FORM 6-K
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Report of Foreign Issuer
Pursuant to Rule 13a-16 or 15d-16
of the Securities Exchange Act of 1934
For the month of November, 2014
Commission File Number: 1-33659
COSAN LIMITED
(Translation of registrant’s name into English)
Av. Juscelino Kubitschek, 1726 – 6th floor
São Paulo, SP 04543-000 Brazil
(Address of principal executive offices)
Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F:
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Form 20-F
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X
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Form 40-F
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Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1):
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Yes
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No
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X
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Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7):
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Yes
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No
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X
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COSAN LIMITED
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Item
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|
|
1.
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Earnings Release for 3rd Quarter of Fiscal Year 2014
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|
2.
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Cosan Limited consolidated interim financial statements at September 30, 2014 and report of independent registered public accounting firm
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Item 1
Net revenue grows 7.7% and pro forma EBITDA reaches R$1.1 billion in 3Q14
São Paulo, November 05, 2014 – COSAN LIMITED (NYSE: CZZ; BM&FBovespa: CZLT33) and COSAN S.A. INDÚSTRIA E COMÉRCIO (BM&FBovespa: CASAN3) announce today its results for the third quarter (3Q14) comprised of July, August and September 2014. The results are consolidated in accordance with the accounting principles adopted in Brazil and internationally (IFRS).
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Earnings Conference Call
Portuguese
November 06, 2014
08:00 (EST)
Phone: + 55 11 3193 1001
+ 55 11 2820 4001
Access Code: COSAN
English
November 06, 2014
09:00 (EST)
Phone (BR): + 55 11 3193 1001
+ 55 11 2820 4001
Phone (USA): +1 786 924 6977
Access Code: COSAN
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3Q14 Highlights
o Raízen Combustíveis’ EBITDA of R$546 million with 6% growth in volume sold compared to 3Q13
o Raízen Energia's EBITDA of R$631 million with margin of 27%
o Comgás reaches 2.2% growth volume in commercial customers with record number of connections
o Rumo’s operational efficiency ensures an elevation of 3.1 million tons of sugar in the quarter
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Investor Relationship
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3Q14
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3Q13
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Summary of Financial Information - Cosan Consolidated¹
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9M 14
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9M 13
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||
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Email: ri@cosan.com.br
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(Jul-Sep)
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(Jul-Sep)
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Amount in R$ MM
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(Jan-Sep)
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(Jan-Sep)
|
||
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Telephone: +55 11 3897 9797
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10,283.6
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9,547.9
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Net Revenue
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29,472.8
|
26,775.1
|
||
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Site: www.cosan.com.br/ri
|
|
1,235.7
|
1,404.6
|
Gross Profit
|
3,625.8
|
3,449.9
|
||
|
Fiscal Year Definitions:
3Q14 - quarter ended
September 30, 2014
3Q13 - quarter ended
September 30, 2013
YTD 14 - 9 months beginning
January 1, 2014 and closing
September 30, 2014
YTD 13 - 9 months beginning
January 1, 2013 and closing
September 30, 2013
|
|
12.0%
|
14.7%
|
Gross Margin (%)
|
12.3%
|
12.9%
|
||
|
|
561.0
|
719.3
|
Operating Profit
|
1,574.7
|
1,611.9
|
|||
|
|
1,061.3
|
1,202.7
|
EBITDA
|
2,969.1
|
2,941.8
|
|||
|
|
10.3%
|
12.6%
|
EBITDA Margin (%)
|
10.1%
|
11.0%
|
|||
|
|
(8.3)
|
(12.0)
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Equity Pick-up
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(23.2)
|
(14.7)
|
|||
|
|
99.2
|
317.6
|
Net Income before non-controlling Interest
|
624.1
|
294.5
|
|||
|
|
15.2
|
205.9
|
Net Income
|
375.5
|
31.5
|
|||
|
|
0.1%
|
2.2%
|
Net Margin (%)
|
1.3%
|
0.1%
|
|||
|
|
|
|
|
|
|
|||
|
|
588.9
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685.9
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CAPEX
|
2,038.9
|
2,103.5
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|||
|
|
11,488.6
|
9,892.1
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Proforma Net Debt (w/ preferred shareholders payable in subsidiaries)
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11,488.6
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9,892.1
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|||
|
|
|
13,970.2
|
13,268.1
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Shareholders' Equity and Minority Shareholders
|
13,970.2
|
13,268.1
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||
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|
|
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Note 1: Considering the consolidation of 50% of Raízen Combustíveis and Raízen Energia
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||||
1 of 47
 |
Earnings Release
3rd Quarter of Fiscal Year 2014
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A.
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Highlights and Business Units
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A.1
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Business Units
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The following is a specific section for each business unit, including their key operating data, and analyses of the results, from net revenue to EBITDA.
Our business units (reportable segments) are organized as follows:
|
o
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Raízen Combustíveis
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Fuels Distribution |
|
o
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Raízen Energia
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Sugar, Ethanol and Cogeneration
|
|
o
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Comgás
|
Natural Gas Distribution |
|
o
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Rumo
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Logistics Operations |
|
o
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Cosan Lubrificantes
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Lubricants, Base Oils and Specialties |
|
o
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Radar
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Investments in Agricultural Land |
|
o
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Other Business
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Corporate Structure and Other Investments |
2 of 47
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Earnings Release
3rd Quarter of Fiscal Year 2014
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A.2 Cosan Consolidated Result
For Cosan’s consolidated financial information, we considered 100% of the results of Comgás, Rumo, Cosan Lubrificantes, Radar and Other Businesses. From April 1, 2013, upon the adoption of IFRS 11, Raízen Energia and Raízen Combustíveis results are reported in the “Equity Pick-up” line, considering a proportionate interest (50%) in the result. Adjustments and Eliminations represent intercompany balances and transactions.
