Denomination: Cresud Sociedad Anónima, Comercial, Inmobiliaria, Financiera y Agropecuaria
Fiscal year N°: 92, beginning on July 1, 2024
Legal address: Carlos Della Paolera 261, 9rd floor – Autonomous City of Buenos Aires, Argentina
Company activity: Real estate and agricultural activities
Date of registration of the by-laws in the Public Registry of Commerce: February 19, 1937
Date of registration of last amendment of the by-laws in the Public Registry of Commerce: Ordinary and Extraordinary General Assembly of October 28, 2022 registered in the General Inspection of Justice on December 5, 2022 under Number 22602 of Book 110 T- of Stock Companies.
Expiration of Company charter: June 6, 2082
Registration number with the Supervisory Board of Companies: 26, folio 2, book 45, Stock Companies
Stock: 603,140,435 common shares
Common stock subscribed, issued and paid up nominal value (millions of ARS): 603
Control Group: Eduardo S. Elsztain directly and through Inversiones Financieras del Sur S.A., Consultores Venture Capital Uruguay S.A. and Consultores Asset Management S.A..
Legal addresses: Bolívar 108, 1st floor, Autonomous City of Buenos Aires, Argentina (Eduardo S. Elsztain) - Road 8, km 17,500, Zonamérica Building 1, store 106, Montevideo, Uruguay (IFISA) - Road 8, km 17,500, Zonamérica Building 1, store 106, Montevideo, Uruguay (Consultores Venture Capital Uruguay S.A.) - Bolívar 108, 1st floor, Autonomous City of Buenos Aires, Argentina (Consultores Asset Management S.A.).
Parent companies' activity: Investment
Direct and indirect participation of the Control Group over the capital: 230,771,688 shares
Voting stock (direct and indirect equity interest): 38.67% (*)
Type of stock	CAPITAL STATUS
	Authorized to be offered publicly (Shares)	Subscribed, Issued and Paid-in (millions of ARS)
Ordinary certified shares of ARS 1 face value and 1 vote each	603,140,435 (**)	603
(*) For computation purposes, treasury shares have been subtracted.
(**) Company not included in the Optional Statutory System of Public Offer of Compulsory Acquisition.

 

 

 

Glossary of terms	1
Unaudited Condensed Interim Consolidated Statements of Financial Position	2
Unaudited Condensed Interim Consolidated Statements of Income and Other Comprehensive Income	3
Unaudited Condensed Interim Consolidated Statements of Changes in Shareholders' Equity	4
Unaudited Condensed Interim Consolidated Statements of Cash Flows	6
Notes to the Unaudited Condensed Interim Consolidated Financial Statements:
Note 1 - The Group's business and general information	7
Note 2 - Summary of significant accounting policies	7
Note 3 - Seasonal effects on operations	8
Note 4 - Acquisitions and disposals	9
Note 5 - Financial risk management and fair value estimates	11
Note 6 - Segment information	12
Note 7 - Investments in associates and joint ventures	16
Note 8 - Investment properties	17
Note 9 - Property, plant and equipment	18
Note 10 - Trading properties	19
Note 11 - Intangible assets	19
Note 12 - Right-of-use assets and lease liabilities	19
Note 13 - Biological assets	20
Note 14 - Inventories	21
Note 15 - Financial instruments by category	21
Note 16 - Trade and other receivables	23
Note 17 - Cash flow and cash equivalents information	24
Note 18 - Trade and other payables	25
Note 19 - Provisions	25
Note 20 - Borrowings	26
Note 21 - Taxation	28
Note 22 - Revenues	29
Note 23 - Costs	29
Note 24 - Expenses by nature	29
Note 25 - Other operating results, net	30
Note 26 - Financial results, net	30
Note 27 - Related parties transactions	30
Note 28 - CNV General Resolution N° 622	32
Note 29 - Cost of sales and services provided	32
Note 30 - Foreign currency assets and liabilities	33
Note 31 - Other relevant events of the period	34
Note 32 - Subsequent Events	36

 

 

 

The following are not technical definitions but help the reader to understand certain terms used in the wording of the notes to the Group’s Financial Statements.

 

Terms		Definitions
ARCOS		Arcos del Gourmet S.A.
BACS		Banco de Crédito y Securitización S.A.
BHSA		Banco Hipotecario S.A.
CAMSA		Consultores Assets Management S.A.
CNV		Securities Exchange Commission (Argentina)
CODM		Chief operating decision maker
Cresud, “the Company”, “us”		Cresud S.A.C.I.F. y A.
Financial Statements		Unaudited Condensed Interim Consolidated Financial Statements
EHSA		Entertainment Holdings S.A.
CPF		Collective Promotion Funds
GCDI		GCDI S.A.
IASB		International Accounting Standards Board
IDBD		IDB Development Corporation Ltd.
IFISA		Inversiones Financieras del Sur S.A.
IPC		Consumer's price index
IRSA		IRSA Inversiones y Representaciones S.A.
MEP		Electronic Payment Market
New Lipstick		New Lipstick LLC
IAS		International Accounting Standards
IFRS		International Financial Reporting Standards
NIS		New Israeli Shekel
Puerto Retiro		Puerto Retiro S.A.
Quality		Quality Invest S.A.
U.S.		United States
VAM		Vista al Muelle S.A.
Zetol		Zetol Ltd.

 

 

 

	Note	12.31.2024	06.30.2024
ASSETS
Non-current assets
Investment properties	8	1,918,764	2,120,192
Property, plant and equipment	9	572,743	618,361
Trading properties	10	22,110	23,660
Intangible assets	11	73,580	87,801
Group of assets held for sale		331	3,144
Right-of-use assets	12	101,611	96,889
Biological assets	13	37,258	33,948
Investment in associates and joint ventures	7	186,774	166,681
Deferred income tax assets	21	12,149	11,814
Income tax credit		27	17
Restricted assets	15	4,158	3,294
Trade and other receivables	16	158,452	171,624
Investment in financial assets	15	6,944	12,483
Derivative financial instruments	15	422	1,485
Total non-current assets		3,095,323	3,351,393
Current assets
Trading properties	10	355	499
Biological assets	13	109,624	70,602
Inventories	14	105,990	140,854
Income tax credit		1,819	2,785
Trade and other receivables	16	321,507	316,960
Investment in financial assets	15	213,249	176,978
Derivative financial instruments	15	9,531	8,145
Cash and cash equivalents	15	97,928	138,861
Total current assets		860,003	855,684
TOTAL ASSETS		3,955,326	4,207,077
SHAREHOLDERS’ EQUITY
Shareholders' equity (according to corresponding statement)		739,254	843,378
Non-controlling interest		920,622	1,051,029
TOTAL SHAREHOLDERS' EQUITY		1,659,876	1,894,407
LIABILITIES
Non-current liabilities
Trade and other payables	18	62,962	61,275
Borrowings	20	628,242	576,097
Deferred income tax liabilities	21	678,163	773,027
Provisions	19	26,382	26,142
Payroll and social security liabilities		119	1,621
Lease liabilities	12	75,723	74,184
Derivative financial instruments	15	5,644	3,747
Total non-current liabilities		1,477,235	1,516,093
Current liabilities
Trade and other payables	18	308,582	301,008
Borrowings	20	387,958	420,263
Provisions	19	5,035	5,564
Payroll and social security liabilities		23,104	24,452
Income tax liabilities		52,281	8,118
Lease liabilities	12	20,749	22,453
Derivative financial instruments	15	20,506	14,719
Total Current liabilities		818,215	796,577
TOTAL LIABILITIES		2,295,450	2,312,670
TOTAL SHAREHOLDERS' EQUITY AND LIABILITIES		3,955,326	4,207,077

 

 

 

