Investor Presentaiton
4
HIGHLIGHTS
Cash
SUMMARY
Ability to generate significant free cash flow in the long term.
Credit facilities totaling R$ 22M approved by financial institutions in Brazil, to be
used if needed. Average interest rate: 1,1% per month.
Total loans in 2020 for CAPEX and working capital: R$10.3M.
$2.2M cash held by the Company in Q4 2020, an increase of 236% YoY.
2020 was a challenging year, with operating complexities
triggered by the pandemic scenario, in addition to a 27% drop
in the price of potash delivered to Brazil.
Covid notwithstanding, Verde has accomplished important
milestones, such as:
Profitability
Gross margin increased to 59% in Q4 2020, compared to 36% in Q4 2019 and to
62%, compared to 48% in FY 2019.
Sales increased by 76% in Q4 2020 compared to Q4 2019 and by 103% in FY 2020
FY 2019.
The Company achieved a net profit of $550K in 2020, compared to a net loss of
1.1M 2019. 2020 was therefore the first year that the Company recorded a net profit.
Revenue increased by 48% in Q4 2020 and by 52% in FY 2020. The actual increase
in revenue in Brazilian Real for FY 2020 compared to FY 2019 was 97%.
Launching a new product, BAKS®.
Launching two new technologies: 3D AllianceⓇ and Micro S
Technology®.
Achieving both its sales and revenue targets for FY 2020.
Recording a full-year net profit for the first time.
The Company's targets for 2021 are achieving R$50M revenue
and selling 350K tonnes of the Product.
Operations
The Company is fully permitted to mine 482,800 tpy.
Plant 1 is in operation with BAKS® production.
In 2021, a new Pre-Feasibility Study will be elaborated by the Company to
correctly assess sulfur's potential market in Brazil and to update the
information disclosed in the PFS filed by the Company on SEDAR in 2017. The
new PFS is expected to be finished by the end of 2021.
* All figures are in Canadian dollars, unless stated otherwise
Average exchange rate in 2020: C$1.00 = R$3.84
Average exchange rate in 2019: C$1.00 = R$2.97
VERDE
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