EBITDA reported herein complies with CVM Rule 527/12, published by the Brazilian Securities and Exchange Commission on October 4, 2012, and may differ from the amounts disclosed in previous periods due to equity accounting adjustment. Consequently, EBITDA now consists of operating profit before financial expenses, plus depreciation, amortization and equity pick-up.
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3Q14
|
3Q13
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|
EBITDA (Reconciliation ICVM 527)
|
9M 14
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9M 13
|
|
|
(Jul-Sep)
|
(Jul-Sep)
|
Chg. %
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Amounts in R$ MM
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(Jan-Sep)
|
(Jan-Sep)
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Chg. %
|
|
15.2
|
205.9
|
-92.6%
|
Net Income
|
375.5
|
31.5
|
n/a
|
|
(75.8)
|
(191.0)
|
-60.3%
|
(-) Equity Pick-up
|
(461.9)
|
(251.3)
|
83.8%
|
|
-
|
-
|
n/a
|
(-) Income from Discontinued Operations
|
-
|
3.4
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-100.%
|
|
80.5
|
108.1
|
-25.6%
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(+) Minority Shareholders
|
237.6
|
251.3
|
-5.4%
|
|
(15.9)
|
117.8
|
n/a
|
(+) Income Taxes
|
25.9
|
334.1
|
-92.3%
|
|
299.8
|
132.9
|
n/a
|
(+) Net Financial Expense (Revenue)
|
633.3
|
625.7
|
1.2%
|
|
172.9
|
153.4
|
12.7%
|
(+) Depreciation and Amortization
|
503.9
|
439.7
|
14.6%
|
|
476.8
|
527.1
|
-9.6%
|
EBITDA (before ICVM 527)
|
1,314.3
|
1,434.4
|
-8.4%
|
|
75.8
|
191.
|
-60.3%
|
(+) Equity Pick-up
|
461.9
|
251.3
|
83.8%
|
|
552.6
|
718.1
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-23.1%
|
EBITDA (after ICVM 527)
|
1,776.2
|
1,685.6
|
5.4%
|
|
-
|
-
|
n/a
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(+) Reclassification of Discontinued Operations2
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-
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(3.4)
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-100.%
|
|
552.6
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718.1
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-23.1%
|
Adjusted EBITDA (after ICVM 527)
|
1,776.2
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1,682.3
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5.6%
|
|
Note 2: Due to the disposal of the retail sugar trading business represented by Cosan Alimentos, the company reclassified this unit’s results to discontinued operations, as required by accounting rules IFRS5/CPC31 – Non-current Asset Held for Sale and Discontinued Operation.
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||||||
3 of 47
|
Earnings Release
3rd Quarter of Fiscal Year 2014
|
Below we report the results for 3Q14 for each business unit for all segments detailed above. All information reflects 100% of their financial performance, regardless of Cosan’s interest.
For the purposes of consolidated EBITDA reconciliation, the Adjustments and Eliminations column refers to the elimination of net incomes from businesses controlled by Cosan for consolidation purposes. The same adjustment applies when we consider Raízen’s results for EBITDA calculation. As a result of the spin-off executed on October 1st, 2014 find at the appendix of this report a table segregating the results of Cosan and Cosan Logistics.
|
Results by Business Unit
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Comgás
|
Rumo
|
Lubrificantes
|
Radar
|
Other
Businesses
|
Adjusts and Eliminations
|
Consolidated
|
Raízen Combustíveis
|
Raízen
Energia
|
50% Raízen
|
Adjusts and Eliminations
|
Consolidated
|
|
3Q14
|
||||||||||||
|
Net Revenue
|
1,643.7
|
261.3
|
429.9
|
27.3
|
0.0
|
-
|
2,362.3
|
14,333.9
|
2,331.3
|
(8,332.6)
|
(411.3)
|
10,283.6
|
|
Cost of Goods and Services
|
(1,148.9)
|
(180.7)
|
(333.0)
|
(6.9)
|
0.0
|
-
|
(1,669.5)
|
(13,621.9)
|
(1,957.4)
|
7,789.7
|
411.3
|
(9,047.9)
|
|
Gross Profit
|
494.8
|
80.6
|
96.9
|
20.4
|
0.0
|
-
|
692.8
|
711.9
|
373.9
|
(542.9)
|
-
|
1,235.7
|
|
Gross Margin(%)
|
30.1%
|
30.9%
|
22.5%
|
74.7%
|
n/a
|
n/a
|
29.3%
|
5.%
|
16.%
|
6.5%
|
-%
|
12.%
|
|
Selling Expenses
|
(165.1)
|
-
|
(64.5)
|
-
|
-
|
-
|
(229.7)
|
(299.9)
|
(146.0)
|
222.9
|
-
|
(452.6)
|
|
General and Administrative Expenses
