Lavoro Limited ( (LVRO) ) has released its Q4 earnings. Here is a breakdown of the information Lavoro Limited presented to its investors.
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Lavoro Limited is the first U.S. listed pure-play agricultural inputs retailer in Latin America, specializing in agricultural input distribution and biological product production. With a focus on enhancing productivity for small and medium-sized farmers, Lavoro operates across Brazil, Colombia, and Uruguay.
In its fiscal fourth quarter of 2024, Lavoro reported a revenue increase of 5% year-over-year, reaching US$1.89 billion, supported by gains in market share and sales volume. However, the company faced challenges including a gross profit decrease of 19% and a net loss increase to $154.6 million, attributing these to deflationary input prices and higher finance costs.
Key highlights include a strong performance in the Crop Care segment with a 24% revenue rise, despite a challenging market environment. The company’s adjusted EBITDA fell to $53.4 million, reflecting lower gross profits and higher operating expenses. Nonetheless, operational cash flow improved to $33.1 million from $20.9 million the previous year.
Looking ahead, Lavoro is focusing on enhancing gross margin and anticipates growth in adjusted EBITDA for FY2025. The company projects consolidated revenue between $1.50 billion and $1.60 billion, aiming to navigate ongoing market challenges while leveraging its scale and business model.
