FITCH PROJECTS RISING DEBT LEVELS FOR CS MILLS

摘要

Sugarcane processing companies in the Centre/South (CS) should report negative cash flows and increases in their leverage ratios for the 2018/19 season, said the director for the sugarcane sector at Fitch Ratings, Cláudio Miori, according to Valor Econ?mico. He said that this trend is also expected for the current 2019/20 season, which started on April 1. Low sugar prices, a fall in the CS sugarcane crush due to weather conditions, and volatility of the exchange rate impacted the financial results of the sugarcane industry in 2018/19. Companies that had stocked ethanol aiming to concentrate sales during the last offseason did not have the expected results, because the decrease in oil prices has impacted ethanol and gasoline prices in the domestic market. Sugarcane processors such as Jalles Machado, which decided to sell ethanol before the offseason, obtained better results, according to Mr Miori.