BrasilAgro - Companhia Brasileira de Propriedades Agrícolas
Key statistics
from XBRL data in SEC filingsAI briefing
from the latest 10-K, 10-Q and 8-K eventsBrasilAgro is a Brazilian agricultural real estate company that acquires, develops, and sells farmland and produces crops such as grains and sugarcane.
What they do
BrasilAgro operates in two main segments: agricultural production and real estate. It acquires undeveloped land, develops it for farming, and sells it at a profit. The company also produces grains (soybeans, corn) and sugarcane on its properties. Its fiscal year ends June 30.
Revenue drivers
- Agricultural production — Revenue from the sale of grains (soybeans, corn) and sugarcane. This segment generates cash flow from farming operations on owned and leased land.
- Real estate development and sales — Revenue from selling developed farmland. The company buys land, improves it, and sells at a higher value, often to farmers or investors.
Recent performance
Net income was $177.1 million in fiscal 2019, $119.6 million in 2020, and $317.6 million in 2021. These figures reflect the company's performance in Brazilian real terms, converted to U.S. dollars. No figures for fiscal 2022 through 2025 were provided in the excerpt.
Strategy
The company focuses on acquiring undervalued land, developing it for agricultural use, and selling it for capital gains. It also operates farming activities to generate ongoing cash flow. BrasilAgro may continue to expand its land portfolio and improve productivity.
Risks
- Currency fluctuation — As a Brazilian company, its financial results are reported in reais and are affected by exchange rate movements, which can impact U.S. dollar returns for ADS holders.
- Commodity price volatility — Revenue from agricultural production depends on global prices for grains and sugarcane, which can fluctuate significantly.
- Weather and climate — Crop yields are affected by weather conditions, including droughts and floods, which can impact production and revenue.
- Brazilian regulatory and political risk — Changes in Brazilian government policies, including land ownership and agricultural regulations, could affect operations.
Outlook
The excerpt does not provide specific forward-looking guidance. BrasilAgro's performance will depend on agricultural commodity prices, land values, and its ability to execute its land development and sales strategy.