Sao Martinho S.a. · BMFBOVESPA:SMTO3
Sao Martinho — 2Q19 Earnings Presentation
10 slides from Sao Martinho's earnings presentation, November 2018
Slide 1: Earnings Release Conference Call
Earnings Release Conference Call 2nd Quarter Harvest 2018/2019
Slide 2: Disclaimer
Disclaimer • This presentation contains forward-looking statements relating to the business outlook, operating and financial projections, and the growth prospects of São Martinho S.A. These statements merely represent projections and as such are based exclusively on management’s expectations about t
Slide 3: Agenda
Agenda 1. Operational Highlights 4. Indebtedness 2. Financial Highlights 5. Hedge Position 3. Inventories 6. Sugar and Ethanol Scenario 33
Slide 4: Operational Highlights
Operational Highlights OPERATIONAL DATA 6M19 6M18 Chg.(%) Crushed Sugarcane (‘000 tons) 18,429 18,672 -1.3% Own 12,153 12,158 0.0% Third Parties 6,276 6,514 -3.6% Mechanized Harvest 99.9% 99.8% 0.07 p.p. Agricultural Yield (ton/ha) 75.3 82.3 -8.5% Average TRS (kg/ton) 142.1 137.9 3.1% Production Sug
Slide 5: Financial Highlights
Financial Highlights Table 1 Executive Summary 2Q19 2Q18 Chg. (%) 6M19 6M18 Chg. (%) R$ ‘000 Net Revenue¹ 643,427 736,302 -12.6% 1,414,593 1,604,158 -11.8% Adjusted EBITDA 316,238 390,843 -19.1% 717,628 866,183 -17.2% Adjusted EBITDA Margin 49.1% 53.1% -3.9 p.p. 50.7% 54.0% -3.3 p.p. Adjusted EBIT 1
Slide 6: Inventories
Inventories INVENTORIES 2Q19 2Q18 Chg. (%) 61% of the available volume Sugar (tons) 514,448 565,886 -9.1% for sale in the 2nd semester Ethanol (m3) 610,635 453,070 34.8% 66% of the available volume for sale in the 2nd semester 66
Slide 7: Indebtedness
Indebtedness Table 1 Debt Profile Currency - Net Graph 2 Graph 3 Sep/18 Mar/18 Chg.% R$ '000 Capital Market Financial Gross Debt 4,433,692 3,975,153 11.5% Institutions 32% Cash and Cash Equiv alents 1,343,136 1,512,385 -11.2% 31% Net Debt 3,090,556 2,462,768 25.5% USD Net Debt / LTM EBI TDA - R$ 1.7
Slide 8: Hedge Position
Hedge Position Volume Average Price Average Price1 Own Cane SUGAR Hedged (ton) (US$ c/p) (R$/ton) Hedged Crop Year 2018/2019 515,087 13.85 1,116 97% Crop Year 2019/2020 299,990 13.17 1,186 44% 1 - Considering the hedged volume in sugar and MTM of dollar volume to be hedged 88
Slide 9: Sugar and Ethanol Scenario
Sugar and Ethanol Scenario Global Supply/Demand for Sugar Ethanol Consumption Million tons +7% Graph 1 Graph 3 1,892 1,899 1,873 1,886 1,825 1,835 10.4 1,757 1,720 1,716 7.5 1,628 1,632 1,557 1,579 1,572 1,520 1,512 1,524 1,473 3.8 3.7 1,424 1,371 2.8 2.5 2.5 2.6 2.2 2.2 2.3 2.3 2.2 2.1 2.2 2.0 2.0
Slide 10: Contacts - Investor Relations
Contacts - Investor Relations +55 11 2105-4100 ri@saomartinho.com.br www.saomartinho.com.br/ir