BIOX - Earnings call transcript Q3 2021 | Bioceres Crop Solutions Corp.

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Max Goya

Good day, everyone, and thank you for joining us. Presenting during today's earnings call will be Federico Trucco, President, Chief Executive Officer; and Enrique López Lecube, our Chief Financial Officer. Both will be available for the Q&A session.

Before we proceed, I would like to make the following Safe Harbor statement. Today's call will contain forward-looking statements, and I refer you to the forward-looking statements section of today's earnings release and presentation as well in our recent filings with the SEC. to or revise changed obligation to forward-looking no new reflect events assume update any or statements We or circumstances. that company's in addition which exclude note understanding Argentina. today, we results please for impact comparable and presentation purposes Also, results, discuss a during of our our discussing of underlying to in the will performance, as reported comparison better hyperinflation accounting

with XX earnings in connection the can report. found information the IAS application Additional rule our be in of

webcast. to The section our being link call Finally, is this Relations this is Trucco. conference to Investor webcast of time, available call over Federico CEO, I turn At biocerescrop.com. would like the

Federico Trucco

you two. Thanks, thank all Max. Slide joining turn us And today. to Please for

discuss call. in For today's and brief a of will the overview business we financial highlights

done simplification will number As and grower the and in progress in for we engagement. consumer the of a validation soy sustainability our from proposition, past including the perspectives, calls, rollout perspectives, regulatory discuss HB activities, wheat value framework onboarding and of different we of have

food for perspective, top and EBITDA into From the technologies LTM the period, also activities enables starting digit trajectory our combined the bear ownership the fertilizer growth positioning XX% fruit company animal We second our are revenue an X% in to assets exchange hybrid GLA in adjusted line significantly realignment and expansion segments, free total pursuing a margin production a will sales And during between profile These microbiotic the noncore farming for nutrition in in leverage growth, quarter quarter. of reporting for of a a on with with resulting double baseline our growth times four financial basis. drop to year-on-year, deliver concept increase operating based business comfortable discuss after a solutions. we improved plant the implemented reorganizational some results [ph] and company in for molecular molec interest discuss science. cell will

reported the us reproduction X let The in the varieties performance highlight Please strong to upcoming during HBX over discuss in depth. our our created momentum, turn hectares wheat has call prior baseline Slide greater on preseason for approval. season. observed already place with Brazil target crop HBX second last quarter’s in XX,XXX this Now, contracts update an input an for cycle and earnings excellent to of

of to across We invitations collect are these May. Last wheat up hectares continue all invitations XX.X% the additional [indiscernible]. share in HBX with have into and until and yielding collected by end we XX% locations, environments for will season will varieties only contracts And environments. and of combined yielded turn low to

number look validates the planting strongest our planted before last currently we forward age approximately hectares to tripling engaged value with HBX an above the past wide have for today margin proposition across near participants $XXX year. XXX% with this XXX wheat average a Clearly, more XXX We gross than as goods customer with season. of adoption with As locations rates average. company contributed deep the flowers a of hectare

revenues the longer reporting, signal duplication into of goods sold contributed financial as or realized these of seed the In no value are and contributed be as terms agreements. grain recognized once will inventories

the that the company process. this corresponding from less the HBX benefit implies For time buildup a has financial profit is contributed inventory cash being for goods, gross as for the required

substantial you prospective have see X, leveraging made program on with their progress, to boarding. we can Turning interact and age before to manage Slide growers technology

logistics. customers, generation XX% of almost scoring, execution boarded only contract HBX digital credit our on have via the commercial We input automating platform, our interaction, and

can side and left signup like navigation all of data of functionality see the mobile we seamless. terms entry makes slide, a app In the on that

program the entry biometric in up steps. all automated for encompassed fields, simple receiving seed six secure recommendation or environment with in inputs positioning While these and a Growers budgeting by parameters. geo sign an can

hectare can that The traceability, current API's. us stewardship the from see dashboard platform's And allow it to dealing billing, to can it HBX and utilizing side. incoming beta with soy Bear customized yields averaging tons testing manage varieties position HBX right, that planted seven a the manages relationship these hectare. X XX,XXX normally we that turn that look Please help tool hectares current we AI a dashboard, an As orders with X.X the comprehensive you an have update mind grow cycles. on channel varieties will requisition per management basis. in and make protect X.X Slide below stage, we XX,XXX invoicing, yield already slightly with in chatbot. you over different optional Close and entire further will for hectares HBX to cycle regions prevalent input to per on communication with targeted experience harvested the the tons

current before the a from next cycles end put month. from the should completed an for in upcoming the cycle harvest position Resulting expect excellent launch regulatory once be the and achieved. We of are almost and week the us meaningful soybean to inventories clearances