|
(75.2)
|
(20.9)
|
(17.7)
|
(8.9)
|
(32.1)
|
-
|
(154.8)
|
(95.5)
|
(137.3)
|
116.4
|
-
|
(271.2)
|
|
Other Operating Revenues (Expenses)
|
(6.0)
|
1.0
|
0.4
|
18.8
|
(18.7)
|
-
|
(4.5)
|
83.8
|
23.3
|
(53.6)
|
-
|
49.1
|
|
Equity Pick-up
|
-
|
0.0
|
(1.5)
|
-
|
201.3
|
(124.0)
|
75.8
|
3.9
|
(12.9)
|
4.5
|
(79.6)
|
(8.3)
|
|
Depreciation and Amortization
|
128.9
|
25.7
|
17.3
|
0.2
|
0.9
|
-
|
172.9
|
141.9
|
529.5
|
(335.7)
|
-
|
508.6
|
|
EBITDA
|
377.4
|
86.4
|
30.9
|
30.5
|
151.4
|
(124.0)
|
552.6
|
546.2
|
630.5
|
(588.4)
|
(79.6)
|
1,061.3
|
|
EBITDA Margin (%)
|
23.%
|
33.1%
|
7.2%
|
n/a
|
n/a
|
n/a
|
23.4%
|
3.8%
|
27.%
|
7.1%
|
-%
|
10.3%
|
|
Financial income
|
(75.4)
|
(9.8)
|
27.4
|
(0.2)
|
(203.5)
|
3.1
|
(258.4)
|
(38.7)
|
(128.5)
|
83.6
|
(43.4)
|
(385.4)
|
|
Financial expense
|
27.2
|
6.5
|
1.7
|
1.8
|
17.3
|
(3.1)
|
51.4
|
23.3
|
106.5
|
(64.9)
|
43.4
|
159.7
|
|
Foreign exchange gain (losses), net
|
(80.9)
|
0.3
|
(46.0)
|
-
|
(82.8)
|
-
|
(209.3)
|
(68.1)
|
(266.8)
|
167.4
|
-
|
(376.8)
|
|
Derivatives
|
80.9
|
-
|
9.0
|
-
|
26.6
|
-
|
116.5
|
(3.3)
|
94.7
|
(45.7)
|
-
|
162.2
|
|
Income taxes expenses
|
(66.3)
|
(19.4)
|
(2.0)
|
(3.6)
|
107.1
|
-
|
15.9
|
(121.2)
|
63.1
|
29.0
|
-
|
(13.2)
|
|
Non-controlling interests
|
-
|
(0.5)
|
-
|
-
|
-
|
(80.0)
|
(80.5)
|
(7.1)
|
-
|
3.5
|
-
|
(84.0)
|
|
Profit (loss) for the period
|
134.1
|
37.8
|
3.7
|
28.3
|
15.2
|
(204.0)
|
15.2
|
189.1
|
(29.9)
|
(79.6)
|
(79.6)
|
15.2
|
|
|
||||||||||||
|
Results by Business Unit
|
Comgás
|
Rumo
|
Lubrificantes
|
Radar
|
Other
Businesses
|
Adjusts and Eliminations
|
Consolidated
|
Raízen Combustíveis
|
Raízen
Energia
|
50% Raízen
|
Adjusts and Eliminations
|
Consolidated
|
|
9M 14
|
||||||||||||
|
Net Revenue
|
4,777.5
|
659.7
|
1,202.1
|
126.1
|
0.1
|
-
|
6.765,4
|
41,029.7
|
6,622.5
|
(23,826.1)
|
(1,118.8)
|
29.472,8
|
|
Cost of Goods and Services
|
(3,309.2)
|
(432.8)
|
(938.1)
|
(55.3)
|
0.0
|
-
|
(4.735,3)
|
(39,029.5)
|
(5,431.2)
|
22,230.3
|
1,118.8
|
(25.846,9)
|
|
Gross Profit
|
1,468.4
|
226.9
|
264.0
|
70.8
|
0.1
|
-
|
2.030,1
|
2,000.2
|
1,191.3
|
(1,595.7)
|
-
|
3.625,8
|
|
Gross Margin(%)
|
30.7%
|
34.4%
|
22.%
|
56.1%
|
n/a
|
n/a
|
30.%
|
4.9%
|
18.%
|
6.7%
|
-%
|
12.3%
|
|
Selling Expenses
|
(473.9)
|
-
|
(186.7)
|
-
|
-
|
-
|
(660,6)
|
(884.9)
|
(426.9)
|
655.9
|
-
|
(1.316,5)
|
|
General and Administrative Expenses
|
(218.3)
|
(63.6)
|
(51.5)
|
(25.7)
|
(96.5)
|
-
|
(455,7)
|
(296.5)
|
(398.7)
|
347.6
|
-
|
(803,3)
|
|
Other Operating Revenues (Expenses)
|
(13.9)
|
(0.5)
|
0.6
|
63.6
|
(153.3)
|
-
|
(103,5)
|
262.3
|
82.0
|
(172.1)
|
-
|
68,6
|
|
Equity Pick-up
|
-
|
0.0
|
(4.8)
|
0.0
|
879.2
|
(412.5)
|
461,9
|
11.2
|
(28.8)
|
8.8
|
(476.3)
|
(23,2)
|
|
Depreciation and Amortization
|
376.7
|
70.4
|
53.6
|
0.7
|
2.5
|
-
|
503,9
|
403.2
|
1,423.9
|
(913.6)
|
-
|
1.417,5
|
|
EBITDA
|
1,138.9
|
233.2
|
75.2
|
109.4
|
632.0
|
(412.5)
|
1.776,2
|
1,495.6
|
1,842.8
|
(1,669.2)
|
(476.3)
|
2.969,1
|
|
EBITDA Margin (%)
|
23.8%
|
35.4%
|
6.3%
|
86.8%
|
n/a
|
n/a
|
26.3%
|
3.6%
|
27.8%
|
7.%
|
-%
|
10.1%
|
|
Financial income
|
(217.6)
|
(52.3)
|
62.6
|
(0.8)
|
(557.9)
|
9.2
|
(756,6)
|
(102.0)
|
(370.6)
|
236.3
|
(43.4)
|
(1.036,4)
|
|
Financial expense
|
65.7
|
28.6
|
3.3
|
7.7
|
76.4
|
(9.2)
|
172,4
|
69.8
|
252.2
|
(161.0)
|
43.4
|
376,9
|
|
Foreign exchange gain (losses), net
|
(48.7)
|
0.6
|
(20.1)
|
-
|
(39.3)
|
-
|
(107,5)
|
(15.1)
|
(136.8)
|
76.0
|
-
|
(183,5)
|
|
Derivatives
|
48.7
|
-
|
(6.6)
|
-
|
16.3
|
-
|
58,4
|
(31.4)
|
139.1
|
(53.8)
|
-
|
112,3
|
|
Income taxes expenses
|
(208.3)
|
(47.0)
|
(9.6)
|
(11.4)
|
250.5
|
-
|
(25.9)
|
(327.6)
|
(14.2)
|
170.9
|
-
|
(196.8)
|
|
Non-controlling interests
|
-
|
(0.1)
|
-
|
-
|
-
|
(237.5)
|
(237.6)
|
(22.0)
|
-
|
11.0
|
-
|
(248.6)
|
|
Profit (loss) for the period
|
402.1
|
92.6
|
51.2
|
104.1
|
375.5
|
(650.0)
|
375.5
|
664.1
|
288.5
|
(476.3)
|
(476.3)
|
375.5
|
4 of 47
|
Earnings Release
3rd Quarter of Fiscal Year 2014
|
B. Results by Business Unit
B.1 Raízen Combustíveis
Below you will find the results of Raízen Combustíveis, the business unit that distributes and trades fuels through a network of franchised Shell service stations, in addition to supplying fuels to industrial clients and distributing aviation fuel.
