Aug 16, 2011 - The net profit of Brazilian sugar and ethanol producer Cosan (SAO:CSAN3) soared to BRL 2.299 billion (USD 1.443bn/EUR 1.002bn) in the first quarter of fiscal year 2011/2012, to end on March 31, 2012, from BRL 400,000 in the same period of 2010/2011.
The strong performance was explained with the creation of Raizen, an ethanol joint venture with Royal Dutch Shell (LON:RDSA, AMS:RDSA), which had a favourable impact of BRL 2.2 billion on Cosan's profit.
Cosan's net operating revenue in the three months to June 2011 grew to BRL 5.188 billion from some BRL 4.0 billion.
Its earnings before interest, tax, depreciation and amortisation (EBITDA) surged to BRL 3.755 billion from BRL 475.7 million. EBITDA margin rose to 72.4% from 11.9%.
Excluding the effects from the set-up of Raizen, Cosan's EBITDA totalled BRL 439.9 million and EBITDA margin was 8.5%.
The company's capex fell to BRL 708.7 million from BRL 711.5 million and its net debt shrank to BRL 2.741 billion from BRL 5.263 billion.
Cosan's sugar production decreased to 1.183 million tonnes in the first quarter of the current year, from 1.268 million tonnes a year ago, and its ethanol output fell to 629,000 cu m from 755,000 cu m.
(BRL 1 = USD 0.628/EUR 0.436)
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