Slide to Turning X.

to to HBX fiscal United States. progress, of the USDA regulatory look during form our a third submission for wheat the made HBX team production in we quarter, As our approval the

favorable. in opportunity US to markets, progress for an represent Latin Although continues regions us, the immediate certain attractive means of be America or it's not

You to able requests are similar by informed soy, to forward regulatory to regarding Brazil their look upcoming findings HBX their We has evaluation believe and meetings submissions Chinese during their medium as quarter regarding the area term come. ongoing HBX requested they quarters certain approval communicating other should been in to No wheat. will nor us. authorities of by information see in to additional geographies regulators both resolve be

ESG review let's initiatives. Now, our new corporate

customers' ecosystems. good our always incentives program processes, such management farming solutions Slide our differentiated though of economic the decarbonize production integrates efficiencies Turning centered regenerating create been other to as several to further has agricultural practices, practices our form framework crop developing farming, to others improved X, the HBX proposition on to on that in value protection, resulting in with while highly yields, and conditions under aligned nutrition along. rotation X% reform seed varieties. HBX our XX% XX% Even grow biological technology up on decided sales increase average when producers age additional agriculture. by compared and We varieties to sustainability to among yields regenerative non CoX HBX initially

by brands our XXX,XXX and choose from give on help HBX tonnes The [ph] it opinion are first and relevant to for We challenges X, production of activities of with new global mainly, systems, productions the the sustainable footprint reflects sustainability heels will opinion reduced agricultural fixing of equivalent, XX with climate the sector, our roll to a to framework agreement to XXXX. equivalent out flour. consumer that entered wheat an a for validating manufacturer Moreover, sustainability Nations a related the into met. CoX is native with selected of Alana goes produce framework. action. results and framework. Vigeo and have that company the closing fiscal Slide KPI the namely turn material environmental Eiris relevant HBX roll coherence Brazil as development externalities climate an assessment cheap tonnes preserve to soy engaged Eiris, other in hunger We HBX in third subsequent the of sets primary food standpoint, in the carbon and on leader Vigeo out Please significantly the and soiling sustainability ESG of [ph] products of wheat savings status as the customers quarter, Alana relative CoX with for positive independent the ambitious option environmentally ecosystems. agreement zero products Argentina on a with fight the to the well goal change United to and

farm coffee specific structure Brazil, under operating program in Peru process Chile the as ongoing to consumers, will high know data to player in fork South the blockchain information, climate of other segment interest enable and well include and key service a and the stores Importantly, I facts, premium XXX leading locations as in generation identity the States. in Founded potential technology. all field secured HBX to has your Alana shops products Argentina, on across as preserve United XXXX end become over Spain America,

gain towards prepared fast to noncore the of us to CFO molecular exposure the remarks. exchange we of and the unlock company pursuing our farming X% Turning industry quarter hybrid a a production concludes GLA industry plant Lecube ownership cell neutrality. for for third market I Slide the solutions. greater transition call end now transaction these realized assets purpose interest will fiscal assets This fiscal my exposure. a López to to our the science three alternative food between of to consumer food believe to a allowed our and results. third value from quarter, transaction potential This Enrique concept align and in food financial healthy our growing over X, to now contribute will the molec technologies carbon and We animal systems turn based Enrique? And in with discuss

