Cresud(US:CRESY)2024-02-22 16:00Business Operations - As of December 31, 2023, Cresud operates in two major business lines: agricultural business and urban property and investment business[29]. - Agricultural business revenues reached ARS 114,924 million, while urban properties and investment business revenues totaled ARS 77,591 million, leading to total revenues of ARS 192,515 million[47]. - Total revenues for the agricultural business reached ARS 103,563 million, while urban properties and investment business generated ARS 84,304 million, leading to total segment revenues of ARS 187,867 million[75]. Financial Performance - The company reported a net loss from operations of ARS 50,795 million, with a segment loss of ARS 46,966 million[47]. - Profit for the period increased to ARS 122,205 million in 2023 from ARS 59,907 million in 2022, representing a growth of 104.5%[142]. - Financial results, net improved to ARS 67,759 million in 2023 compared to a loss of ARS 34,867 million in 2022[142]. - The company reported a profit from operations of ARS 213,709 million, demonstrating strong operational performance[75]. Assets and Liabilities - Reportable assets amounted to ARS 1,455,130 million, while reportable liabilities were ARS 1,297,053 million, resulting in net reportable assets of ARS 925,161 million[47]. - Reportable assets totaled ARS 2,052,314 million, while reportable liabilities were ARS 1,551,249 million, resulting in net reportable assets of ARS 1,142,484 million[75]. - Total liabilities as of December 31, 2023, are ARS 927,214 million, an increase from ARS 998,190 million as of June 30, 2023[134]. - Borrowings as of December 31, 2023, stand at ARS 740,618 million, unchanged from the previous period[134]. Shareholder Returns - The company plans to distribute 13,928,410 own shares to shareholders, with a nominal value adjustment resulting in 12,644,273 shares of nominal value ARS 10[17]. - The company plans to allocate ARS 54,483.3 million for dividend distribution to shareholders, reflecting a commitment to return value to investors[58]. - A total dividend distribution of ARS 40,693.3 million was approved, which updated to ARS 48,659.4 million, including ARS 22,000 million in cash and shares valued at ARS 22,090,627[174]. - The cash dividend for Global Depositary Shares (GDS) holders was set at USD 0.370747 per ADS, including yields from the Super Ahorro fund[180]. Legal and Regulatory Matters - The company is involved in a legal process regarding the land regularization of "Las Londras," with prospects for revocation of a ruling being evaluated[27]. - The company is currently involved in a judicial process regarding environmental concerns, with a favorable resolution expected[91]. - IDBD filed a lawsuit against Dolphin BV and IRSA for NIS 140 million, plus interest and costs on December 26, 2021[196]. Market and Economic Conditions - The accumulated inflation rate in Argentina over three years exceeds 100%, categorizing the economy as highly inflationary[31]. - The value of office buildings and other rental properties decreased by 9.18% during the six-month period due to exchange rate variations[79]. Investments and Acquisitions - Significant acquisitions included the sale of the 25th and 26th floors of the "261 Della Paolera" tower for approximately USD 14.9 million[68]. - The company plans to invest up to USD 40 million in infrastructure and public space works as part of the "Costa Urbana" project, which will enhance urban development[114]. Operational Efficiency - General and administrative expenses totaled ARS 20,907 million, while selling expenses were ARS 14,087 million[47]. - The company recognized a gain from the disposal of farmlands amounting to ARS 1,761 million[47]. - The company reported a decrease in inventories by ARS 3,321 million in 2023, compared to an increase of ARS 1,956 million in 2022[142]. Cash Flow and Financial Stability - The net cash generated from operating activities before adjustments was ARS 2 million in 2023, a slight improvement from a loss of ARS 6 million in 2022[142]. - The Group's cash flows from operations for the six-month periods ended December 31, 2023, and 2022 showed significant non-cash transactions, indicating ongoing operational stability[167].