Sao Martinho S.a. · BMFBOVESPA:SMTO3

Sao Martinho — 2Q18 Earnings Presentation

11 slides from Sao Martinho's earnings presentation

  1. Slide 1: Earnings Release Conference Call 2Q18 17/18 Harvest

    Earnings Release Conference Call 2Q18 17/18 Harvest

  2. 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

  3. Slide 3: Agenda

    AGENDA 1. Operational Highlights 5. Cash COGS 2. New Guidance 6. Indebtedness 3. Financial Highlights 7. Hedge 4. Inventories

  4. Slide 4: Operational Highlights

    Operational Highlights Table 1 OPERATING DATA 6M17 6M18 YoY (%) São Martinho - Consolidated Crushing ('000 tons) 16,532 18,672 12.9% Own 10,842 12,158 12.1% Third Parties 5,690 6,514 14.5% Production Sugar ('000 tons) 1,093 1,214 11.1% Anhydrous ('000 m3) 323 375 16.2% Hydrous ('000 m3) 253 387 53.1

  5. Slide 5: New Guidance

    New Guidance % ut. Os New Inicial Guidance New Guidance Production Chg. (%) Guidance 17/18 Crop Year 17/18 Crop Year Capacity Capacity Crushing ('000 tons) 22,300 22,194 -0.5% 24,000 92.5% Suagr ('000 tons) 1,400 1,407 0.5% Anhydrous ('000 m³) 450 481 6.8% Hydrous ('000 m³) 430 466 8.3% Cogeneration

  6. Slide 6: Financial Highlights

    Financial Highlights Table 1 Graph 1 SUGAR Graph 2 ETHANOL R$ ‘000 +6.1% -9.9% Highlights 2Q17 2Q18 Chg. (%) 1,633.3 1,253.2 Net Revenue 779,327 736,302 -36.5% Adjusted EBITDA 368,704 390,843 6.0% 1,180.8 Adjusted EBITDA Margin 47.3% 53.1% 5.8 p.p. -12.5% 1,471.3 327.5 Adjusted EBIT 192,422 206,193

  7. Slide 7: Inventories

    Inventories Inventories 2Q17 2Q18 Chg. (%) Sugar (tons) 465,416 565,886 21.6% Hydrous (m³) 106,947 227,052 112.3% Anhydrous (m³) 168,119 226,018 34.4% Sugar (‘000 ton) Ethanol (‘000 m³) 182 156 566 453 748 53% of total Production 609 64% of total Production 2Q18 Remaining Total to 2Q18 Remaining Tot

  8. Slide 8: Cash COGS

    Cash COGS Sugar (R$/ton) Ethanol (R$/m³) -12.0% -15.7% 812 714 494  Better efficiency on agricultural 416 operation – due to TRS increase; 2Q17 2Q18 2Q17 2Q18  Consecana reduction;  The improvement on cost should Sugar (R$/ton) Ethanol (R$/m³) continue on the next quarters. -6.2% -6.1% 813 763 49

  9. Slide 9: Indebtedness

    Indebtedness Table 1 Graph 1 Graph 2 INDEBTEDNESS Mar/17 Sep/17 Chg%. CURRENCY - GROSS CURRENCY - NET R$ '000 Indebtedness in foreign exchange 1,217,557 1,021,892 -16.1% USD BNDES 842,630 772,678 -8.3% USD 24% 26% Working Capital and Others 1,371,682 1,554,996 13.4% Agribusiness Certificate of Recei

  10. Slide 10: Hedge

    Hedge Table 1 Volume Avg. Price Avg. Price Hedged (US$ c/p) (R$ /ton) ('000 tons) Sugar Oct/17 (V17) 264,680 16.14 Mar/18 (H18) 211,491 18.13  Our sugar prices hedged represents, approximately 70% Crop year 2017/2018 476,171 17.02 1,280.0 of own cane for 2017/2018 Jul/18 (N18) 42,166 15.87 crop yea

  11. Slide 11: Contacts - IR

    Contacts - IR Felipe Vicchiato CFO e IRO Aline Reigada IR Manager Letícia Montagnani IR Senior Analyst Telephone: +55 11 2105-4100 E-mail: ri@saomartinho.com.br Website: www.saomartinho.com.br/ir 11

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