		Six months		Three months
	Note	12.31.2024	12.31.2023	12.31.2024	12.31.2023
Revenues	22	449,163	445,859	204,472	220,463
Costs	23	(298,248)	(253,034)	(124,786)	(112,930)
Initial recognition and changes in the fair value of biological assets and agricultural products at the point of harvest		4,372	(821)	6,489	6,848
Changes in the net realizable value of agricultural products after harvest		(1,806)	15,077	(3,992)	9,726
Gross profit		153,481	207,081	82,183	124,107
Net (loss) / gain from fair value adjustment of investment properties	8	(227,858)	304,210	12,192	(32,722)
Gain from disposal of farmlands		23,726	9,196	-	9,104
General and administrative expenses	24	(47,279)	(35,287)	(25,752)	(27,593)
Selling expenses	24	(36,478)	(35,492)	(16,673)	(16,454)
Other operating results, net	25	(1,198)	11,998	(1,073)	1,425
Management fees		-	(12,277)	-	2,908
(Loss) / Profit from operations		(135,606)	449,429	50,877	60,775
Share of profit of associates and joint ventures	7	23,654	43,276	15,909	36,985
(Loss) / Profit before financial results and income tax		(111,952)	492,705	66,786	97,760
Finance income	26	3,350	18,864	(1,148)	10,395
Finance cost	26	(37,109)	(40,676)	(17,608)	(18,847)
Other financial results	26	93,090	(271,394)	35,770	(259,401)
Inflation adjustment	26	(34,418)	148,683	(26,955)	116,984
Financial results, net	26	24,913	(144,523)	(9,941)	(150,869)
(Loss) / Profit before income tax		(87,039)	348,182	56,845	(53,109)
Income tax	21	22,648	(82,064)	(43,055)	55,620
(Loss) / Profit for the period		(64,391)	266,118	13,790	2,511
Other comprehensive (loss) / income:
Items that may be reclassified subsequently to profit or loss:
Currency translation adjustment and other comprehensive results from subsidiaries and associates (i)		(85,410)	298,845	(65,504)	322,302
Revaluation surplus		277	2,299	7	863
Total other comprehensive (loss) / income for the period		(85,133)	301,144	(65,497)	323,165
Total comprehensive (loss) / income for the period		(149,524)	567,262	(51,707)	325,676
(Loss) / Profit for the period attributable to:
Equity holders of the parent		(61,541)	106,267	(18,804)	(29,859)
Non-controlling interest		(2,850)	159,851	32,594	32,370
Total comprehensive (loss) / income attributable to:
Equity holders of the parent		(92,161)	214,251	(42,516)	85,331
Non-controlling interest		(57,363)	353,011	(9,191)	240,345
(Loss) / Profit for the period per share attributable to equity holders of the parent (ii):
Basic		(103.27)	179.48	(31.55)	(49.68)
Diluted		(103.27) (iii)	152.23	(31.55) (iii)	(49.68) (iii)

 

 

 

 

	Attributable to equity holders of the parent
	Share capital
	Outstanding shares	Treasury shares	Inflation adjustment of share capital and treasury shares (i)	Warrants (ii)	Share premium	Additional paid-in capital from treasury shares	Legal reserve	Other reserves (iii)	Accumulated deficit	Subtotal	Non-controlling interest	Total Shareholders' equity
Balance as of June 30, 2024	594	2	246,894	22,381	325,047	(27,077)	33,259	186,799	55,479	843,378	1,051,029	1,894,407
Loss for the period	-	-	-	-	-	-	-	-	(61,541)	(61,541)	(2,850)	(64,391)
Other comprehensive loss for the period	-	-	-	-	-	-	-	(30,620)	-	(30,620)	(54,513)	(85,133)
Total comprehensive loss for the period	-	-	-	-	-	-	-	(30,620)	(61,541)	(92,161)	(57,363)	(149,524)
Assignment of results - Shareholders’ meeting	-	-	-	-	-	-	4,288	34,134	(38,422)	-	-	-
Repurchase of treasury shares	(5)	5	-	-	-	-	-	(6,517)	-	(6,517)	(7,495)	(14,012)
Reserve for share - based payments	-	-	-	-	-	(132)	-	135	-	3	112	115
Dividends distribution	-	-	-	-	-	-	-	-	(47,338)	(47,338)	(61,910)	(109,248)
Exercise of warrants (ii)	7	-	101	(1,285)	46,256	-	-	-	-	45,079	1,019	46,098
Changes in non-controlling interest	-	-	-	-	-	-	-	(10,907)	-	(10,907)	(4,899)	(15,806)
Other changes in shareholders' equity	-	-	-	-	-	-	-	7,717	-	7,717	-	7,717
Capitalization of irrevocable contributions	-	-	-	-	-	-	-	-	-	-	129	129
Balance as of December 31, 2024	596	7	246,995	21,096	371,303	(27,209)	37,547	180,741	(91,822)	739,254	920,622	1,659,876

 

(i) Includes ARS 1 of Inflation adjustment of treasury shares as of December 31, 2024. See Note 19 to the Annual Consolidated Financial Statements as of June 30, 2024.

(ii) As of December 31, 2024, the remaining warrants to exercise amount to 81,063,170. See Note 31 to these Financial Statements.

(iii) Group’s other reserves for the period ended December 31, 2024 are comprised as follows:

 

	Cost of treasury shares	Reserve for currency translation adjustment	Reserve for future dividends	Reserve for the acquisition of securities issued by the Company	Special reserve	Other reserves (i)	Total other reserves
Balance as of June 30, 2024	(3,360)	(8,893)	33,427	2,377	159,469	3,779	186,799
Other comprehensive (loss) / income for the period	-	(30,920)	-	-	-	300	(30,620)
Total comprehensive (loss) / income for the period	-	(30,920)	-	-	-	300	(30,620)
Assignment of results - Shareholders’ meeting	-	-	(33,427)	-	67,561	-	34,134
Repurchase of treasury shares	(6,517)	-	-	-	-	-	(6,517)
Changes in non-controlling interest	-	-	-	-	-	(10,907)	(10,907)
Reserve for share-based payments	134	-	-	-	-	1	135
Other changes in shareholders' equity	-	249	-	-	-	7,468	7,717
Balance as of December 31, 2024	(9,743)	(39,564)	-	2,377	227,030	641	180,741

 

 

 

 

 

	Attributable to equity holders of the parent
	Share capital
	Outstanding shares	Treasury shares	Inflation adjustment of share capital and treasury shares (i)	Warrants	Share premium	Additional paid-in capital from treasury shares	Legal reserve	Other reserves (ii)	Retained earnings	Subtotal	Non-controlling interest	Total Shareholders' equity
Balance as of June 30, 2023	586	7	246,850	22,979	305,480	(17,245)	23,620	202,710	151,228	936,215	1,224,585	2,160,800
Profit for the period	-	-	-	-	-	-	-	-	106,267	106,267	159,851	266,118
Other comprehensive income for the period	-	-	-	-	-	-	-	107,984	-	107,984	193,160	301,144
Total comprehensive income for the period	-	-	-	-	-	-	-	107,984	106,267	214,251	353,011	567,262
Assignment of results - Shareholders’ meeting	-	-	-	-	-	-	9,639	71,430	(81,069)	-	-	-
Issuance of shares	1	(1)	-	-	-	(1,639)	-	1,639	-	-	-	-
Repurchase of treasury shares	-	-	-	-	-	-	-	-	-	-	(5,485)	(5,485)
Reserve for share-based payments	-	-	-	-	-	(407)	-	(94)	-	(501)	(919)	(1,420)
Exercise of warrants	1	-	12	(165)	5,837	-	-	-	-	5,685	72	5,757
Changes in non-controlling interest	-	-	-	-	-	-	-	(9,776)	-	(9,776)	15,689	5,913
Dividends distribution	-	-	-	-	-	-	-	-	(111,708)	(111,708)	(133,704)	(245,412)
Other changes in shareholders' equity	-	-	-	-	-	-	-	5,419	(5,419)	-	-	-
Capitalization of irrevocable contributions	-	-	-	-	-	-	-	-	-	-	73	73
Integration of irrevocable contributions	-	-	-	-	-	-	-	-	-	-	427	427
Balance as of December 31, 2023	588	6	246,862	22,814	311,317	(19,291)	33,259	379,312	59,299	1,034,166	1,453,749	2,487,915

 

(i) Includes ARS 17 nof Inflation adjustment of treasury shares as of December 31, 2023. See Note 19 to the Annual Consolidated Financial Statements as of June 30, 2024.