Enrique López Lecube

for us today. Thanks, Federico. Good joining everyone. to day And thanks

like our American into an entering I the Market. would from transfer Before listing review, quarter financial recall performance to completed to Nasdaq Asian of a the we Select Global that during

an new XXXX. of fit ideal they move present Bioceres's biotech a ESG years about more the also grateful would as and with for aligns and initiatives, We're initial Ag partnership listing such since to in world. two and Nasdaq's technology [ph] due NIC our are suite us for host, companies Nasdaq. thrilled services. This March It than ESG in leading the Tech with of been some We our platform is and products having current great back now

the from high year, $XX outstanding the historic a to an planting the the revenue than lack which values, to increase. Slide our a of of performance their basis more was to for fiscal the turn quarter A is had the million. the the for seasonal $X XX the third expansion in from This during of we market quarter year soil current quarter increase million activities basis. [ph] $XX third a was from the million a getting operate. quarter in the to Crop growth on revenue performance $XX.X by above third reported XXXX the year. slowest million to Now XX% behind financials, slightly across when of during in review NPM rose fiscal perspective. million nutrition characterized we quarter with Even quarter $XX.X achieved an fiscal by please comparable XX% On

slowdown calls seasonality we The LTM usually a exceptional low $XXX have seen the on the midterm an XX of million business, performance March XX% on our season eye of previous ago baseline period the the segment. of revenues increase in growth. trailing smooth months. a Leaving the we the with of close discussed to entry effects our track of Please compared had we second quarter breakdown On attractive down a XXXX quarter. rather back on per good line. As got a also keep grasp performance the year to in on was XX revenue and basis lead a have business growth, of for us move potential even confirming Slide now a as to impacting business top to behind

will improve As in sales. making product scale to aggressive the terms turn scenario the our stable us as now, growth a to have that to four allow explained, seen the proposition We quarter with spend the will to launch explained increased on level are conventional margins dollars of a XX% as for which we conviction of versus initial to until fertilizer in the $XX.X flat fertilizers a ago the capacity crop of million fertilizers but crystallize this fields. the participation for pricing gross nutritional volumes Average to capture higher the that XX a business in technology sequential by quarter attractiveness million. expanded and higher could specifically, segment on commercial fundamentally a XX% moved product fairly margin particular of better value showing allow XXX commodity million profits. prices at a line revenues higher us economies in during The explained segment current of we $X.X very have pace. not basis quarter which value expect that higher with structure that lower times of with by to at fully momentum a products. margin sales a significantly gross and basis, significantly quarter fertilizers to the was this shift fertilizing more to inoculants. I compiler farmers that points from to shift compared more been in entirely XXXX compared of use performance outcome XX.X% in crop line A nutrition in roughly by new sales and third year are farmers the revenues is sales overall $XX.X party year of quarter and Crop points green attractive fiscal of with inclined strategy faster the first the versus adjuvant bigger the proposition positive to ago dropping to mix only a in believe in remained more delivered basis were from Higher just achieve [ph], farmers. the Margins strong installed contribution protection third move a the for basically the growth microwave by segment

integrated seeded not the impacts third very was year satisfied business. average in quarter, $X.X had with growth basis are decline. down margin the slightly the French growth with XX.X%. but the of which explains million, the Budgets our a achieved achieving was revenues were remained Overall, seeded of of the average XXX last ago the products, quarter year pretty expansion an XX% Most for segment retained, from comparable subsidiary margin points, flat we XXXX For quarter. XX% $XXX,XXX gross for fiscal at all which during accomplished

segment, the Now has to near reorganizational and to results. the future. crop the looking show to nutrition we process pursued already Similarly in which

growth baseline protection our crop profitable reignite business integrated to in initiatives endeavoring segments. seed and currently are We

second of are effects optimistic impact strategy of the year positively adjustments the the We half in them to financial performance the near and coming the term about and expect respectively. our quarter in

Moving business Slide gross for segments. to on the which now of XX profits shows breakdown

A third discussed quarter was the crop to fiscal by for during quarter the products previous million. profit in $XX.X due despite products. slight moving Integrated increase slightly above ago that from revenues. comparable million slide, revenues quarter third million with just million profit primarily of profits year flat. XXXX gross higher was line period profit during during the fiscal adjuvant mix the $XX.X to from the of from described gross XXXX detrimental of gross the the and rose comparable fiscal in year. $X.X increase that in Following down revenue and gross third million $XX of lower quarter, year third profit quarter increasing I drop in reported to $XX.X million in in we the XX.X% $X.X current margins This million margin quarter expansion the a remained gross dynamics slightly the Combined fiscal of in previous party as participation contributed margins protection $X.X

