Sao Martinho's Sugar-Ethanol Profits Drop 50%

Posted by Michelle Howard
Tuesday, June 17, 2014

Net profit at Sao Martinho SA , one of Brazil's biggest sugar and ethanol groups, was 6.4 million reais ($2.9 million) in the quarter ended March 31, down 50 percent from the year-earlier period, the company said in a filing on Monday night.

The results for the final financial quarter of the company's 2013/14 cane crop season were hurt by the acquisition of Boa Vista milling assets formerly controlled by Biosev, a local sugar and ethanol unit of global commodities company Louis Dreyfus.

The company's debt to EBITDA ratio remained stable in the quarter at 2.02, roughly the same as a year earlier and in the previous quarter. Net revenue was up 3 percent from the year-before quarter at 320.3 million reais.

For the year, Sao Martinho posted a record net profit of 135 million reais, up 85 percent from the previous year. Brazil's main center-south cane region is coming off crushing a record 596 million tonne crop.

The performance of milling groups in the current season will likely be hurt by a drought early this year. The cane crush, which was forecast at 600 million to 620 million tonnes in December, is now more likely come in at 580 million to 570 million tonnes, according to market forecasts.

The company, whose shareholders include the state-run oil company Petrobras, crushed 15.6 million tonnes of cane in the past season, up 21 percent from the previous year.

Brazilian cane milling groups have been struggling over the past two to three years to generate consistent profits as margins for sugar and ethanol sales continue to be weak, largely due to global overproduction of sugar and price controls on automobile fuels in Brazil.

(Reporting by Reese Ewing; Editing by Peter Galloway)

Maritime Today


The Maritime Industry's original and most viewed E-News Service

Maritime Reporter April 2016 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Bulk Carrier Trends

Baltic Index Down on Lower Capesize, Panamax Rates

The Baltic Exchange's main sea freight index, tracking rates for ships carrying dry bulk commodities, slipped on Friday, as demand for capesize and panamax vessels fell.

Aging Seaborne Steel Products

In 2015, seaborne steel products trade accounted for around a fifth of minor bulk trade, having grown on average by 6 percent per annum since 2010, according to Clarksons Research.

Entrance to Port of Santos Reopens

The entrance to Brazil's largest  reopened on Thursday, after rough seas prevented ships from entering or leaving for more than 30 hours during peak soy export season.

Finance

MARAD: $5 Mln Available for Marine Highway Projects

The Maritime Administration (MARAD) has announced the availability of $5 million in Federal funding to expand marine highway service by creating new or expanding

Baltic Index Down on Lower Capesize, Panamax Rates

The Baltic Exchange's main sea freight index, tracking rates for ships carrying dry bulk commodities, slipped on Friday, as demand for capesize and panamax vessels fell.

Oil Rally is Not Just About Hedge Funds: Kemp

Oil prices are becoming dangerously overheated as speculators anticipate a rebalancing of supply and demand that has barely started, according to many oil analysts.

Energy

Russia Diesel Exports from Primorsk to Rise in May

Russia is set to export 1.256 million tonnes of ultra-low sulphur diesel from the Baltic Sea port of Primorsk in May, slightly up from 1.209 million tonnes in April, trading sources said on Friday.

Oil Rally is Not Just About Hedge Funds: Kemp

Oil prices are becoming dangerously overheated as speculators anticipate a rebalancing of supply and demand that has barely started, according to many oil analysts.

Pressure Steady on LNG Shipping Rates -Drewry

LNG shipowners will have to wait until 2018 for earnings to improve, when the majority of new US plants are expected to come online, according to the latest edition

News

Mercury Marine Expands Manufacturing Capacity

Mercury Marine is adding a 53,000 square foot manufacturing capacity expansion to its global headquarters in Fond du Lac, Wisc. The expansion will consist of 45,

Conquest Installs 850t Crane on Allseas Solitaire

Conquest Offshore was contracted by Allseas to remove a 300-ton crane and transport and install a 850-ton Huisman crane on board of one of the largest pipe-lay vessels in the world, Allseas Solitaire.

MARAD: $5 Mln Available for Marine Highway Projects

The Maritime Administration (MARAD) has announced the availability of $5 million in Federal funding to expand marine highway service by creating new or expanding

 
 
Maritime Careers / Shipboard Positions Maritime Standards Naval Architecture Port Authority Salvage Ship Electronics Ship Repair Ship Simulators Shipbuilding / Vessel Construction Sonar
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.1261 sec (8 req/sec)