Cresud Sociedad Anónima, Comercial, Inmobiliaria, Financiera y Agropecuaria (CRES) investor relations material

Executive summary

• Record wheat harvest in Argentina and improved weather supported yields, though summer crops like soybeans and corn faced climate challenges.

• Margins declined due to high input costs and low commodity prices, but operational scale and livestock segment strength, especially in Argentina, helped offset some impact.

• Cattle operations delivered strong results, with intensification in feedlots and expansion projects underway.

• Notable government measures included reductions in export taxes and expanded trade agreements, boosting domestic prices and export potential.

• Real estate activity was subdued in the first half but is expected to recover, with IRSA investment properties driving significant gains.

Financial highlights

• Net income for H1 FY2026 reached ARS 193,932 million, reversing a prior year loss, mainly due to fair value gains in IRSA investment properties.

• Consolidated revenues rose 19.1% year-over-year to ARS 651,055 million, with gross profit up 20.1%.

• Dividend payments totaled ARS 93,782 million (~USD 64 million), with ~70% in cash and ~30% in IRSA shares, yielding about 8%.

• Net financial results deteriorated due to negative FX results, and adjusted EBITDA declined 19% year-over-year.

• Positive fair value adjustment of ARS 184 billion on investment properties, reversing a large negative from the prior year.

Outlook and guidance

• Expectation of normal or near-normal crop yields for the four countries, pending favorable weather.

• Gradual improvement expected in Brazilagro production, with greater production stability and improved cost absorption in the second half.

• Expansion of FYO's trading business in Brazil and intensification of livestock operations are expected to drive future growth.

• Real estate segment sees early recovery in land values and increased asset interest.

• Continued focus on financial strength through bond issuances, share repurchases, dividends, and asset disposals.