BP Bunge concludes the integration crop with EBITDA of R$3.4 billion and announces ESG targets for 2030

In its first crop (April 1^st, 2020 to March 31^st, 2021), BP Bunge Bioenergia concluded the integration with positive results. EBITDA of BRL 3.4 billion, with a growth of 63% when compared to the previous crop and an EBITDA margin of 56% against 42% of the 2019/ 2020 crop. This growth is a result of the increase in revenues from the sale of sugar and gains from operational efficiency.

“Even at such a challenging time, with the threats arising from Covid-19 pandemic and the drought in the South-Central Brazil, we had implemented our integration and management plan, achieving excellent results”, says Mario Lindenhayn, Chief Executive Officer and Chairman of the Board of Directors of BP Bunge Bioenergia.

The total sugarcane milling in the 11 company’s plants amounted to 27.3 million tons in the period. The average ATR ended the crop at 137.23 kg/ton, an increase of 6% when compared to the previous crop, a reflection of the best practices of handling in sugarcane crop.

“The relevant and continuous investment in plantation and crop handling can be noted in ATR gains, for example. In the previous crop, BRL 1.3 billion were allocated, and we are going to keep investing in agricultural productivity, in addition to maximizing the industrial capacity use in the next cycles”, says Geovane Consul, the company’s CEO.

Due to high sugar prices in the international market, the company changed the productive mix of its units. The traded volume of the sweetener reached 1.956 million tons, which result is 55% higher than that registered in 2019/2020 crop.

Furthermore, there was an increase of 3% in bioelectricity exported to SIN – Sistema Interligado Nacional [National Interconnected System], reaching a total of 1,223 GWh in 12 months.

As a result of sugar prioritization in the sales mix, the traded volume of ethanol in 2020/ 2021 crop amounted to 1.4 billion liters, 12% lower than the previous crop. The share of anhydrous in the sales mix increased 6 percentage points, in accordance with the company’s strategy to focus on products with greater profitability.

2030 Commitments – Along with its operational and financial results for the 2020/ 2021 crop, the company also presents its environmental and social indicators, following the GRI (Global Reporting Initiative) methodologies, in its first Sustainability Report and discloses its commitments for the first ten years of operation, to be completed in 2030.

The initiative “Our 2030 Commitments”, in accordance with BP Bunge Bioenergia’s business strategy and the UN’s SDGs – Sustainable Development Goals, organizes goals related to priority topics into pillars: Planet, People, Principles of Governance and Prosperity.

There are 15 commitments established for the first ten years of operation, until 2030, and are related to water use, climate change, energy efficiency, biodiversity, human capital, economic development and governance. These are specific goals such as: reducing greenhouse gas emissions from ethanol production by 10%; reduce the water collected for industrial use by 10%; plant 2.3 million seedlings of native species; and achieving a zero rate for work-related accident leave, among others.

“We are prepared for the next cycles with an ESG agenda integrated into the business strategy to maximize investments, consolidate integration synergies and capture market opportunities”, says Lindenhayn.