30 years GENDER INICIATIVES 81% 11 5 355 Men 22 5 employees 65% from 31 to 50 years across Argentina 19% 19 121 Women 14% more than 50 years 8 26
Slide 27: Corporate governance
4 ESG COMMITMENT CORPORATE GOVERNANCE THE ONLY AGRICULTURAL COMPANY LISTED BOTH ON NASDAQ & BYMA ✓ LISTED COMPANY IN BA & NYC ✓ INDEPENDENT AUDIT COMMITTEE (BYMA 1960 ; NASDAQ 1997) ✓ FLOAT: 63.0% ✓ ETHICS CODE & COMMITTEE ✓ INDEPENDENT WHISTLEBLOWER ✓ ONE CLASS OF COMMON SHARES HOTLINE ✓ ACTIVE IR
Slide 28: Commodities outlook & LATAM strengths
COMMODITIES OUTLOOK & LATAM STRENGTHS
Slide 29: Commodities outlook: CBOT prices
COMMODITIES OUTLOOK CBOT PRICES EVOLUTION (USD/TN) SOYBEAN CORN 350 700 South America Chinese demand Chinese demand South America Financial funds weather 649,93 326,87 321,16 642,22 weather Financial funds 599,05 300 600 296,75 500 Long funds 521,52 250 Biofuels - Active China - Speculative funds 21
Slide 30: USA & world stock/consumption ratio
COMMODITIES OUTLOOK USA & WORLD STOCK/CONSUMPTION RATIO SOYBEAN CORN 35% 35% 31,1% 30% 30% 25,9% 25% 25% 22,3% 20% 20% 15,3% 15% 15% 12,8% 10% 8,8% 10% 5,8% 5% 5% 0% 0% 93/94 95/96 97/98 99/00 01/02 03/04 05/06 07/08 09/10 11/12 13/14 15/16 17/18 19/20 21/22 93/94 95/96 97/98 99/00 01/02 03/04 05/06
Slide 31: Farmland prices historical evolution
FARMLAND PRICES HISTORICAL EVOLUTION REGION AND USA – USD/ha 28.173 Argentina - BA Corn Belt Brazil - Mato Grosso USA - Iowa 21.909 14.500 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 Sources: Argentina (Agricu
Slide 32: Regional agribusiness strengths: water resources
REGIONAL AGRIBUSINESS STRENGTHS SOUTH AMERICA EXCESS OF WATER RESOURCES PER CAPITA PER CAPITA RENEWABLE FRESHWATER RESOURCES FRESWATER STRESS LEVELS (m3) WATER WITHDRAWALS AS A SHARE OF INTERNAL RESOURCES South America 30,428 Oceania 29,225 Eastern Europe 21,383 North America 12,537 Central America
Slide 33: LATAM growing importance as food supplier
REGIONAL AGRIBUSINESS STRENGTHS LATAM GROWING IMPORTANCE AS A WORLD FOOD SUPPLIER CROPS NET TRADE BY REGION IN CONSTANT VALUE 2008-2010 2018-2020 2030 100 75 80 70 55 45 36 15 -20 -22 -18 -25 -35 -40 -45 -60 -85 -100 Europe & North America LATAM Asia Pacific Middle East & Sub-saharan Central Asia No
Slide 34: Argentina & Brazil strengths
ARGENTINA & BRAZIL STRENGTHS IMPORTANCE OF AGRICULTURE IN THEIR ECONOMIES BRAZIL 27% 20% 52% GDP Jobs USD from exports #1 #1 Soybean Soybean flour global exports global exports ARGENTINA #2 17% 20% 50% Corn global exports GDP Jobs USD from exports #1 #2 Soybean oil Soybean flour global exports globa
Slide 35: Argentine case
ARGENTINE CASE REGIONAL HIGHEST PRODUCTIVITY OFFSET BY GOVERNMENTAL REGULATIONS BEST QUALITY OF LAND CROPS TAX EXPORTS 33% SOYBEAN 12% CORN & WHEAT SUSTAINABLE CROP PRODUCTION No-till farming Precision planting Cover cropping FX SPREAD ~100% SPREAD BETWEEN OFFICIAL FX & BLUE-CHIP SWAP LOWER COSTS &