(ii) Group’s other reserves for the period ended December 31, 2023 are comprised as follows:

 

	Cost of treasury shares	Reserve for currency translation adjustment	Reserve for future dividends	Reserve for the acquisition of securities issued by the Company	Special reserve	Other reserves (i)	Total other reserves
Balance as of June 30, 2023	(11,650)	26,775	-	2,377	154,050	31,158	202,710
Other comprehensive income for the period	-	106,250	-	-	-	1,734	107,984
Total comprehensive income for the period	-	106,250	-	-	-	1,734	107,984
Assignment of results - Shareholders’ meeting	-	-	71,430	-	-	-	71,430
Issuance of shares	1,639	-	-	-	-	-	1,639
Changes in non-controlling interest	-	-	-	-	-	(9,776)	(9,776)
Reserve for share-based payments	416	-	-	-	-	(510)	(94)
Other changes in shareholders' equity	-	-	-	-	5,419	-	5,419
Balance as of December 31, 2023	(9,595)	133,025	71,430	2,377	159,469	22,606	379,312

 

 

 

 

 

	Note	12.31.2024	12.31.2023
Operating activities:
Net cash (used in) / generated from operating activities before income tax paid	17	(13,487)	112,684
Income tax paid		(6,884)	(6,487)
Net cash (used in) / generated from operating activities		(20,371)	106,197
Investing activities:
Proceeds from the sale of participation in associates and joint ventures		4,892	28,342
Capital contributions to associates and joint ventures		(31)	-
Acquisition and improvement of investment properties		(19,402)	(7,119)
Proceeds from sales of investment properties		6,545	43,004
Acquisitions and improvements of property, plant and equipment		(17,449)	(65,785)
Acquisition of intangible assets		(2,069)	(1,246)
Proceeds from sales of property, plant and equipment		16,995	58,611
Dividends collected from associates and joint ventures		-	534
Proceeds from loans granted		460	1,140
Acquisitions of investments in financial assets		(324,474)	(306,485)
Proceeds from disposal of investments in financial assets		265,248	354,426
Interest received from financial assets		6,042	12,606
Payments of derivative financial instruments		966	189
Net cash (used in) / generated from investing activities		(62,277)	118,217
Financing activities:
Borrowings, issuance and new placement of non-convertible notes		226,476	131,949
Payment of borrowings and non-convertible notes		(85,369)	(149,512)
(Payment) / Obtaining of short term loans, net		(973)	65,208
Interest paid		(46,819)	(89,496)
Capital contributions from non-controlling interest in subsidiaries		129	500
Lease liabilities paid		(2,278)	(157)
Repurchase of treasury shares		(14,012)	(5,485)
Dividends paid		(58,060)	(203,737)
Exercise of warrants		46,098	5,757
Repurchase of non-convertible notes		(24,854)	-
Net cash generated from / (used in) financing activities		40,338	(244,973)
Net decrease in cash and cash equivalents		(42,310)	(20,559)
Cash and cash equivalents at the beginning of the period	15	138,861	175,230
Foreign exchange gain on cash and unrealized fair value result for cash equivalents		7,598	56,697
Inflation adjustment		(6,221)	10,302
Cash and cash equivalents at the end of the period	15	97,928	221,670

 

 

 

 

Cresud was founded in 1936 as a subsidiary of Credit Foncier, a Belgian company primarily engaged in providing rural and urban loans in Argentina and administering real estate holdings foreclosed by Credit Foncier. Credit Foncier was liquidated in 1959, and as part of such liquidation, the shares of Cresud were distributed to Credit Foncier’s shareholders. From the 1960s through the end of the 1970s, the business of Cresud shifted exclusively to agricultural activities.

 

In 2002, Cresud acquired a 19.85% interest in IRSA, a real estate company related to certain shareholders of Cresud. In 2009, Cresud increased its ownership percentage in IRSA to 55.64% and IRSA became Cresud’s direct principal subsidiary.

 

Cresud and its subsidiaries are collectively referred to hereinafter as the Group.

 

Main shareholders´ of the Company are jointly Inversiones Financieras del Sur S.A., Agroinvestment S.A and Consultores Venture Capital Uruguay S.A. This entities are companies incorporated in Uruguay and belong to the same controlling group and the ultimate beneficiary is Eduardo S. Elsztain.

 

The Board of Directors has approved these Financial Statements for issuance on February 10, 2025.

 

As of December 31, 2024, the Group operates in two major business lines: (i) agricultural business and (ii) urban property and investment business.

 

 

 

These financial statements have been prepared in accordance with IAS 34 “Interim financial reporting” and should therefore be read in conjunction with the Group's annual Consolidated Financial Statements as of June 30, 2024 prepared in accordance with IFRS Accounting Standards, issued by the IASB. Also, these financial statements include additional information required by Law No. 19,550 and / or regulations of the CNV. Such information is included in the notes to these financial statements, as accepted by IFRS Accounting Standards.

 

These financial statements as of December 31, 2024 and for the interim periods of six months ended December 31, 2024 and 2023 have not been audited. Management considers that they include all the necessary adjustments to fairly state the results of each period. Interim period results do not necessarily reflect the proportion of the Group's results for the entire fiscal years.

 

IAS 29 "Financial Reporting in Hyperinflationary Economies" requires that the financial statements of an entity whose functional currency is one of a hyperinflationary economy be expressed in terms of the current unit of measurement at the closing date of the reporting period, regardless of whether they are based on the historical cost method or the current cost method. To do so, in general terms, the inflation produced from the date of acquisition or from the revaluation date, as applicable, must be calculated by non-monetary items. This requirement also includes the comparative information of the financial statements.

 

In order to conclude on whether an economy is categorized as highly inflationary in the terms of IAS 29, the standard details a series of factors to be considered, including the existence of an accumulated inflation rate in three years that approximates or exceeds 100%. Accumulated inflation in Argentina in three years is over 100%. For that reason, in accordance with IAS 29, Argentina must be considered a country with a highly inflationary economy starting July 1, 2018.

 

In relation to the inflation index to be used and in accordance with Argentine Federation of Professional Councils in Economic Sciences (FACPCE) Resolution No. 539/18, it is determined based on the Wholesale Price Index (IPIM) until 2016, considering the average variation of the Consumer Price Index (CPI) of the Autonomous City of Buenos Aires for the months of November and December 2015, because during those two months there were no national IPIM measurements. Then, from January 2017, the National Consumer Price Index (National CPI) is considered.

 

 

The table below presents the index for the period between the last fiscal year and as of December 31, 2024, and for the 12 month period ending on the same date, according to official statistics (INDEC) and following the guidelines described in Resolution 539/18.

 

	As of December 31, 2024 (six months)	As of December 31, 2024 (twelve months)
Price variation	21%	118%

 

As a consequence of the aforementioned, these financial statements as of December 31, 2024 were restated in accordance with IAS 29.

 

 

The accounting policies applied in the presentation of these Financial Statements are consistent with those applied in the preparation of the Annual Financial Statements, as described in Note 2 to those Financial Statements.