Following the adoption of IFRS 11 – Joint Arrangements, starting in April 2013 Cosan no longer consolidates Raízen on its balance sheet, statement of income and cash flows, and the result from this business unit has been reported under “Equity Accounting Result” ever since. Given Raízen’s materiality in Cosan’s financial information, we will report this segment’s performance separately.
Net Revenue
|
3Q14
|
3Q13
|
|
Sales Breakdown
|
9M 14
|
9M 13
|
|
|
(Jul-Sep)
|
(Jul-Sep)
|
Chg. %
|
Amounts in R$ MM
|
(Jan-Sep)
|
(Jan-Sep)
|
Chg. %
|
|
14,333.9
|
12,737.2
|
12.5%
|
Fuel Sales
|
41,029.7
|
35,462.8
|
15.7%
|
|
831.7
|
756.1
|
10.0%
|
Ethanol
|
2,566.9
|
2,086.4
|
23.0%
|
|
5,557.1
|
4,911.6
|
13.1%
|
Gasoline
|
16,234.0
|
14,042.4
|
15.6%
|
|
6,512.8
|
5,631.7
|
15.6%
|
Diesel
|
17,910.9
|
15,212.7
|
17.7%
|
|
1,271.3
|
1,290.0
|
-1.4%
|
Aviation
|
3,837.6
|
3,693.4
|
3.9%
|
|
160.9
|
147.9
|
8.8%
|
Other Products
|
480.2
|
428.0
|
12.2%
|
Raízen Combustíveis’ net revenue in 3Q14 totaled R$14.3 billion, representing an increase of 12.5% compared to the amount reported in 3Q13. This growth was driven primarily by a 6.1% increase in the total volume of fuel sold in the period, especially diesel and gasoline, which rose 7.4% and 7.9% respectively between the quarters.
Additionally, the average price of products sold increased 6.1% year-over-year, from R$2,083/m3 in 3Q13 to R$2,210/m3 in 3Q14, due mostly to the increase in gasoline and diesel prices charged by Petrobras in 2013, as well as the higher average price of ethanol in the period.
The network of Shell service stations ended 3Q14 with nearly 5,285 stations and 930 convenience stores.
5 of 47
|
Earnings Release
3rd Quarter of Fiscal Year 2014
|
Fuels
Volume (million liters) and Average Unit Price (R$/cbm)
Inventories
|
Fuels Inventories
|
|||
|
|
09/30/2014
|
09/30/2013
|
Chg. %
|
|
000' cbm
|
534.2
|
731.9
|
-27.0%
|
|
R$'MM
|
1,069.6
|
1,302.8
|
-17.9%
|
|
R$/cbm
|
2,002.2
|
1,780.2
|
12.5%
|
Cost of Goods Sold
|
3Q14
|
3Q13
|
|
COGS
|
9M 14
|
9M 13
|
|
|
(Jul-Sep)
|
(Jul-Sep)
|
Chg. %
|
Amounts in R$ MM
|
(Jan-Sep)
|
(Jan-Sep)
|
Chg. %
|
|
(13,621.9)
|
(12,077.2)
|
12.8%
|
Fuel Sales
|
(39,029.5)
|
(33,652.3)
|
16.0%
|
In 3Q14, Raízen Combustíveis’ cost of goods sold totaled R$13.6 billion, up 12.8% compared to 3Q13. This is mainly due to the higher volumes sold and price increases performed by Petrobras.
Gross Profit
|
3Q14
|
3Q13
|
|
Gross Profit
|
9M 14
|
9M 13
|
|
|
(Jul-Sep)
|
(Jul-Sep)
|
Chg. %
|
Amounts in R$ MM
|
(Jan-Sep)
|
(Jan-Sep)
|
Chg. %
|
|
711.9
|
660.0
|
7.9%
|
Gross Profit
|
2,000.2
|
1,810.5
|
10.5%
|
|
5.0%
|
5.2%
|
-0.2 p.p.
|
Gross Margin (%)
|
4.9%
|
5.1%
|
-0.2 p.p.
|
Raízen Combustíveis' gross profit in 3Q14 totaled R$711.9 million, up 7.9% compared to the R$660.0 million recorded in 3Q13. Gross margin in the quarter was 5.0%, in line with the same period last year.
