Astarta (AST) Q4 2024 earnings summary

Executive summary

• Revenue remained nearly stable at EUR 612 million, with export sales comprising 66% of total revenue and growth in sugar production and cattle farming offsetting lower agriculture revenues due to a focus on internal crop processing.

• Net profit increased by EUR 20 million to EUR 83 million, up 34% year-over-year, with gross margin widening to 38%.

• Export revenues accounted for over two-thirds of total sales, supported by strong commercial performance.

• Operating cash flow surged 83% year-over-year to EUR 167 million, and net financial debt turned positive, with a EUR 21 million net cash position.

• EBITDA increased 10% year-over-year to EUR 159 million, with margin widening to 26%.

Financial highlights

• EBITDA margin expanded to 26% (excluding IS41 impact: 25%).

• Investments grew to EUR 53 million, mainly for sugar beet harvesting fleet, new sugar silo, and SPC facility.

• Debt ratios remain extremely low, with net debt/EBITDA at -0.1x and adjusted net debt/EBITDA at -0.3x.

• Equity increased to EUR 549 million from EUR 499 million year-over-year.

Outlook and guidance

• CapEx guidance for 2025 is around EUR 100 million, with up to 30% for maintenance and the rest for development projects.

• Focus remains on development projects, especially in oilseed crushing, plant protein, digitalization, and sustainability.

• Lower yields expected for winter crops in 2025 due to adverse weather; spring crop yields depend on summer conditions.

• Ongoing expansion of organic farming and alternative energy generation.