Crop gross represented to represented more Nutrition than profit to $X.X million of gross Finally, compared total during XX% which the Crop the with delivered of quarter overall of the average, quarters gross unusual profits. comparable XXXX, Nutrition fiscal which in third compared something XX% past profits half almost quarter for an

million. of on versus million performance equity on million increased $X XX and respectively. fertilizers microwave our in partially accounted ago the by offset improvement were in the slower ago This in technologies, a XX for for incentives. contributor manufacturing our from In wheat the for a with operational about results JV, I at results move XX totaled please $X.X performance revenues, of versus period EBITDA delivered fully lower based XXXX which adjusted million adjusted on and as continued The of what expenses we in profits reported year comparable our assess ago points basis increase XXX% main to distributions months $X.X last business. a on fourth a at XX period dimensioned. previous is increase adjusted months fertilizers than due leverage SG&A XX, million that's explained grows development eye in also EBITDA pace growth revenue down performance increase million EBITDA to March Daily EBITDA the March Slide usually which The increase and adjustments, [indiscernible] netting months increase share profits. as expenses R&D by increasing to totaled year inventory-oriented the gross period $XX.X of quarter XX LTM XXXX. quarter, in solid separate the a adjusted year gross gross expenses XX% to million keep denoting the XX an a corporate from XX travel $X.X were SG&A versus primarily the quarter Slide HBX SG&A A on the basis a over ending professional note expenses $X.X month growing XX% percentage by Let's $XX.X from the ago on offset was operating $XX.X additional the up profits sharp is also profitability line. IAS quarter registration outsource including to review production which services, USA, to was in over decreased of to expenses, in an due similarly up EBITDA million of mentioned impacted sales which quarter very in XXX the gross of XX profits. year XX% the partially

compiler significantly in growth, further year increase a profits JVs by reduction in contributions to operating operational $X.X when additional down and gross expenses was delivered of adjustments almost profits XX that even LTM. versus IAS gross breaking increased million eroded in Now performance ago reporting an million in a That $XX.X performance.

our to cash together and to Finally, financial expenses. Slide position with address on performance our turn debt let's please XX

as annual public corresponded maturity rate issued serious XX% used months support border and early was and of class a annual to XX $XX the one make working March. which in and to rate had a maturity to our X.X%. these of are Argentina Profits financing and with markets XX% completed extended issuance year to million of five X.XX% with the A Rizobacter's corporate continue an good costs. coupon offering bonds of we use while being credit We of an maturities partnership need, remaining of continue coupon reducing capital a

$XX.X $XXX.X times fiscal the in throughout year we million by increased month periods XX cash year, with debt to LTM million debt debt. the inefficient XXXX. discussed third current was XXXX, quarter capital debt markets As of when to company's quarter ratio lower financial financial Total That of average sources hand million financial due compared working used total expenses, in column, XXXX months as last March XX Even was a capital for from significantly to prior the as period March of the left March debt calls reflecting of net $XX.X XX% manufacturing the XX have million. by primarily decrease replace for our the XX, in debt. $XX.X a Increasing fiscal aforementioned prior cost to of decreased third the the XXXX million fiscal expenses financial from to X.XX increase is in of debt. the financial total EBITDA. $X.X net

Now times due sequential basis, to on adjusted primarily during third growth adaptive a X.XX net quarter. debt XX decreased from XXXX, LTM the EBITDA December on the to

and cash term approximately we other equivalents, On liquidity below XX% restricted million. $XX cash term debt, front the slightly portion totaling deposits short of investments, presented current the of and short

during solid prepared retain serving concludes quarters for rollout of have continue the to main as remarks That and wheat call. liquidity financial to priority we the we strength company. core today's HBX In a the the a upcoming for soy the business growth addition Bioceres's position of

now turn will go Federico you any to to have. questions into might for directly remarks it that or concluding So I

Federico Trucco

Enrique. Thanks,

Operator? And We after some will add up concluding we that, the remarks. floor open will questions. now for

Operator

Capital. first Klieve from Street of [Operator question Instructions] line the of Your Ben comes Lake

Ben Klieve

right, a taking my questions. quarter All And for really on congratulations good thanks here.