6 of 47
|
Earnings Release
3rd Quarter of Fiscal Year 2014
|
Selling, General, and Administrative Expenses
|
3Q14
|
3Q13
|
|
SG&A Expenses
|
9M 14
|
9M 13
|
|
|
(Jul-Sep)
|
(Jul-Sep)
|
Chg. %
|
Amounts in R$ MM
|
(Jan-Sep)
|
(Jan-Sep)
|
Chg. %
|
|
(299.9)
|
(263.1)
|
14.0%
|
Selling Expenses
|
(884.9)
|
(776.0)
|
14.0%
|
|
(95.5)
|
(99.7)
|
-4.2%
|
G&A Expenses
|
(296.5)
|
(280.4)
|
5.7%
|
|
83.8
|
66.3
|
26.4%
|
Other Operational Revenues/Expenses
|
262.3
|
213.6
|
22.8%
|
Raízen Combustíveis’ selling expenses totaled R$299.9 million in 3Q14, up 14.0% year-on-year, mainly due to increased fuel sales volume in the period, which raises freight and logistics costs.
General and administrative expenses were R$95.5 million in 3Q14, 4.2% lower than the R$99.7 million reported in 3Q13.
Other operating revenues totaled R$83.8 million in 3Q14, which included merchandising fees, convenience store royalties, rent, and revenues from the sale of assets.
EBITDA
|
3Q14
|
3Q13
|
|
EBITDA
|
9M 14
|
9M 13
|
|
|
(Jul-Sep)
|
(Jul-Sep)
|
Chg. %
|
Amounts in R$ MM
|
(Jan-Sep)
|
(Jan-Sep)
|
Chg. %
|
|
546.2
|
483.1
|
13.1%
|
EBITDA
|
1,495.6
|
1,323.3
|
13.0%
|
|
3.8%
|
3.8%
|
0.0 p.p.
|
EBITDA Margin (%)
|
3.6%
|
3.7%
|
-0.1 p.p.
|
Raízen Combustíveis’ EBITDA was R$546.2 million in 3Q14, up 13.1% over 3Q13. EBITDA margin remained stable at 3.8% when comparing quarters.
CAPEX
|
3Q14
|
3Q13
|
|
CAPEX
|
9M 14
|
9M 13
|
|
|
(Jul-Sep)
|
(Jul-Sep)
|
Chg. %
|
Amounts in R$ MM
|
(Jan-Sep)
|
(Jan-Sep)
|
Chg. %
|
|
195.7
|
143.4
|
36.5%
|
CAPEX
|
602.3
|
386.2
|
56.0%
|
Raízen Combustíveis’ CAPEX totaled R$195.7 million in 3Q14, an increase of 36.5% compared to 3Q13. Expenses in the period related to new and renewed contracts with distributors, investments in service stations network, spending on health, safety and environmental requirements (SSMA), as well as other expenses related with logistics and distribution.
7 of 47
|
Earnings Release
3rd Quarter of Fiscal Year 2014
|
B.2 Raízen Energia
The following are the results for Raízen Energia, whose core business is the production and sale of a variety of products derived from sugarcane, including raw sugar (Very High Polarization - VHP), anhydrous and hydrous ethanol, as well as activities related to energy cogeneration from sugarcane bagasse and ethanol trading.
Following the adoption of IFRS 11 – Joint Arrangements, Cosan no longer consolidates Raízen on its balance sheet, statement of income and cash flows, and the result from this business unit has been reported under “Equity Accounting Result” ever since. Given Raízen’s materiality in Cosan’s financial information, we will report this segment’s performance separately.
Production Figures
Raízen Energia
At the end of 3Q14, Raízen Energia operated 24 sugar, ethanol and energy cogeneration mills, with a crushing capacity of 66.8 million tons of sugarcane per crop year.
|
3Q14
|
3Q13
|
|
Operational Figures
|
9M 14
|
9M 13
|
|
|
(Jul-Sep)
|
(Jul-Sep)
|
Chg. %
|
(Jan-Sep)
|
(Jan-Sep)
|
Chg. %
|
|
|
24,475
|
26,824
|
-8.8%
|
Crushed Sugarcane
|
45,411
|
45,358
|
0.1%
|
|
11,405
|
11,745
|
-2.9%
|
Own (‘000 tonnes)
|
23,218
|
22,767
|
2.0%
|
|
13,070
|
15,079
|
-13.3%
|
Suppliers (‘000 tonnes)
|
22,193
|
22,591
|
-1.8%
|
|
139.9
|
135.4
|
3.3%
|
Sugarcane TRS (kg/tonne)
|
132.7
|
129.7
|
2.3%
|
|
73.8
|
86.8
|
-15.0%
|
TCH (Tonnes per hectare)
|
76.6
|
86.5
|
-11.4%
|
|
96.2%
|
94.0%
|
2.2 p.p.
|
Mechanization (%)
|
96.7%
|
94.5%
|
2.2 p.p.
|
|
|
|
|
Production
|
|
|
|
|
1,881
|
2,128
|
-11.6%
|
Sugar
|
3,234
|
3,318
|
-2.5%
|
|
1,206
|
1,337
|
-9.8%
|
Raw Sugar (‘000 tonnes)
|
2,135
|
2,203
|
-3.1%
|
|
675
|
791
|
-14.7%
|
White Sugar (‘000 tonnes)
|
1,099
|
1,114
|
-1.4%
|
|
903
|
884
|
2.2%
|
Ethanol
|
1,608
|
1,479
|
8.7%
|
|
407
|
456
|
-10.8%
|
Anhydrous Ethanol (‘000 cbm)
|
720
|
716
|
0.6%
|
|
496
|
428
|
16.0%
|
Hydrous Ethanol (‘000 cbm)
|
888
|
763
|
16.4%
|
In 3Q14, the volume of crushed sugarcane topped 24.5 million tons, 8.8% lower than in 3Q13 when the total reported was 26.8 million tons. This decrease was due to the dry weather experienced, which hampered the process of planting and growing of sugar cane, affecting the crushing level during the quarter. Of the total amount crushed, 53.4% was third-party sugarcane while 46.6% was own sugarcane, including agricultural partners.
