Brazilian apple producer-exporter Renar Maças made a net loss of R$23m (US$10.8m) in 2012, according to a press release from the company, following R$21.6m (US$10.2m) in losses during 2011.
Despite fourth-quarter net losses improving on the same period a year earlier to total R$1.9m (US$883,910), compared with US$3.6m in Q4 2011, the annual result marks a successive loss for the company.
Renar said in the statement that 2012 was marked by two major events – a volume shortfall as a result of inclement weather and an increase in average prices due to the group’s focus on selling high quality fruit during the second half of the year.
In 2012 the group said it marketed 49,600 tonnes of fruit, with the percentage of class one fruit rising by 24 per cent to 11,346 tonnes.
Renar said average prices for the fourth quarter rose 25 per cent to R$1.56 per kilogramme (US$0.73/kg), compared with the year-earlier period, thanks to the group’s strategy of focusing on selling during the second half of the year to maximise prices and improve profitability.
Total revenues in 2012 amounted to R$49.3m (US$23.2m), of which R$12.4m (US$5.8m) were from the fourth quarter of the year.
Although Renar said the result was offset partially by the improved pricing, revenues were still down 6 per cent on the R$52.5m (US$24.7m) recorded in 2011.
Earnings before interest, taxes, depreciation and amortization (EBITDA) during 2012 was negative by R$5.7m (US$2.7m), with Q4 EBITDA representing positive R$1.4m.
Renar claims to be a pioneer in the production and marketing of Brazilian apples. The company operates 5,500ha of orchards and has the capacity to pack and store 90,000 and 49,000 apples per year respectively.
For 2013 the company said it would continue to concentrate its production in lucrative areas and remove unprofitable orchards.
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