Was strategy? plant understand who have drove on who revenue high On using really a their product buying I You customers it the this I your you're I'm business, understand customers fertilizer about efficiently here. want quarter really this more the was itself, helpful? existing But volume? will strategy. I understand question more trying volume buying exports color be reached was volume? to I know, of by really it new that, new any the greater mean, to was

Federico Trucco

to to great it’s will the Ben, ask is question specific in you have Federico. Hi I Enrique. that this call,

Enrique López Lecube

Hi, for your Ben. for Thanks and the call question. joining

a customers. also think repeat that of customer combination I There volumes question; we customer, new was good. a factors. we your of But couple was take well as it very rate per have is increased as

I So bringing per fine strategy pricing of is new the also in new the in sense customers. volumes customer, increasing think and working that

or are beginning have Argentinian the there's and that been customers have neighboring have see this monitoring structure. you the microstar a happy countries the We are happened we through if we markets been so had of as Brazil. this so those from So joining way to neighboring the to that we see been that far basically wait an if technology. of new the are monitoring fertilizers, initially. at By still variables values in selling and two the new the such market those pricing know, are the impact in coming But Most least we quarter [ph]. to far,

Ben Klieve

helpful. commercial the Federico, launch the timing for question to Got for I regarding you a of wheat questions product. it. couple and on That's Enrique. HBX, the soybean both I like to have a pivot Thanks, the over

the here months, prepared commercial a launch your Brazil remarks do on need you you in of really don't about enable a with next support these six talked do to few know, locally and those from in for launch. to now? products supply months these chain approvals still here in or come approval plan their the You If import come Chinese needs approvals identity launching an we to

Federico Trucco

Ben. very a good that's But question,

But of contracts the interest we if number have within underwriters will case the before inventories we would agnostic June, all and preserve the place a the we of to approval execute we in channel. preserved a we obtained identity of additional are have approval, that already In and acres regardless in XX,XXX be continue between for terms soy. approach, that Initially, range early somewhat the do we're Chinese hectares top XX,XXX we're approval. that identify preserve wheat we is indicated The into identity some require hectares. contracts terms Brazilian have of the that can is In is identity approval, preserving Remember, cycle since planning terms all probably anyways. the now wheat. next doing in small to will of still to of soy, XXX,XXX

be won't the of the a dictate the we hectares So, seven in materials is receipt what of of quantitative affected multiplied the there that number cycle, will currently varieties coming and being being obtained now. performance are now different

Going into move particularly terms and where able be of will, use that would will will fully XXXX, But This of we today, to preserved, not identity launch digital we with not still the above XXX,XXX do something ability from of the approval. are above for fairly can how more in cycle above be we X.X certain to of next platform. billion well require do with soybeans one us Because manage that level, as preserved But is tough out to identity an hectares you will it's that this. are the today. we challenging. might the be our if mark we efficiently to sure of be

Ben Klieve

just existing sense of into from be they if be if this to understand the to early commercial understand wheat I integrating of an the kind on right immediate going wheat Got is information be longer-term immediate that engaged agreement a to both it. a that or they're I'm almost are flour this that have fronts. figure a is That's their go very out HBX know, agreement? helpful product term of much line to they products in R&D if it's Havana for going get too of consumer I kind to with or process about wheat this, would the maybe but to thing? in? do and such, trying affecting as Question long launch basically on you

Federico Trucco

more Havana qualitative quantitative. us, question. the Thanks than is the for To Havana agreement

the be of to with how end from create and does might consumers of of performance we much processors. validation sort tackle need last concerned we from on on that we monumental channel, we data and this these incorporated HBX social license platform initiate considerations, front, intend inventories, show will and products footprint immediately be the work to if a the food will, work it water be the and of agreements particular HBX scaling greater is us brands a As Havana come of, perspective to and trade for a lines. into but the around with without sort back claim, to I not last That's aspects flour will with work with one we engagement, generate we where side, nature. consumer a of These to line product comfort HBX aspects for product underlying this quest a the particular intend specific aspect the other Havana think and product this the not so, flour engagement. regulatory terms also is consumers. might wheat of That commercial approach these wheat, with up this development the in greater about you agreement, wheat build and in all product and meaningful on volume on particular can for conversation lines. consumer from GM where that other we carbon doing in There drove this comfort required up of HBX with to in announce consumer This

Ben Klieve

great, agreement. guys helpful. you Very secure are to it. that able Got first That's

in me. I that for queue. get it questions think I I'll does appreciate you taking and back my

Operator

line from Next Brookline Dolliver, of Kemp question comes Capital.

