Adecoagro Recorded Adjusted EBITDA of $95.1 Million in 2010

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Apr 01, 2011, 03:35 ET

LUXEMBOURG, April 1, 2011 /PRNewswire/ -- Adecoagro S.A. (NYSE: AGRO, Bloomberg: AGRO US, Reuters: AGRO.K), one of the leading agricultural companies in South America, announced today its results for the fourth quarter and twelve month period ended December 31, 2010.

Adecoagro recorded Adjusted EBITDA of $54.1 million in 4Q10, driving Adjusted EBITDA for the 2010 fiscal year to $95.1 million, representing a $92.6 million increase compared to 2009.
Gross Sales in 2010 reached $426.3 million, 35.9% higher than 2009.
Sugar, Ethanol and Energy business Adjusted EBITDA increased $78.6 million, from $(26.9) million in 2009 to $51.7 million in 2010.
Farming and Land Transformation businesses Adjusted EBITDA grew 27.2% in 2010 compared to 2009, from $51.7 million in 2009 to $65.7 million in 2010.
Net loss in 2010 totaled $44.8 million, mainly impacted by the recognition of a non-cash loss (unrealized changes in fair value of long term biological assets) of $96.8 million. The loss was generated by a decrease in the fair value of our sugarcane plantation primarily as a result of lower sugar price estimates used in our sugarcane valuation model.
Adecoagro began the 2010/11 harvest year and as of December 31st, 2010, successfully planted 156.3K hectares. Total planted area is forecasted to reach approximately 190.0K hectares, 3.6% above the previous harvest year. Rice planted area has increased by 50.8%, reaching a total of 27.4K hectares in the 2010/11 harvest year.
The Company continues executing its strategy of transforming and adding value to its farms.
Adecoagro continues implementing its growth strategy in the Sugar, Ethanol and Energy business. On November 26, 2010, the Ivinhema greenfield mill was granted the preliminary license by IMASUL ("Instituto de Meio Ambiente de Mato Grosso do Sul"), an important milestone to begin construction of the mill by mid 2011.
During 2010 we continued strengthening our environmental and social commitment. We continue supporting rural areas surrounding our operations, With our main focus set on education and nutrition.

To read the Earnings Release, access www.adecoagro.com.br/ir

Adecoagro

Adecoagro is a leading agricultural company in South America. Adecoagro owns over 283 thousand hectares of farmland and several industrial facilities spread across the most productive regions of Argentina, Brazil and Uruguay, where it produces a wide range of agricultural products including corn, wheat, soybeans, rice, dairy products, sugar, ethanol and electricity among others.

Investor Relations

Charlie Boero - CFO
Hernan Walker - IR Manager
Telephone: +54 11 4836-8651
Email: [email protected]

SOURCE Adecoagro S.A.