In 3Q14, 96.2% of own sugarcane was harvested mechanically and the total recoverable sugars (TRS) of the sugarcane reached 139.9 kg/ton, a growth of 3.3% year-over-year mainly due to the dry weather conditions, causing a higher concentration of total sugars in the harvested cane.
8 of 47
|
Earnings Release
3rd Quarter of Fiscal Year 2014
|
Agricultural productivity in 3Q14 - measured in tons of sugarcane per hectare (TCH) - reached 73.8 t/ha, down 8.1% compared to 3Q13, when the reported figure was 86.8 t/ha, due to the drought suffered by the Mid-Southern region of Brazil since the end of the 2013/14 harvest.
In 3Q14, the average age of sugarcane fields was 3.4 years, reflecting the properly renewal of owned sugarcane plantation areas during the crop and off-crop season. The production mix prioritized sugar, with 56.6% of sugarcane crushed destined to sugar production, totaling 1.9 million tons of sugar and 903 million liters of ethanol produced in 3Q14.
Net Revenue
|
3Q14
|
3Q13
|
|
Sales Breakdown
|
9M 14
|
9M 13
|
|
|
(Jul-Sep)
|
(Jul-Sep)
|
Chg.%
|
Amounts in R$ MM
|
(Jan-Sep)
|
(Jan-Sep)
|
Chg.%
|
|
2,331.3
|
3,246.7
|
-28.2%
|
Net Operating Revenue
|
6,622.5
|
7,075.3
|
-6.4%
|
|
1,075.1
|
1,492.3
|
-28.0%
|
Sugar Sales
|
2,883.4
|
3,428.2
|
-15.9%
|
|
254.8
|
211.7
|
20.3%
|
Domestic Market
|
746.6
|
595.3
|
25.4%
|
|
820.3
|
1,280.6
|
-35.9%
|
Foreign Market
|
2,136.8
|
2,832.8
|
-24.6%
|
|
952.0
|
1,519.8
|
-37.4%
|
Ethanol Sales
|
3,152.6
|
3,223.8
|
-2.2%
|
|
528.3
|
870.4
|
-39.3%
|
Domestic Market
|
1,551.2
|
1,722.4
|
-9.9%
|
|
145.2
|
339.7
|
-57.3%
|
Foreign Market
|
644.3
|
850.5
|
-24.3%
|
|
278.5
|
309.7
|
-10.1%
|
Trading
|
957.1
|
650.8
|
47.1%
|
|
230.6
|
153.3
|
50.4%
|
Energy Cogeneration
|
432.8
|
263.6
|
64.2%
|
|
73.6
|
81.4
|
-9.6%
|
Other Products and Services
|
153.6
|
159.8
|
-3.8%
|
In 3Q14, Raízen Energia’s net revenue totaled R$2.3 billion, down 28.2% compared to the value reported in 3Q13, which was R$3.2 billion.
The lower volumes of sugar and ethanol sold, as well as the drop in the average prices of sugar and ethanol seen in the foreign market, were mainly responsible for the decrease in net revenue in the quarter. Additionally, there was a decline in revenue for the trading of ethanol in the foreign market.
Sugar Sales
In 3Q14, net revenue from sugar sales totaled R$1.1 billion, down 28.0% compared to 3Q13. During the period, there was a 22.9% reduction in the volume of sugar sold, especially when considering the foreign market, which experienced a 30.8% reduction in sales compared to the same period last year. This was primarily due to the postponement of shipments to the end of the 2014/15 crop and consequent increase in inventories.
9 of 47
|
Earnings Release
3rd Quarter of Fiscal Year 2014
|
Net income was also impacted by a 6.5% reduction in the average price of sugar, which fell to R$924/ton in 3Q14 from R$988/ton in 3Q13. On international markets, the fall in price was even steeper, declining 7.4% in line with the price of other commodities during the period.
Sugar
Volume Sold (‘000 tons) and Average Unit Price (R$/ton)
Sugar Inventories
|
Sugar inventories
|
|||
|
|
09/30/2014
|
09/30/2013
|
Chg. %
|
|
'000 ton
|
1,580.0
|
1,087.0
|
45.4%
|
|
R$'MM
|
1,168.8
|
746.6
|
56.6%
|
|
R$/ton
|
739.8
|
686.8
|
7.7%
|
Ethanol Sales
In 3Q14, net revenue from ethanol sales reached R$952.0 million, a decrease of 37.4% compared to 3Q13.
The decrease in net revenue when comparing the quarters can be explained mainly by a 39.1% reduction of volumes sold due to the postponement of shipments of ethanol to the end of the 2014/15 crop, partially offset by a 2.7% increase of the average price in the period, which went from R$1,352/cbm in 3Q13, to R$1,389/cbm in 3Q14.
In 3Q14, net revenue from ethanol trading transactions in the foreign market reached R$278.5 million, a total volume of 178.5 million liters.