Kemp Dolliver

I questions. morning. Good have two

and the the regard take? could you detail relates with of that protection business actions give you crop The considering, to the first more one plan to adjustments strategic types to you're

Federico Trucco

structure think, in question. we we products, the proprietor again in the there segment, kind in angle of performance. able are party currently quarter are show to in products do post-patent are What like if teams the of reorganizational which products, the for achieve some -- of Thanks usually that we we likely the that will is if I have and will, commercialized we channels for the That would dedicated current you fiscal side protection year. believe incremental types two that thanks call also uncouple the segment, commercialized is fourth better a we joining that for these we the that third alternative and to with some and of the growth business adjuvant pursuing that to are

Kemp Dolliver

you. Thank helpful. That's

you take relates have question second complete of plan out steps that now with of you to and regard business? to to part the The that Verdeca next the building ownership it,

Federico Trucco

I my yours, it's don't away. if voice fading or know but of sort it's

If repeat you the question? can

Kemp Dolliver

I second have now XXX% question to with Yes, Verdeca, take actions that it? specific your plans this some better? the totally now you're ownership you hope planning you is of control and is The that

Federico Trucco

Okay.

is us US I and we question some giving greater in geographies, to with forward how we flexibility historical sort of doing relationship what engaging and if intend where the development TMG. parties the extent mainly is Essentially, own have in we XXX%. us around the understood third So correctly, now alternative of to for that move in Brazil, the control that with full of is Verdeca for

able complimentary actively is to to working we that additional these now We one to have are be to currently in germplasm Verdeca the address secure geographies.

currently that area which Verdeca groups to need can below, potentially not a instance, the value materials significant there's deliver do HBX breeding where US when maturity meaningful we programs. have and we For within are of the

and opportunity now which to already one So regions of controlling secure are partner because looking JV without engage maturity can have of JV to of groups, is me that full. providers we with Similarly, germplasm upwards X that with that can some hectare can have which tropical hectares. in on fully where that most to relationships six with for boarded allow the so the world, HBX. our us relationships we other an powerful of it, areas to the addressed we That have space and are necessity so we the in the incremental negotiate own we with important above, in HBX, that Brazil million are is particular that aspects

Kemp Dolliver

much. very you Thank Great.

Operator

reminder star to a ask please telephone. question, on a one As press your

comes Zachs. Your next of to Ralston Steven of question line

Steven Ralston

the year, I'm during morning. webcast correct? you the delay planting to first about which the my was demand micro-bead missed assumed telephone season for of micro-bead of was of the had question, really that because the this fertilizer, is sparked the I question. middle that Thank was that Good sorry, answer. transitioning I from taking first fertilizer. the there incremental in I that soybean sorry, the I'm

Enrique López Lecube

micro-bead joining correct? question. you're Hi, the Steve. the referring is I correctly, from increasing the Thanks to sales us Enrique. This for of seasonality fertilizer, understood If for

Steven Ralston

correct. is That

Enrique López Lecube

Yes, the season to seen sales season, is the to fertilizers Argentina. in we've in corresponding micro-bead winter increase that the in crops planting

wheat Argentina. So this the beginning of in like for of sales mainly winter crops, is kind

for an where that that increase. So we're suited this even is is a product more soybeans. seeing Obviously, is

your some Argentina. specific makes winter and So us crops. But that value the is month the something that these should to this in planting working for demand winter then even are specifically, the shift. more we be capture about season for question, for able crops Latin crops, If America better optimistic is to be propositions

Steven Ralston

fade the dynamic there In you've bio that the micro-bead fertilizers? that of Did were sales series. Thank increase about an call, was mentioned in the fertilizer is there or quarter another fertilizer against second commodity out that some you. commodity competing

Federico Trucco

line, on line? a can having of lot a the because we're difficulties we Operator, to Steve, with backup hold second. this switch

Operator

one Yes, moment.