Slide 36: Argentina & Brazil soybean margins
ARGENTINA & BRAZIL SOYBEAN MARGINS ARGENTINA 30% BELOW BRAZIL DESPITE BETTER SOIL CONDITIONS Argentina Brazil FOB PARANAGUÁ 623 (USD/Tn) Farm price 306 572 (USD/Tn) Yields 3.8 3.8 (Tn/ha) Net Revenues 1,162 2,094 (USD/ha) Total costs 425 955 (USD/ha) Gross margin 736 1,139 Sources: Argentina: Márgen
Slide 37: Financial performance
FINANCIAL PERFORMANCE
Slide 38: Agribusiness adjusted EBITDA evolution
AGRIBUSINESS ADJUSTED EBITDA EVOLUTION BY AGRIBUSINESS SEGMENT – USD MM 191 FARMING 18 139 123 FARMLAND SALES 93 105 11 59 SERVICES 75 9 11 25 30 23 36 57 45 115 9 48 69 97 43 10 31 -1 -1 FY 17 FY 18 FY 19 FY 20 FY 21 FY 22 FY 23 31% 45% 50% 58% 5% 11% AVG. 2017-2019 38 AVG. 2020-2023 38
Slide 39: Consolidated adjusted EBITDA evolution
CONSOLIDATED ADJUSTED EBITDA EVOLUTION BY SEGMENT – USD MM REAL ESTATE (IRSA) 391 AGRIBUSINESS 237 277 265 224 200 191 174 75 139 123 93 105 165 162 200 131 95 138 142 FY 17 FY 18 FY 19 FY 20 FY 21 FY 22 FY 23 72% 28% 49% 51% AVG. 2017-2019 AVG. 2020-2022 39
Slide 40: Dividends received from subsidiaries
DIVIDENDS RECEIVED FROM SUBSIDIARIES BY AGRIBUSINESS SEGMENT – USD CCL MM ~93,4 ~74,1 27,0 may-24 28,2 may-23 7,8 39,4 nov-22 oct-23 2,5 2,5 35,6 24,5 FY 23 FY 24E
Slide 41: Net debt evolution and amortization schedule
DIVIDENDS DISTRIBUTION MARCH 31, 2024 – USD MM NET DEBT EVOLUTION AMORTIZATION SCHEDULE -28% GROSS DEBT 317.6 421 396 383 125.6 118.3 Series 23.2 XLIII (Jan-24) 303 63.0 Series XLV 10.2 (Apr-24) 20.9 39.8 Series XLIV (Jan-24) FY 24 FY 25 FY 26 FY 27 Last Issuances (Jan & Apr-24) – USD 74.4 MM Series
Slide 42: Cresud stand alone debt profile
CRESUD STAND ALONE DEBT PROFILE MAY 2024 IN USD CCL MILLION Cash dividend ~65.7 Amount ARS 30,000 MM 27.0 Per ordinary (may-24) ARS 50.5482 share 30.8 Per GDS ARS 505.4821 25.0 20.8 (oct-23) (may-23) Dividend yield ~4.5% 13.7 10.0 in IRSA shares (nov-22) (oct-23) Payment Date Since May 14th FY 23 FY
Slide 43: Market capitalization & CRESY price
MARKET CAPITALIZATION & CRESY PRICE USD MM & USD 16,63 13,62 12,67 11,84 11,99 10,95 11,05 10,52 10,18 983 9,35 8,93 7,51 815 7,36 744 743 6,01 6,23 709 5,57 655 643 625 609 4,70 526 389 473 2,71 437 360 373 300 297 152 FY 08 FY 09 FY 10 FY 11 FY 12 FY 13 FY 14 FY 15 FY 16 FY 17 FY 18 FY 19 FY 20 FY
Slide 44: Group capital markets track record
GROUP CAPITAL MARKETS TRACK RECORD NUMBER OF CAPITAL AMOUNT ISSUED GROUP LISTED VEHICLES NON-DEFAULT HISTORY MARKETS TRANSACTIONS +200 +USD 18bn 5 New York, Buenos Aires, & Sao Paulo Even in the worst Argentinean crisis (2001) & COVID-19 IRSA IPO APSA IPO (renamed IRCP) CRESUD LIABILITY LOCAL MARKET
Slide 45: Contact us
CONTACT US Della Paolera 261 9th floor (333) 4323-7449 ir@cresud.com.ar www.cresud.com.ar @cresudir 45