Cosan reports increased revenue for Raízen Energia business unit

By Erin Voegele | May 13, 2015

Cosan has released first quarter financial results, reporting Raízen Energia, the company’s sugar, ethanol and cogeneration segment, achieved a 3 percent increase in net revenue during the 2014-‘15 crop year, despite a 7 percent decrease in the sugarcane crop.

The Raízen Energia business segment reported revenue of R$9.74 billion ($3.18 billion) for the 2014-’15 crop year, up from R$9.45 billion during the 2013-’14 crop year. The increase was achieved despite the 7 percent decrease in crop, leading to a total of 57.1 million tons crushed during the 2014-’15 crop year.

Raízen Energia EBITDA for the 2015-’14 crop year was R$42.53 billion, up 4 percent from R$2.44 billion during the prior crop year. The segment also reported R$2.33 billion in CAPEX for the 2014-’15 crop year, with R$131 of that amount for second generation ethanol. During the previous crop year, the company reported R$2.52 CAPEX, including R$81 million for second generation ethanol.

The company’s Raízen Combustíveis business segment, which focuses on fuel distribution, sold 775 million liters (204.73 million gallons) of ethanol during the first quarter, up from 605 million liters during the same quarter of 2014.

Overall, Cosan reported net revenue of R$9.95 billion during the first quarter, up 6 percent from R$9.39 billion during the same quarter of the previous year. EBITDA was R$1.02 billion for the quarter, up 17 percent from R$875 million during the first quarter of 2014. Net income was R$43 million, down 82 percent from R$236 million during the first quarter of the previous year.