 

 

Balance items as of June 30, 2024 and December 31, 2023 presented in these Financial Statements for comparative purposes arise from the financial statements as of and for such periods, restated according to IAS 29 (See Note 2.1).

 

 

The preparation of Financial Statements at a certain date requires Management to make estimations and evaluations affecting the amount of assets and liabilities recorded and contingent assets and liabilities disclosed at such date, as well as income and expenses recorded during the period. Actual results might differ from the estimates and evaluations made at the date of preparation of these financial statements. In the preparation of these financial statements, the significant judgments made by Management in applying the Group’s accounting policies and the main sources of uncertainty were the same as the ones applied by the Group in the preparation of the Annual Financial Statements described in Note 3 to those Financial Statements.

 

 

 

Some of the Group’s businesses are more affected by seasonal effects than others. The operations of the Group’s agricultural business are subject to seasonal effects. The harvests and sale of grains in Argentina generally take place each year since June in the case of corn and soybean since March, since October in the case of wheat, and since December in the case of sunflower. In Brazil, the harvest and sale of soybean take place since February, and in the case of corn weather conditions make it possible to have two seasons, therefore the harvest take place between March and July. In Bolivia, weather conditions also make it possible to have two soybean, corn and sorghum seasons and, therefore, these crops are harvested in July and May, whereas wheat is harvested in August and September, respectively. In the case of sugarcane, harvest and sale take place between April and November of each year. Other segments of the agricultural business, such as beef cattle production tend to be more stable. However, beef cattle production is generally larger during the second quarter, when conditions are more favorable. As a result, there may be material fluctuations in the agricultural business results across quarters.

 

 

The operations of the Group’s shopping malls are subject to seasonal effects, which affect the level of sales recorded by lessees. During summertime in Argentina (January and February), the lessees of shopping malls experience the lowest sales levels in comparison with the winter holidays (July) and Christmas and year-end holidays celebrated in December, when they tend to record peaks of sales. Apparel stores generally change their collections during the spring and the fall, which impacts positively on shopping malls sales. Sale discounts at the end of each season also affect the business. As a consequence, for shopping mall operations, a higher level of business activity is expected in the period from July through December, compared to the period from January through June.

 

 

 

Significant acquisitions and disposals for the six-month period ended December 31, 2024 are detailed below. Significant acquisitions and disposals for the fiscal year ended June 30, 2024, are detailed in Note 4 to the Annual Financial Statements.

 

 

 

On May 20, 2024, BrasilAgro acquired Agrícola Nova Horizonte S.A., an agricultural company focused on grain production, with 4,767 hectares leased for 16 years, at an average price of 13 bags per hectare. This acquisition aligns with the Group’s strategy to expand its presence in the sector, increase market share, and optimize agricultural operations.

 

On August 6, 2024, after fulfilment of the conditions precedent, the closing agreement was signed and BrasilAgro assumed control of the operations. As of that date, the assets and liabilities of the acquired company will be consolidated.

 

The total value of the acquisition was BRL 6.2 million, as stipulated in the contract. The contract provided for a price adjustment to reflect the variation between June 30, 2024 and the date of the transaction, in accordance with the criteria previously established between the parties.

 

 

Sale of fraction of “Alto Taquari” farm - Brasilagro

 

On September 26, 2024, Brasilagro completed the sale of the remaining balance of 1,157 hectares of the Alto Taquari farm, a rural property located in the municipalities of Alto Taquari and Araputanga - Mato Grosso. The contract was signed on September 1, 2021 and established the transfer of possession in two stages, the first being on October 10, 2021.

 

The amount to be paid was set at 1,272,274 bags of soybeans, equivalent to BRL 189.4 million on the date of the transaction. The gain has been recognized during the current period.

 

Sale of fraction of “Rio do meio” farm – Brasilagro

 

On September 30, 2024, Brasilagro transferred 190 hectares due to the sale of the Rio do Meio farm, a rural property located in the municipality of Correntina-Bahia. The contract was signed on November 8, 2022 and established the transfer of ownership in four stages, this being the third, the deadline for the fourth and final transfer is set for July 2025.

 

The amount to be paid was set at 54,053 bags of soybeans, equivalent to BRL 7 million on the date of the transaction. The gain has been recognized during the current period.

 

 

On September 30, 2024, Cresud signed the transfer of ownership deed for the sale of a fraction of the farmland of the establishment called “Los Pozos” located in the province of Salta, with a total area of ​​3,630 hectares, leaving a remainder of approximately 231,700 hectares of said establishment in the hands of the Company. The total price was USD 2.23 million (USD/ha 614), of which USD 1.1 million have been collected to date. The remaining balance of USD 1.13 million, guaranteed with a mortgage on the property, will be collected in a single installment in September 2025.

 

 

 

 

 

On July 12, 2024, the payment of the installments for the purchase of shares in Zetol, corresponding to Towers 3 and 4, was completed for a total amount of USD 8.9 million, including units, parking spaces, and credits in favor of VAM and Zetol for Towers 1 and 2.

 

 

 

On August 1, 2024, IRSA acquired a property adjacent to its Alto Avellaneda shopping mall, located at Gral. Güemes 861, Avellaneda, Province of Buenos Aires.

 

The property has a total area of 86,861 square meters and a built-up area of 32,660 square meters, with potential for future expansion.

 

The purchase price was set at USD 12.2 million, of which USD 9.2 million has already been paid, and the remaining USD 3 million will be settled upon the transfer of the title deed, which will be granted within 3 years from the signing of the preliminary sales agreement. The transaction includes the assignment to IRSA of the existing lease agreements until their original expiration and the signing of a new lease agreement with the supermarket for 3 years.

 

 

 

On September 11, 2024, IRSA and Centro de Entretenimiento La Plata S.A. (CELAP) Boards of Directors approved the prior merger agreement between both companies and the corresponding special financial statements as of June 30, 2024, initiating the corporate reorganization process under the terms of art. 82 et seq. of the General Law of Companies. The merger process has particular characteristics given that IRSA is included in the public offering regime, reason why, not only apply the current provisions of the General Law of Companies but also the procedures established regarding reorganization of companies of the Regulations of the CNV and the markets, both national and foreign, where its shares are listed.

 

The merger was carried out in order to streamline the technical, administrative, operational and economic resources of both Companies.

 

On October 14 and 28, 2024, the Shareholders' Meetings of IRSA and CELAP, respectively, were held, approving the merger by absorption, whose effective date was established on July 1, 2024. As of that date, the transfer to the absorbent of the totality of the equity of the absorbed company, thereby incorporating all its rights and obligations, assets and liabilities into the equity of the absorbing company.

 

Likewise, and in accordance with the prior merger agreement, there is no exchange ratio, since IRSA, in its capacity as the controlling company of CELAP with a 100% share, does not receive its own shares given that its holding in CELAP already it is incorporated into its equity.

 

 

On October 15, 2024, IRSA sold a floor of the “261 Della Paolera” tower located in the Catalinas district of the Autonomous City of Buenos Aires for a total leasable area of approximately 1,197 square meters and 8 parking lots located in the building.

 

 

The transaction price was approximately USD 7.1 million (MEP) (See Note 8) (USD/ square meters 6,000), of which USD 6.0 million has already been paid and the balance of USD 1.1 million, granted with a mortgage, will be paid in 24 monthly installments accruing an interest rate of 8% annually.

 

After this operation, IRSA retains ownership of 3 floors of the building with an approximate leasable area of 3,670 square meters in addition to parking lots and other complementary spaces.

 

 

On December 3, 2024, IRSA signed an agreement to acquire the business assets of the “Terrazas de Mayo” shopping mall located at the intersection of routes 8 and 202, in front of Campo de Mayo, in the Malvinas Argentinas district, in the northwest of Greater Buenos Aires. The shopping mall has 86 stores, 20 stands and a built-up area of 33,700 square meters, which includes 15 gastronomic stores and 10 movie theaters.

