Management Report 2020 slide image

Management Report 2020

- Management Report 2020 SLC Agrícola Drone Insurance - Straight Coverage of civil liability of the operator or air carrier for personal and material damage caused to third parties, by remotely piloted aircraft, used for business purposes. Policies due on 12/12/2021. Seed Insurance - Beneficiation coverage and grain deposit for seeds located on the Pamplona and Fazenda Panorama farms. Policy maturing on 6/27/2021. Vehicle Insurance - Coverage of the vehicle fleet of the subsidiary and parent company for damages caused to third parties. Policies maturing on 10/9/2021. 31. Nature of expenses The Company's income statements are presented by function. The following sets forth the breakdown of expenses by nature: Consolidated 12/31/2019 12/31/2020 12/31/2019 Parent Company 12/31/2020 Expenses according to the role Cost of goods sold (2,408,692) (1,985,922) (2,802,782) (2,257,472) Sales expenses -149,471 -134,043 -173,964 -152,972 General and administrative expenses Other operating expenses -103,811 -7,566 (2,669,540) -80,864 -7,702 (2,208,531) -115,452 -10,132 (3,102,330) -89,324 -45,74 (2,545,508) 30. Net sales revenue We present below the gross operating revenue: Parent Company Consolidated 12/31/2020 12/31/2019 12/31/2020 12/31/2019 Expenses per type Depreciation and amortization Personnel expenses Raw material and material Rents and leases -83,781 -266,013 (1,455,134) -21,409 Gross operating income 2,711,983 2,227,723 Sale of goods 3,161,943 2,343,738 3,200,054 3,731,661 2,614,708 Amortization of right of use -119,58 -76,595 -264,179 (1,174,134) -97,218 -65,787 -119,686 -105,81 -319,572 -308,783 (1,736,678) (1,399,363) -21,823 -55,747 -73,663 -43,336 2,730,998 Income (loss) from hedge operations (449,960) Deductions, taxes and contributions (78,699) Net operating income 2,633,284 (116,015) (63,733) (102,507) 2,163,990 3,097,547 (531,607) (116,290) COGS biological asset variation Freight -659,349 -56,708 -471,174 -51,744 -750,996 -524,266 -63,602 -58,191 (78,803) 2,535,905 Cost sale Paiaguás Farm and Parceiro Farm Other expenses -36,029 -7,566 -7,7 (2,669,540) -16,31 (2,208,531) (3,102,330) -13,983 (2,545,508) 32. Reporting by segment The Group has two reportable segments, as described below, which are the strategic business units of the Group. The strategic business units offer different products and services, for each of the strategic business units, Management reviews internal reporting at least once a quarter. The following summary describes the operations in each of the Group's reportable segments: Agricultural production segment: growing mainly cotton, soybean and corn crops. Land portfolio segment: acquisition and development of land for agriculture. Information regarding the results of each reportable segment is included below. Performance is evaluated based on the segment's profit before income tax and social contribution, as included in the internal reports that are analyzed by the Group's Management. Segment profit is used to evaluate performance, as management believes that such information is more relevant in assessing segment results. 143
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