10 of 47
|
Earnings Release
3rd Quarter of Fiscal Year 2014
|
Ethanol
Volume Sold (million liters) and Average Unit Price (R$/cbm)
Ethanol Inventories
|
Ethanol Inventories
|
|||
|
|
09/30/2014
|
09/30/2013
|
Var. %
|
|
'000 cbm
|
1,082.0
|
653.0
|
65.7%
|
|
R$'MM
|
1,268.6
|
720.4
|
76.1%
|
|
R$/cbm
|
1,172.5
|
1,103.2
|
6.3%
|
Energy Cogeneration
All of Raízen Energia’s 24 mills generate energy and are self-sufficient, 13 of which sell surplus energy from cogeneration.
In 3Q14, net revenue from energy sales totaled R$230.6 million, up 50.4% compared to 3Q13, chiefly due to an average price increase of 51.0% to R$258/MWhand a higher volume of transactions in the spot market during the period.
The total volume of energy sold in the quarter was 892,200 MWh, remaining almost in line with the volume reported during the same period last year.
11 of 47
|
Earnings Release
3rd Quarter of Fiscal Year 2014
|
Electric Energy
Volume Sold (’000 MWh) and Average Unit Price (R$/MWh)
Other Products and Services
In 3Q14, net revenue from other products and services totaled R$73.6 million, down 9.6% year-over-year. These revenues are relative to the sale of sugarcane, steam, molasses and raw materials to service providers in the agricultural industry.
Cost of Goods Sold
Raízen Energia's cost of goods sold is reported together with the average unit costs, net of the effects of depreciation and amortization (cash cost).
|
3Q14
|
3Q13
|
|
COGS per Product
|
9M 14
|
9M 13
|
|
|
(Jul-Sep)
|
(Jul-Sep)
|
Chg. %
|
Amounts in R$ MM
|
(Jan-Sep)
|
(Jan-Sep)
|
Chg. %
|
|
(1,957.4)
|
(2,520.6)
|
-22.3%
|
Cost of Goods Sold
|
(5,431.2)
|
(5,864.0)
|
-7.4%
|
|
(870.9)
|
(1,048.2)
|
-16.9%
|
Sugar
|
(2,316.5)
|
(2,486.4)
|
-6.8%
|
|
(597.1)
|
(1,037.7)
|
-42.5%
|
Ethanol
|
(1,880.1)
|
(2,240.2)
|
-16.1%
|
|
(288.5)
|
(297.2)
|
-2.9%
|
Trading
|
(945.5)
|
(636.4)
|
48.6%
|
|
(68.6)
|
(59.2)
|
15.8%
|
Energy Cogeneration
|
(134.2)
|
(119.4)
|
12.3%
|
|
(132.4)
|
(78.4)
|
68.9%
|
Others
|
(155.0)
|
(381.8)
|
-59.4%
|
|
|
|
|
Average Unitary Production Costs²
|
|
|
|
|
(468.5)
|
(500.0)
|
-6.3%
|
Cash Cost of Sugar (R$/tonne)
|
(498.5)
|
(501.6)
|
-0.6%
|
|
(837.4)
|
(895.0)
|
-6.4%
|
Cash Cost of Ethanol (R$/’000 liters)
|
(840.9)
|
(860.4)
|
-2.3%
|
|
Note 3: Average unit costs represent the cash cost, which is net of plantation and cultural treat depreciation and amortization, agricultural depreciation (machinery and equipment), industrial depreciation, and harvest off-season maintenance.
|
||||||
In 3Q14, Raízen Energia’s cost of goods sold reached R$2.0 billion, 22.3% lower than the figure recorded in 3Q13. This is mainly because of lower sales volumes of sugar and ethanol in the quarter due to the deferral of shipments to the end of the 2014/15 crop.
12 of 47
|
Earnings Release
3rd Quarter of Fiscal Year 2014
|
Raizen Energia managed to lower its operating costs from what was reported in 3Q13, while achieving an improvement of raw material quality, with the TSR level up 3.3% quarter-on-quarter, from 135.4kg/t in 3Q13 to 139.9kg/t in 3Q14.
The unit cost of goods produced by Raízen Energia was also impacted by the following factors:
|
·
|
Increase in the cost of the TSR per kilogram released by CONSECANA of 4.5%, which was R$0.4637/kg in 3Q14 compared to R$0,4439/kg in 3Q13, impacting the cost of third-party sugarcane;
|
|
·
|
Decrease in the agricultural productivity of sugarcane fields, represented by a higher ton of cane per hectare (TCH) level, which went from 86.8 in 3Q13 to 73.8 in 3Q14.
|
Gross Profit
|
3Q14
|
3Q13
|
|
Gross Profit and Gross Margin
|
9M 14
|
9M 13
|
|
|
(Jul-Sep)
|
(Jul-Sep)
|
Chg. %
|
Amounts in R$ MM
|
(Jan-Sep)
|
(Jan-Sep)
|
Chg. %
|
|
373.9
|
726.1
|
-48.5%
|
Gross Profit
|
1,191.3
|
1,211.3
|
-1.7%
|
|
204.3
|
444.1
|
-54.0%
|
Sugar
|
566.9
|
941.8
|
-39.8%
|
|
19.0%
|
29.8%
|
-10.7 p.p.
|
Sugar Gross Margin (%)
|
19.7%
|
27.5%
|
-7.7 p.p.
|
|
44.8%
|
49.4%
|
-4.6 p.p.
|
Sugar (Cash) Gross Margin (%)
|
43.6%
|
48.3%
|
-4.6 p.p.
|
|
76.4
|
172.4
|
-55.7%
|
Ethanol
|
315.4
|
332.9
|
-5.3%
|
|
11.3%
|
14.2%
|
-2.8 p.p.