 

The amount of the operation was set at USD 27.75 million, of which 60% was paid at the time of signing the bill with possession, 20% will be paid at the time of signing the final deed and 20% remaining 36 months from the signing of the deed. Implicit interests have been segregated for a total of USD 1.8 million.

 

 

These Financial Statements do not include all the information and disclosures on financial risk management; therefore, they should be read along with Note 5 to the Annual Financial Statements. There have been no changes in risk management or risk management policies applied by the Group since year-end.

 

From June 30, 2024 and up to the date of issuance of these Financial Statements, there have been no significant changes in business or economic circumstances affecting the fair value of the Group's assets or liabilities, (either measured at fair value or amortized cost).

 

 

As explained in Note 6 to the Annual Consolidated Financial Statements, segment information is reported from the perspective of products and services: (i) agricultural business and (ii) urban properties and investment business.

 

Below is a summary of the Group’s operating segments and a reconciliation between the operating income according to segment information and the operating income of the Statement of Income and Other Comprehensive Income of the Group for the six-month periods ended December 31, 2024 and 2023:

 

	12.31.2024
	Agricultural business (I)	Urban Properties and Investment business (II)	Total segment information	Joint ventures (i)	Adjustments (ii)	Elimination of inter-segment transactions and non-reportable assets / liabilities (iii)	Total Statement of Income and Other Comprehensive Income/ Financial Position
Revenues	238,715	170,141	408,856	(949)	42,949	(1,693)	449,163
Costs	(216,929)	(38,218)	(255,147)	88	(43,189)	-	(298,248)
Initial recognition and changes in the fair value of biological assets and agricultural products at the point of harvest	2,786	-	2,786	-	-	1,586	4,372
Changes in the net realizable value of agricultural products after harvest	(1,806)	-	(1,806)	-	-	-	(1,806)
Gross profit / (loss)	22,766	131,923	154,689	(861)	(240)	(107)	153,481
Net (loss) / gain from fair value adjustment of investment properties	(646)	(226,998)	(227,644)	(214)	-	-	(227,858)
Gain from disposal of farmlands	23,726	-	23,726	-	-	-	23,726
General and administrative expenses	(19,033)	(28,498)	(47,531)	158	-	94	(47,279)
Selling expenses	(26,799)	(9,747)	(36,546)	59	-	9	(36,478)
Other operating results, net	8,415	(9,723)	(1,308)	(8)	135	(17)	(1,198)
Profit / (loss) from operations	8,429	(143,043)	(134,614)	(866)	(105)	(21)	(135,606)
Share of (loss) / profit of associates and joint ventures	(1,123)	24,061	22,938	716	-	-	23,654
Segment profit / (loss)	7,306	(118,982)	(111,676)	(150)	(105)	(21)	(111,952)
Reportable assets	827,875	2,178,927	3,006,802	907	-	947,617	3,955,326
Reportable liabilities (*)	-	-	-	-	-	(2,295,450)	(2,295,450)
Net reportable assets	827,875	2,178,927	3,006,802	907	-	(1,347,833)	1,659,876

 

 

 

Below is a summarized analysis of the lines of business of the Group for the period ended December 31, 2023:

 

	12.31.2023
	Agricultural business (I)	Urban Properties and Investment business (II)	Total segment information	Joint ventures (i)	Adjustments (ii)	Elimination of inter-segment transactions and non-reportable assets / liabilities (iii)	Total Statement of Income and Other Comprehensive Income/ Financial Position
Revenues	225,523	183,583	409,106	(997)	38,350	(600)	445,859
Costs	(181,614)	(32,373)	(213,987)	122	(39,169)	-	(253,034)
Initial recognition and changes in the fair value of biological assets and agricultural products at the point of harvest	(1,398)	-	(1,398)	-	-	577	(821)
Changes in the net realizable value of agricultural products after harvest	15,077	-	15,077	-	-	-	15,077
Gross profit	57,588	151,210	208,798	(875)	(819)	(23)	207,081
Net gain from fair value adjustment of investment properties	2,079	304,614	306,693	(2,483)	-	-	304,210
Gain from disposal of farmlands	9,196	-	9,196	-	-	-	9,196
General and administrative expenses	(20,362)	(15,335)	(35,697)	118	-	292	(35,287)
Selling expenses	(22,907)	(12,549)	(35,456)	87	-	(123)	(35,492)
Other operating results, net	15,855	(4,011)	11,844	(15)	320	(151)	11,998
Management fees	-	-	-	-	(12,277)	-	(12,277)
Profit from operations	41,449	423,929	465,378	(3,168)	(12,776)	(5)	449,429
Share of (loss) / profit of associates and joint ventures	(117)	41,310	41,193	2,083	-	-	43,276
Segment profit	41,332	465,239	506,571	(1,085)	(12,776)	(5)	492,705
Reportable assets	1,362,035	3,107,162	4,469,197	8,042	-	1,388,732	5,865,971
Reportable liabilities (*)	-	-	-	-	-	(3,378,056)	(3,378,056)
Net reportable assets	1,362,035	3,107,162	4,469,197	8,042	-	(1,989,324)	2,487,915

 

 

 

The following tables present the reportable segments of the agriculture line of business:

 

	12.31.2024
	Agricultural production	Land transformation and sales	Corporate	Others	Total Agricultural business
Revenues	148,762	-	-	89,953	238,715
Costs	(124,728)	(134)	-	(92,067)	(216,929)
Initial recognition and changes in the fair value of biological assets and agricultural products at the point of harvest	2,786	-	-	-	2,786
Changes in the net realizable value of agricultural products after harvest	(1,806)	-	-	-	(1,806)
Gross profit / (loss)	25,014	(134)	-	(2,114)	22,766
Net loss from fair value adjustment of investment properties	-	(646)	-	-	(646)
Gain from disposal of farmlands	-	23,726	-	-	23,726
General and administrative expenses	(10,763)	(37)	(2,617)	(5,616)	(19,033)
Selling expenses	(16,248)	(753)	-	(9,798)	(26,799)
Other operating results, net	(1,670)	8,932	-	1,153	8,415
(Loss) / profit from operations	(3,667)	31,088	(2,617)	(16,375)	8,429
Share of loss of associates and joint ventures	(316)	-	-	(807)	(1,123)
Segment (loss) / profit	(3,983)	31,088	(2,617)	(17,182)	7,306
Investment properties	-	65,161	-	-	65,161
Property, plant and equipment	496,554	1,532	-	3,641	501,727
Investments in associates and joint ventures	7,796	-	-	588	8,384
Other reportable assets	181,060	331	-	71,212	252,603
Reportable assets	685,410	67,024	-	75,441	827,875

 

 

	12.31.2023
	Agricultural production	Land transformation and sales	Corporate	Others	Total Agricultural business
Revenues	153,519	-	-	72,004	225,523
Costs	(137,004)	(144)	-	(44,466)	(181,614)
Initial recognition and changes in the fair value of biological assets and agricultural products at the point of harvest	(1,398)	-	-	-	(1,398)
Changes in the net realizable value of agricultural products after harvest	15,077	-	-	-	15,077
Gross profit / (loss)	30,194	(144)	-	27,538	57,588
Net gain from fair value adjustment of investment properties	-	2,079	-	-	2,079
Gain from disposal of farmlands	-	9,196	-	-	9,196
General and administrative expenses	(11,266)	(35)	(2,633)	(6,428)	(20,362)
Selling expenses	(16,280)	(85)	-	(6,542)	(22,907)
Other operating results, net	658	12,140	-	3,057	15,855
Profit / (loss) from operations	3,306	23,151	(2,633)	17,625	41,449
Share of profit / (loss) of associates and joint ventures	2,177	-	-	(2,294)	(117)
Segment profit / (loss)	5,483	23,151	(2,633)	15,331	41,332
Investment properties	-	144,310	-	-	144,310
Property, plant and equipment	825,016	1,522	-	4,671	831,209
Investments in associates and joint ventures	9,705	-	-	4,214	13,919
Other reportable assets	262,678	5,353	-	104,566	372,597
Reportable assets	1,097,399	151,185	-	113,451	1,362,035