Okay, the line backup been transferred. has

Steven Ralston

to Do me you want the question? repeat

Enrique López Lecube

you Yes, now. much please, Steve. We can hear better

Steven Ralston

were call, you. your share change quarter. quarter? during into level mentioned one lower gaining second you went of dynamic second fertilizer micro-bead that's the fertilizers Thank that the as fiscal third and the for commodity quarter Did you basically, the reasons In that, of

Enrique López Lecube

question. good very a that's Yes,

seen commodity steep farmers that made has the we've prices that inclined. technology in uprising uprise absolutely, think I -- So, more the

third farmers are This even versus might is as So, quarter, change fertilizers, with the the and a the backing conventional more now into the need technologies this since is you're where micro-bead That ROIs adopting track of month particular -- even adoption new technologies. scenario provide a something with more for this May. investment. when that's to perfect require seeing commodity prices material technology second have from you they that

Steven Ralston

on now? fertilizer of basis didn't your XX-month I'm it what sorry, trailing the it. plant? is capacity usually You a see give I micro-bead But figure

Enrique López Lecube

from to Yes, so on months we a XX% XX%. moved XX we moved basis, trailing

Steven Ralston

to the products involved read I Thank I going they're into branded you. Also to on fertilizer going also crop would comments, your about deemphasize building emphasize that protection to assume teams dedicated much in tag to costs micro-bead maybe the your you're and other reorganization, be that? question too your up in to analysts these In seed. and seems it like

Federico Trucco

No.

yielding of it's today same specific strategy in fertilizer, current reporting are state, the of the can capacity around place retain as profitability. is level that be can already but so we micro-bead and quarter, to up me I and as terms scaling results we pricing put the in the and what was more Let

we creating As current outcome in we of has you're competitive, price the obviously, effect commodity kind improved seeing incremental of read that beyond that more sort is prices, become numbers. what the that ourselves

not segment, crop we in operating products one two other make that that's channels segment. in and strategy high operational in or you investing we will, profits protection that where the one the compliment. we It's and of commercialize have different resources strategy, currently one where we just we have. the nutrition the put of reassigning, team, channel a the Now, see increase the management post-patent to we're sort protection a place. In are just to the new a essentially expect significant crop for crop value dedicated have channel to costs instead another segment We if products, as in costs already significant are one's don't a

to on also are in which wheat conventional something half soy the what currently and we not just expect alternative inclusive on the the is sell is that and expand is the portfolio. we this program, year, channel seeds. front, of conventional we doing place This seed second on an the for structuring for be is this Finally, HBX in of

So will our reorganizational that two Those that initiatives synergies organization. are the with that particularly we market months of in and growth coming reignite will expect number Argentina. our days main materialize existing the we of can be executing the in

Steven Ralston

enhance Just your your to to goal product margin sounds rephrase, of higher is mix it the a program to products? like

Federico Trucco

current more will the an not that. to dedicated But that be resolve. So, growth will post-patent Because channel products will our can of we is well. will, if channel be we That detriment is that generate you alternative expect to those that there as correct. the operating on

Steven Ralston

Alright, you my for thank questions. taking

Operator

Your from Cremaschi of next Matias Management. Asset question Delta line comes of

Matias Cremaschi

the the am you if comment congratulations morning do of acquisition I the Hi, to good or of and wondering what expect there? synergies on can and [indiscernible] incremental guys, for rationale of results. type capture you revenue

Federico Trucco

we our protection they The do of the rationale in is terms post-patent instance, biologicals. right to products like on adjuvants provide channel for discussed us. and alternative the important the have channel to line sell very of that fully dedicated an segment before crop to That we fungicides can are what bio for Rizobacter we so

Matias Cremaschi

color Thank you synergies and on or there? incrementality any

Enrique López Lecube

is Matias, this Hi, Enrique.

of I think that overlapping channels. the question Federico is said like kind what about

channels the types technologies. think specific of for specific might see you basically having that that I synergies there is

or can products that be So, lower channel this that better is commercializing a replacing technology. at are commercial technologies

this further but get some market conventional there ourselves not products But something for to synergies and is to might be technologies. that there the be we that seen new for fertilizers today. some also, opportunities on capillarity might channel, be through are So, for comparing example, needs opportunities replace some that

Matias Cremaschi

great. Okay,

Operator

to I to are for there closing like any questions. time, the no would turn call additional Federico this over or At further comments. now

Federico Trucco

to thank everyone want joining. I for Well,

are also for a everyone we progress. a inflection business, wish everyone's and momentum interest that an with company think but as we point the appreciate We baseline we significant fully remained I not in for gain only HB at the the follow-ups available great week.

Operator

call. conference today's concludes this that you, Thank

may disconnect. You now

Bioceres Crop Solutions (BIOX) 14 May 212021 Q3 Earnings call transcript