Rosario, Argentina
September 10, 2020

• 4Q20 Comparable Revenues rise 46% and 17% in FY20
• 4Q20 Adjusted EBITDA up 67% to $14.7 million and 13% to $46.5 million in FY20
• $65.1 million raised in FY20 in preparation for commercial launch of HB4® technology
• Net Debt-to-LTM EBITDA improved to 1.98x from 2.24x

Bioceres Crop Solutions Corp. (“Bioceres” or the “Company”) (NYSE American: BIOX), a fully-integrated provider of crop productivity solutions designed to enable the transition of agriculture towards carbon neutrality, announced today its unaudited consolidated financial results for the three-month period and fiscal year ended June 30, 2020. Financial results are expressed in U.S. dollars and are presented in accordance with International Financial Reporting Standards. All comparisons in this announcement are year-over-year (“YoY”), unless noted otherwise.

Fiscal 4Q20 and Full-Year Financial and Business Highlights

• Comparable Revenues up 46%, driven by higher international sales of adjuvants, biofungicides, inoculants and seed treatment packs, as well as strong micro-beaded fertilizer sales in Argentina. Comparable Revenues grew 17% in FY20 to $174.2 million.
• Adjusted EBITDA increased 67% to $14.7 million, with adjusted EBITDA margin expanding to 30.5% from 17.6%, reflecting higher sales, a more profitable product mix, and lower SG&A expenses. In FY20, Adjusted EBITDA grew 13% to $46.5 million, an expansion of 113 basis points to 26.9%.
• On June 15th, Bioceres’ subsidiary Rizobacter Argentina S.A. (“Rizobacter”) issued $15 million of Series III corporate bonds maturing December 18, 2021 and paying an annual nominal interest rate of 4.73%.
• Net Debt-to-LTM EBITDA declined to 1.98x from 2.24x a year ago, while Cash & Cash Equivalents increased to $56.0 million from $7.8 million at the beginning of the period.
• Inventory ramp-up of HB4® soybean varieties remains on track, with more than 20,000 hectares currently reserved for planting during the upcoming season in the Southern Cone, compared to 3,000 hectares during the same period last year.
• In preparation for the commercial launch of HB4® drought-tolerant wheat varieties, Bioceres has planted approximately 7,000 hectares to ramp up seed inventories, following 400 hectares planted in the fourth quarter of 2019.
• Subsequent to the quarter´s end, the Company successfully and cost effectively removed all 24.2 million outstanding Warrants from its capital structure, with 90% of holders electing to tender their warrants and 99% of these holders choosing to receive Bioceres shares in exchange. Following the transaction, Bioceres total outstanding shares increased 7% to 38.7 million shares.

• Bioceres’ Business Continuity and Crisis committees continue to closely monitor developments surrounding the COVID-19 pandemic, while overseeing and coordinating health and safety measures required to comply with emerging regulations and to safeguard employees, customers and communities, allowing the Company to continue operating normally and with no supply chain disruptions, to date.

Commenting on the Company’s results,Mr.Federico Trucco, Chief Executive Officer of Bioceres, said,“Today’s financial and operating results reflect the hard work of our more than 400 team members, the commitment of our customers and partners in the 31 countries where our products are sold, the resiliency of our organization, and the effectiveness of our growth strategy. In a year when growers’ incomes were under pressure, economic conditions in our key markets had deteriorated, and we witnessed one of the most dramatic disruptions to our lives, due to COVID-19, being able to say that we achieved our initial growth and profitability objectives while significantly strengthening our balance sheet fills me with enormous pride. At the same time, we advanced our HB4 Program from hundreds of hectares to many thousands, further validating the value of this technology to key stakeholders. We maintained a strong focus on execution while staying alert to changing conditions in the financial markets and quickly seizing opportunities, such as issuing lower-cost debt and removing the overhang of Bioceres’ outstanding warrants in a cost-effective way. Without doubt, we are a stronger organization today than one year ago, by almost any measure, and our confidence in achieving our growth objectives is as strong as ever.”

Mr. Enrique Lopez Lecube, Chief Financial Officer of Bioceres said, “The fourth quarter marked our third successful capital raise in fiscal 2020, during which we added a total of $65 million of funding to accelerate our timetable for commercially launching HB4 as well as further penetrate international markets with our other next generation agricultural inputs. Furthermore, with the recent issuance of $17 million of bonds at zero percent interest that took place subsequently to the end of fiscal 2020, we have continued making considerable progress toward substantially lowering Bioceres’ financing costs, while extending debt maturities and increasing our financial flexibility. And in August we were able to effectively withdraw all our outstanding warrants, eliminating uncertainty about how these instruments could affect our future capital structure. The market transactions we completed this fiscal year were particularly gratifying given the complex and challenging economic conditions that have prevailed since February.”

>> REVIEW OF FISCAL FOURTH QUARTER 2020 FINANCIAL RESULTS

Website: http://www.bioceres.com.ar

Published: September 11, 2020