 

 

 

Below is a summarized analysis of the lines of business of Group’s in the urban properties and investments line of business:

 

	12.31.2024
	Shopping Malls	Offices	Sales and developments	Hotels	Others	Total
Revenues	120,943	8,690	6,894	30,545	3,069	170,141
Costs	(8,461)	(634)	(8,187)	(19,169)	(1,767)	(38,218)
Gross profit / (loss)	112,482	8,056	(1,293)	11,376	1,302	131,923
Net gain / (loss) from fair value adjustment of investment properties (i)	119,242	(104,714)	(241,355)	-	(171)	(226,998)
General and administrative expenses	(13,745)	(1,112)	(5,373)	(5,463)	(2,805)	(28,498)
Selling expenses	(5,435)	(224)	(1,031)	(2,357)	(700)	(9,747)
Other operating results, net	(280)	56	(11,586)	(296)	2,383	(9,723)
Profit / (Loss) from operations	212,264	(97,938)	(260,638)	3,260	9	(143,043)
Share of profit of associates and joint ventures	-	-	-	-	24,061	24,061
Segment profit / (loss)	212,264	(97,938)	(260,638)	3,260	24,070	(118,982)
Investment and trading properties	994,539	245,837	638,866	-	2,337	1,881,579
Property, plant and equipment	3,503	394	23,206	40,587	3,355	71,045
Investment in associates and joint ventures	-	-	-	-	171,650	171,650
Other reportable assets	1,761	1,541	48,077	601	2,673	54,653
Reportable assets	999,803	247,772	710,149	41,188	180,015	2,178,927

 

(i) For the six-month period ended December 31, 2024, the net loss from fair value adjustment of investment properties was ARS 226,998. The net impact of the values in pesos of our properties was mainly a consequence of the change in macroeconomic conditions:

 

 

 

 

 

Additionally, due to the impact of the inflation adjustment, ARS 144,967 were reclassified for shopping malls from “Net gain / loss) from fair value adjustment” to “Inflation Adjustment” in the Statement of Income and Other Comprehensive Income.

 

	12.31.2023
	Shopping Malls	Offices	Sales and developments	Hotels	Others	Total
Revenues	122,405	7,648	9,858	41,094	2,578	183,583
Costs	(6,335)	(618)	(5,355)	(18,314)	(1,751)	(32,373)
Gross profit	116,070	7,030	4,503	22,780	827	151,210
Net gain / (loss) from fair value adjustment of investment properties	331,033	1,015	(28,240)	-	806	304,614
General and administrative expenses	(14,100)	(1,350)	(5,601)	(5,954)	11,670	(15,335)
Selling expenses	(5,370)	(244)	(3,713)	(2,800)	(422)	(12,549)
Other operating results, net	(1,196)	(126)	(4,525)	(307)	2,143	(4,011)
Profit / (Loss) from operations	426,437	6,325	(37,576)	13,719	15,024	423,929
Share of profit of associates and joint ventures	-	-	-	-	41,310	41,310
Segment profit / (loss)	426,437	6,325	(37,576)	13,719	56,334	465,239
Investment and trading properties	1,163,618	483,597	1,147,982	-	5,034	2,800,231
Property, plant and equipment	2,659	479	23,107	35,060	3,907	65,212
Investment in associates and joint ventures	-	-	-	-	169,747	169,747
Other reportable assets	1,786	1,542	65,296	758	2,590	71,972
Reportable assets	1,168,063	485,618	1,236,385	35,818	181,278	3,107,162

 

 

 

Changes in the Group’s investments in associates and joint ventures for the six-month period ended December 31, 2024 and for the year ended June 30, 2024 were as follows:

 

	12.31.2024	06.30.2024
Beginning of the period / year	166,663	178,574
Share capital increase and contributions (Note 27)	31	-
Sale of interest in associates and joint ventures (Note 27)	(2,831)	(31,731)
Share of profit	23,654	39,921
Other comprehensive (loss) / income	(372)	795
Dividends (Note 27)	(2,390)	(20,896)
Increase of participation in associates (ii)	1,985	-
End of the period / year (i)	186,740	166,663

 

(i) As of December 31, 2024 and June 30, 2024 includes ARS (34) and ARS (18) respectively, reflecting interests in companies with negative equity, which were disclosed in “Provisions” (Note 19).

(ii) Corresponds to the participation in Challenger Gold Ltd.

 

Below is additional information about the principal Group’s main investments in associates and joint ventures:

 

	% ownership interest		Value of Group's interest in equity		Group's interest in comprehensive income
Name of the entity	12.31.2024	06.30.2024	12.31.2024	06.30.2024	12.31.2024	12.31.2023
New Lipstick	49.96%	49.96%	1,234	1,308	(75)	712
BHSA	29.21%	29.89%	137,603	125,724	14,710	27,930
BACS (1)	55.91%	56.35%	9,417	9,204	213	1,035
Nuevo Puerto Santa Fe S.A.	50.00%	50.00%	5,816	5,391	762	1,797
GCDI	27.39%	27.39%	4,575	1,558	3,017	(2,537)
La Rural S.A.	50.00%	50.00%	16,835	12,862	6,027	13,251
Agrouranga S.A.	34.86%	34.86%	6,276	6,443	(170)	1,191
Other associates and joint ventures	N/A	N/A	4,984	4,173	(1,202)	4,148
Total associates and joint ventures			186,740	166,663	23,282	47,527

 

				Last financial statement issued
Name of the entity	Location of business / Country of incorporation	Main activity	Common shares 1 vote	Share capital (nominal value)	(Loss)/ profit for the period	Shareholders' equity
New Lipstick	U.S.	Real estate	23,631,037	(*) 47	(*) (1)	(*) (49)
BHSA	Argentina	Financing	442,469,223	(**) 1,500	(**) 50,211	(**) 460,550
BACS (1)	Argentina	Financing	33,125,751	(**) 88	(**) 564	(**) 24,964
Nuevo Puerto Santa Fe S.A.	Argentina	Real estate	138,750	28	1,524	11,130
GCDI	Argentina	Real estate	250,729,447	915	11,318	16,702
La Rural S.A.	Argentina	Organization of events	714,998	1	12,196	33,393
Agrouranga S.A.	Argentina	Agriculture	2,532,206	7	(486)	3,024

 

(*) Amounts expressed in dollars under USGAAP.

(**) Information as of December 31, 2024 according to IFRS, pending issuance as of the date of these Financial Statements.

(1) Includes participation through BHSA, which owns a 62.28% stake in BACS.

 

 

There have been no changes to what was informed in Note 7 to the Annual Financial Statements as of June 30, 2024.

 

 

 

Changes in the Group’s investment properties for the six-month period ended December 31, 2024 and for the year ended June 30, 2024 were as follows:

 

	12.31.2024		06.30.2024
	Level 2	Level 3	Level 2	Level 3
Fair value at the beginning of the period / year	1,316,985	803,207	1,842,544	796,144
Additions	14,197	35,680	5,399	10,774
Disposals	(7,701)	(15)	(47,991)	-
Transfers	(3,459)	(1,336)	(49,480)	(8)
Net (loss) / gain from fair value adjustment	(356,419)	128,561	(418,612)	(3,749)
Additions of capitalized leasing costs	55	41	19	259
Amortization of capitalized leasing costs (i)	(59)	(111)	(163)	(213)
Currency translation adjustment	(10,862)	-	(14,731)	-
Fair value at the end of the period / year	952,737	966,027	1,316,985	803,207

 

(i) Amortization charges of capitalized leasing costs were included in “Costs” in the Statement of Income and Other Comprehensive Income (Note 24).

