Cresud Sociedad Anónima, Comercial, Inmobiliaria, Financiera y Agropecuaria

Overview

1. "How the company got here" Cresud was founded in Argentina in 1936, initially managing real estate for a Belgian company involved in rural and urban loans. Between the 1960s and 1970s, the company shifted its focus entirely to agricultural activities. A significant turning point came in 2005 when Cresud established BrasilAgro to replicate its successful business model in Brazil, which later became listed on stock exchanges in Brazil and the U.S. The company has since expanded its agricultural operations into other Latin American countries like Paraguay and Bolivia. Cresud is recognized as a leading agricultural company in the region and is unique in being listed on both the Buenos Aires and NASDAQ stock exchanges. 2. "What it actually does" Cresud is a large agricultural company that produces and sells various commodities like grains (soybeans, wheat, corn, sunflower), sugarcane, and cattle. It also engages in real estate, owning and managing shopping malls, office buildings, and hotels. The company operates in several Latin American countries, with a significant presence in Brazil. Cresud also provides agricultural services and leases its land to third parties for farming and cattle breeding. 3. "Agricultural Business" This is Cresud's core business, where it focuses on producing and selling a variety of agricultural products. This includes growing crops like soybeans, sugarcane, wheat, and corn, as well as raising cattle for sale to slaughterhouses and supermarkets. The company also generates revenue by leasing its farms to other businesses for agricultural and cattle-raising purposes, and by offering agricultural services. This segment represents a substantial portion of Cresud's overall assets, making it the largest part of the company's operations. 4. "Business Urban Properties and Investments" This segment of Cresud involves the management, development, and ownership of real estate, primarily shopping malls, office buildings, and hotels. The company earns income from these properties through rent paid by tenants and other related services. This part of Cresud's business is a significant contributor to its overall operations, holding a notable share of the company's assets. 5. "What management is betting on now" Cresud is focused on maximizing the value of its land by using the best farming practices and incorporating new technologies, like direct sowing and renewable energy. They are also experts in real estate, constantly analyzing the market to anticipate trends and identify risks and opportunities. The company aims to boost its clients' businesses through consulting and marketing services, and has pioneered an online agricultural marketplace called Agrofy, which is expanding into new regions. Management is also focused on optimizing assets and managing natural resources efficiently to produce goods for global export.