Crop Care Segment Growth
Crop Care demonstrated strength with double-digit year-over-year growth in revenue, gross profit, and adjusted EBITDA. Specifically, Crop Care saw a 68% revenue increase, led by Union Agro and Perterra.
Gross Profit and Margin Expansion
Despite lower revenue, gross profit increased 10% to BRL321.2 million with gross margin expanding 320 basis points to 15.6%.
Positive Farmer Sentiment and Market Conditions
Improvement in farmer profitability expectations for the '24/'25 crop year, with favorable weather conditions and stable agrochemical prices contributing positively.
Cost Savings Initiatives
Lavoro is implementing cost-saving measures such as retail network optimization and fixed cost reductions, expected to benefit the second half of the fiscal year.