 

The following is the balance by type of investment property of the Group as of December 31, 2024 and June 30, 2024:

 

	12.31.2024	06.30.2024
Leased out farmland	65,160	78,156
Offices and other rental properties	265,163	386,174
Shopping malls (i)	982,785	830,951
Undeveloped parcels of land	603,220	822,424
Properties under development	2,436	2,487
Total	1,918,764	2,120,192

 

 

The following amounts have been recognized in the Statement of Income and Other Comprehensive Income:

 

	12.31.2024	12.31.2023
Revenues	178,168	177,484
Direct operating expenses	(56,835)	(52,537)
Development expenses	(6,282)	(891)
Net unrealized (loss) / gain from fair value adjustment of investment property (i)	(230,596)	273,392
Net realized gain from fair value adjustment of investment property (ii)	2,738	30,818

 

(i) It includes the result from changes in the fair value of those investment properties that are in the portfolio and have not yet been sold. It has been generated in accordance with what is described in the section called "valuation techniques" in Note 9 to the Annual Consolidated Financial Statements as of June 30, 2024, mainly affected by the macroeconomic effects of inflation and changes in the reference exchange rates mentioned therein.

(ii) As of December 31, 2024 corresponds (ARS 4,644) to the realized result from fair value adjustment for the period ((ARS 4,639) for the sale of floors in the “261 Della Paolera” building and (ARS 5) for the sale of parking spaces in Libertador 498) and ARS 7,382 for realized result from fair value adjustment made in previous years (ARS 7,316 for the sale of floors in the “261 Della Paolera” building and ARS 66 for the sale of parking spaces in Libertador 498). As of December 31, 2023 corresponds (ARS 20,165) to the realized result from fair value adjustment for the period ((ARS 22,131) for the Ezpeleta land plot barter agreement, ARS 8,959 for the sale of floors in the “261 Della Paolera” building, (ARS 6,982) for the sale of Maple Building and (ARS 11) for the sale of parking spaces in Libertador 498) and ARS 50,983 for realized result from fair value adjustment made in previous years (ARS 24,093 for the Ezpeleta land plot barter agreement, ARS 17,983 for the sale of floors in the “261 Della Paolera” building, ARS 8,661 for the sale of Maple Building and ARS 246 for the sale of parking spaces in Libertador 498).

 

Valuation techniques are described in Note 9 to the Annual Financial Statements. There were no changes to such techniques.

 

 

On December 21, 2021, it was published the law from Buenos Aires City congress approving the Regulations for the development of the property of approximately 70 hectares, owned by the Company since 1997, previously known as "Solares de Santa María", located in front of the Río de la Plata in the South Coast of the Autonomous City of Buenos Aires, southeast of Puerto Madero. The published law grants a New Standard, designated: "U73 - Public Park and Costa Urbana Urbanization", which enables the combination of diverse uses such as homes, offices, retail, services, public spaces, education, and entertainment.

 

 

 

The Company will have a construction capacity of 866,806 sqm, which will drive growth for the coming years through the development of mixed-use projects.

 

IRSA agreed to give in 50.8 hectares for public use, which represents approximately 71% of the total area of the property to the development of public green spaces, pedestrian streets, roadways and will contribute with six additional lots of the property, two for the Sustainable Urban Development Fund (FODUS, by its acronym in Spanish) and one for the Innovation Trust, Science and Technology of the Government of the Autonomous City of Buenos Aires, and the sum of USD 2 million in cash and the amount of 3,000,000 sovereign bonds (AL35) which have already been paid.

 

Likewise, IRSA will be in charge of the infrastructure and road works on the property and will carry out the public space works contributing up to USD 40 million together with the maintenance of the public spaces assigned for 10 years or until the sum of USD 10 million is completed.

 

On March 2023, Mensura was approved with a proposal for subdivision, fractioning, transfer of streets and public space. On November 15, 2023 the 3 plots were deeded in favor of the Government of the Autonomous City of Buenos Aires as well as the Public Park lot, and the 61 IRSA´s lots were created, receiving the parcel ballots corresponding to those 61 private plots on May 22, 2024.

 

As of December 31, 2024, the Project Management has been contracted, and the bidding process is underway, with offers received, for the Earthworks, Sheet Piling, Infrastructure and Roadway Works of Stage I (which includes the first phase of the public park comprising the central bay sector). As of the date of issuance of these Unaudited Condensed Interim Consolidated Financial Statements, the Certificate of Environmental Aptitude of Stage I has already been obtained after the Environmental Public Hearing enabling the development of the Stage I works.

 

“Ramblas del Plata” will change the landscape of Buenos Aires City, giving life to an undeveloped area and will be in an exceptional property due to its size, location and connectivity, providing the City the possibility of expanding and recovering access to the Río de la Plata coast with areas for walks, recreation, green spaces, public parks and mixed uses.

 

 

Changes in the Group’s property, plant and equipment for the six-month period ended December 31, 2024 and for the year ended June 30, 2024 were as follows:

 

	Owner occupied farmland	Bearer plant (iii)	Buildings and facilities	Machinery and equipment	Others (i)	12.31.2024	06.30.2024
Costs	555,365	56,761	136,970	52,002	29,961	831,059	840,462
Accumulated depreciation	(58,440)	(32,692)	(56,287)	(46,655)	(18,624)	(212,698)	(185,408)
Net book amount at the beginning of the period / year	496,925	24,069	80,683	5,347	11,337	618,361	655,054
Additions	9,330	1,960	5,271	618	3,197	20,376	58,927
Incorporation by business combination	650	-	-	-	3,593	4,243	-
Disposals	(473)	-	(276)	-	(823)	(1,572)	(27,136)
Currency translation adjustment	(48,738)	(3,470)	(2,190)	(3)	(1,247)	(55,648)	(61,184)
Transfers	1,883	-	(1)	1,411	(196)	3,097	23,386
Transfers to assets held for sale	(350)	-	-	-	-	(350)	(3,396)
Depreciation charges (ii)	(4,326)	(4,169)	(2,958)	(1,137)	(3,174)	(15,764)	(27,290)
Balances at the end of the period / year	454,901	18,390	80,529	6,236	12,687	572,743	618,361
Costs	517,667	55,251	139,774	54,028	34,485	801,205	831,059
Accumulated depreciation	(62,766)	(36,861)	(59,245)	(47,792)	(21,798)	(228,462)	(212,698)
Net book amount at the end of the period / year	454,901	18,390	80,529	6,236	12,687	572,743	618,361

 

 

 

Changes in the Group’s trading properties for the six-month period ended December 31, 2024 and for the year ended June 30, 2024 were as follows:

 

	Completed properties	Properties under development	Undeveloped sites	12.31.2024	06.30.2024
Beginning of the period / year	2,586	10,840	10,733	24,159	27,808
Additions	-	374	418	792	1,102
Currency translation adjustment	-	(1,572)	-	(1,572)	(1,285)
Disposals	(447)	(465)	(2)	(914)	(3,466)
End of the period / year	2,139	9,177	11,149	22,465	24,159
Non-current				22,110	23,660
Current				355	499
Total				22,465	24,159

 

 

Changes in the Group’s intangible assets for the six-month period ended December 31, 2024 and for the year ended June 30, 2024 were as follows:

 

