Camil (CAML3) recorded a net income of R$120.2 million in the third quarter of 2021, a decrease of 6.9% compared to the same period in 2020.
Earnings before interest, taxes, depreciation and amortization (Ebitda) totaled R$ 200.7 million between September and November, a reduction of 15.3% in the annual comparison. The Ebitda margin (Ebitda over net revenue) reached 8.8%, with a drop of 3.1 percentage points.
Net revenue rose 14% to R$2.3 billion in the quarter, mainly driven by a 15.3% increase in sales in Brazil.
According to the company, the result was driven by sugar prices, as well as higher overall volume.
Gross profit totaled R$471.7 million in the quarter, up 0.6% year-on-year. Gross margin was 20.8%, down 2.8 percentage points.
Camil’s net debt ended 2021 at R$1.7 billion, with a leverage ratio (net debt over Ebitda) of 2.3 times.
For Itaú BBA, Camil reported healthy rice volumes, while mergers and acquisitions remain the main driver.
Itaú BBA highlights that Camil’s adjusted Ebitda in the period was 2% above estimates, with an Ebitda margin of 8.8% (versus 8.7%). Rice volumes in Brazil increased year on year as the third quarter 2020 comparison base was negatively affected by high retail inventories, while international volumes continued to suffer from lower raw material availability in Uruguay.
The bank maintains a market perform assessment (performance in line with the market average) for Camil, and a target price of R$ 11.00, compared to the quotation on Thursday (13) of R$ 11.05.
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