	Goodwill	Information systems and software	Future units to be received from barters and others	12.31.2024	06.30.2024
Costs	5,831	21,180	89,197	116,208	71,396
Accumulated amortization	-	(18,038)	(10,369)	(28,407)	(26,540)
Net book amount at the beginning of the period / year	5,831	3,142	78,828	87,801	44,856
Additions	3	2,066	691	2,760	12,173
Disposals	(12)	(56)	(5,594)	(5,662)	(287)
Impairment (ii)	-	-	(11,849)	(11,849)	-
Transfers	-	2,118	-	2,118	33,205
Currency translation adjustment	(92)	(164)	-	(256)	(279)
Amortization charges (i)	-	(1,183)	(149)	(1,332)	(1,867)
Balances at the end of the period / year	5,730	5,923	61,927	73,580	87,801
Costs	5,730	25,144	72,445	103,319	116,208
Accumulated amortization	-	(19,221)	(10,518)	(29,739)	(28,407)
Net book amount at the end of the period / year	5,730	5,923	61,927	73,580	87,801

 

As of the end of the current period, the value of these assets recorded at their inflation-adjusted cost is ARS 46,322, while the reference value in USD of these assets, converted into Argentine Pesos at the period-end exchange rate—considering this as the fair value less selling costs—amounts to ARS 34,473, resulting in an impairment of ARS 11,849. This situation is due to a temporary effect arising from the fact that, during the current period, the exchange rate variation was lower than the accumulated inflation for the same period.

The impairment charge has been recorded under "Other operating results, net" in the statement of income and other comprehensive income (Note 25).

 

 

The Group’s right-of-use assets as of December 31, 2024 and June 30, 2024 are the following:

 

	12.31.2024	06.30.2024
Farmland	89,274	78,872
Convention center	4,099	10,430
Offices, shopping malls and other buildings	5,000	5,453
Machinery and equipment	3,238	2,134
Right-of-use assets	101,611	96,889
Non-current	101,611	96,889
Total	101,611	96,889

 

 

 

The depreciation charge of the right of use assets is detailed below:

 

	12.31.2024	12.31.2023
Farmland	8,842	8,411
Convention center	403	341
Offices, shopping malls and other buildings	746	806
Machinery and equipment	595	394
Depreciation charge of right-of-use assets (i)	10,586	9,952

 

(I) As of December 31, 2024, the amortization charge has been allocated ARS 649 within "Costs", ARS 242 in "General and administrative expenses" and ARS 258 in “Selling expenses” in the Statement of Income and Other Comprehensive Income (Note 24), ARS 9,437 were capitalized as part of the cost of biological assets.

 

The Group’s lease liabilities as of December 31, 2024 and June 30, 2024 are the following:

 

	12.31.2024	06.30.2024
Farmland	91,376	82,304
Convention center	2,153	10,867
Offices, shopping malls and other buildings	2,943	3,466
Lease liabilities	96,472	96,637
Non-current	75,723	74,184
Current	20,749	22,453
Total	96,472	96,637

 

 

Changes in the Group’s biological assets and their allocation to the fair value hierarchy for the six-month period ended December 31, 2024 and for the year ended June 30, 2024 were as follows:

 

	Agricultural business
	Sown land-crops		Sugarcane fields	Breeding cattle and cattle for sale (i)	Other cattle (i)	Others	12.31.2024	06.30.2024
	Level 1	Level 3	Level 3	Level 2	Level 2	Level 1
Net book amount at the beginning of the period / year	18,808	16,707	23,394	44,819	347	475	104,550	126,007
Purchases	-	-	-	7,773	25	-	7,798	8,998
Transfers	(1,162)	1,162	-	-	-	-	-	-
Initial recognition and changes in the fair value of biological assets	-	(5,588)	5,870	3,459	453	-	4,194	7,072
Decrease due to harvest	-	(38,871)	(46,862)	-	-	-	(85,733)	(265,758)
Sales	-	-	-	(14,489)	-	-	(14,489)	(24,716)
Consumes	-	-	-	(46)	(1)	(52)	(99)	(222)
Costs for the period / year	23,020	71,657	40,660	13,334	-	142	148,813	301,275
Currency translation adjustment	(11,186)	(2,326)	(3,136)	(1,504)	-	-	(18,152)	(48,106)
Balances at the end of the period / year	29,480	42,741	19,926	53,346	824	565	146,882	104,550
Non-current (Production)	-	-	-	35,985	714	559	37,258	33,948
Current (Consumable)	29,480	42,741	19,926	17,361	110	6	109,624	70,602
Net book amount at the end of the period / year	29,480	42,741	19,926	53,346	824	565	146,882	104,550

 

 

During the six-month period ended December 31, 2024, there were no transfers between the fair value hierarchies. There were no reclassifications among their respective categories.

 

The fair value less estimated point of sale costs of agricultural produce at the point of harvest (which have been harvested during the period/year) amount to ARS (77,245) and ARS (193,546) for the six-month period ended December 31, 2024 and the year ended June 30, 2024, respectively.

 

See information on valuation processes used by the entity in Note 14 to the Annual Financial Statements.

 

 

As of December 31, 2024, and June 30, 2024, the better and maximum use of biological assets shall not significantly differ from the current use.

 

Capitalized cost of production as of December 31, 2024 and 2023 are as follows:

 

	12.31.2024	12.31.2023
Supplies and labors	112,599	121,374
Salaries, social security costs and other personnel expenses	6,315	7,581
Depreciation and amortization	21,116	18,721
Fees and payments for services	453	372
Maintenance, security, cleaning, repairs and others	892	1,079
Taxes, rates and contributions	194	136
Leases and service charges	77	85
Freights	1,501	718
Travelling, library expenses and stationery	868	871
Other expenses	4,656	7,040
	148,671	157,977

 

 

Breakdown of Group’s inventories as of December 31, 2024 and June 30, 2024 are as follows:

 

	12.31.2024	06.30.2024
Crops	33,701	63,316
Materials and supplies	70,442	75,489
Sugarcane	1,246	1,225
Agricultural inventories	105,389	140,030
Supplies for hotels	601	824
Total inventories	105,990	140,854

 

 

 

 

The present note shows the financial assets and financial liabilities by category of financial instrument and a reconciliation to the corresponding line in the Consolidated Statements of Financial Position, as appropriate. Financial assets and liabilities measured at fair value are assigned based on their different levels in the fair value hierarchy. For further information related to fair value hierarchy refer to Note 16 to the Annual Financial Statements.

 

Financial assets and financial liabilities as of December 31, 2024 are as follows:

 

 

		Financial assets at fair value through profit or loss
	Financial assets at amortized cost	Level 1	Level 2	Level 3	Subtotal financial assets	Non-financial assets	Total
December 31, 2024
Assets as per Statement of Financial Position
Trade and other receivables (excluding the allowance for doubtful accounts and other receivables) (Note 16)	323,849	45,874	-	-	369,723	115,345	485,068
Investment in financial assets:
- Public companies’ securities	91	21,433	-	-	21,524	-	21,524
- Bonds	-	96,268	-	-	96,268	-	96,268
- Mutual funds	-	93,399	-	-	93,399	-	93,399
- Others	4,030	4,972	-	-	9,002	-	9,002
Derivative financial instruments:
- Commodities options contracts	-	4,691	-	-	4,691	-	4,691
- Commodities futures contracts	-	1,798	-	-	1,798	-	1,798
- Foreign-currency options contracts	-	68	-	-	68	-	68
- Foreign-currency future contracts	-	376	-	-	376	-	376
- Swaps	-	-	1,542	-	1,542	-	1,542
- Warrants	-	-	-	1	1	-	1
- Others	-	1,477	-	-	1,477	-	1,477
Restricted assets (i)	4,158	-	-	-	4,158	-	4,158
Cash and cash equivalents (excluding bank overdrafts):
- Cash on hand and at bank	28,320	-	-	-	28,320	-	28,320
- Short-term investments	28,016	41,592	-	-	69,608	-	69,608
Total assets	388,464	311,948	1,542	1	701,955	115,345	817,300