|
Ethanol Gross Margin (%)
|
14.4%
|
12.9%
|
1.4 p.p.
|
|
37.0%
|
29.7%
|
7.4 p.p.
|
Ethanol (Cash) Gross Margin (%)
|
40.1%
|
33.9%
|
6.3 p.p.
|
|
(10.0)
|
12.4
|
n/a
|
Trading
|
11.6
|
14.4
|
-19.3%
|
|
-3.6%
|
4.0%
|
-7.6 p.p.
|
Ethanol Trading Margin (%)
|
1.2%
|
2.2%
|
-0.8 p.p.
|
|
162.0
|
94.0
|
72.3%
|
Energy Cogeneration
|
298.7
|
144.1
|
n/a
|
|
70.3%
|
61.3%
|
8.9 p.p.
|
Energy Cogeneration Margin (%)
|
69.0%
|
54.7%
|
14.5 p.p.
|
|
(58.7)
|
3.0
|
n/a
|
Other Products and Services
|
(1.3)
|
(222.0)
|
-99.4%
|
In 3Q14, Raízen Energia’s gross profit totaled R$373.9 million, a decrease of 48.5% compared to 3Q13, when the gross profit reported was R$726.1 million.
Gross profit from the sale of sugar was R$204.3 million in 3Q14, down 54.0% year-over-year. Ethanol sales fell 55.7% year-over-year to R$76.4 million. Unlike the results presented by sugar and ethanol, the sale of electric energy was higher than in 3Q13, resulting in gross profit of R$162.0 million, up 72.3%.
The result from the sale of other products and services was a negative R$58.7 million, impacted by the loss (non-cash impact) of R$64.6 million from the negative effect of the biological asset’s fair value and agricultural product recognized as a cost during 3Q14.
13 of 47
|
Earnings Release
3rd Quarter of Fiscal Year 2014
|
Selling, General and Administrative Expenses
|
3Q14
|
3Q13
|
|
SG & A Expenses
|
9M 14
|
9M 13
|
|
|
(Jul-Sep)
|
(Jul-Sep)
|
Chg. %
|
Amounts in R$ MM
|
(Jan-Sep)
|
(Jan-Sep)
|
Chg. %
|
|
(146.0)
|
(223.8)
|
-34.8%
|
Selling Expenses
|
(426.9)
|
(533.6)
|
-20.0%
|
|
(137.3)
|
(134.8)
|
1.9%
|
General and Administrative Expenses
|
(398.7)
|
(401.6)
|
-0.7%
|
Raízen Energia’s selling expenses were R$146.0 million in 3Q14, 34.8% lower than the amount reported in 3Q13, due mostly to the lower sales volumes of sugar and ethanol for the export market, reducing freight and logistics costs.
General and administrative expenses increased by 1.9% during the period, from R$134.8% in 3Q13 to R$137.3 million in 3Q14.
EBITDA
|
3Q14
|
3Q13
|
|
EBITDA
|
9M 14
|
9M 13
|
|
|
(Jul-Sep)
|
(Jul-Sep)
|
Chg. %
|
Amounts in R$ MM
|
(Jan-Sep)
|
(Jan-Sep)
|
Chg. %
|
|
630.5
|
900.5
|
-30.0%
|
EBITDA
|
1,842.8
|
1,724.1
|
6.9%
|
|
27.0%
|
27.7%
|
-0.7 p.p.
|
Margin EBITDA (%)
|
27.8%
|
24.4%
|
3.5 p.p.
|
In 3Q14, Raízen Energia reported EBITDA of R$630.5 million, down 30.0% compared to 3Q13 when EBITDA was R$900.5 million. The EBITDA margin declined 0.7 percentage points, reaching 27.0% in 3Q14.
|
3Q14
|
3Q13
|
|
EBITDA Ex-Biological Asset
|
9M 14
|
9M 13
|
|
|
(Jul-Sep)
|
(Jul-Sep)
|
Chg. %
|
Amounts in R$ MM
|
(Jan-Sep)
|
(Jan-Sep)
|
Chg. %
|
|
630.5
|
900.5
|
-30.0%
|
EBITDA
|
1,842.8
|
1,724.1
|
6.9%
|
|
64.6
|
6.4
|
n/a
|
(+) Biological Asset Variation
|
(1.5)
|
219.4
|
n/a
|
|
695.1
|
906.9
|
-23.4%
|
EBITDA Ex-Biological Asset
|
1,841.3
|
1,943.6
|
-5.3%
|
Raízen Energia’s EBITDA adjusted by the effects of the biological asset declined by 23.4%, totaling R$695.1 million in the quarter.
14 of 47
|
Earnings Release
3rd Quarter of Fiscal Year 2014
|
Hedge
Volume positions and fixed sugar prices agreed with traders or through derivative financial instruments on September 30, 2014, and foreign exchange derivatives contracted by Raízen Energia to hedge future cash flows, are as follows:
|
Summary of Hedge Operations at June 30, 2014³
|
||
|
Sugar
|
2014/15
|
2015/16
|
|
NY11
|
|
|
|
Volume (‘000 ton)
|
2.375,5
|
50,0
|
|
Average Price (¢US$/lb)
|
18,23
|
19,07
|
|
Exchange Rate
|
|
|
|
US$
|
|
|
|
Volume (US$ mm)
|
993,4
|
21,9
|
|
Average Price (R$/US$)
|
2,38
|
2,63
|
|
Note 3: The table above shows the hedging coverage considering the crop years ending on 3/31/2015 and 3/31/2016 respectively.
|
||
Impacts of Hedge Accounting
Raízen Energia has been using cash flow hedge accounting for certain derivative financial instruments to hedge against the price risk for sugar over revenues from sugar exports.
The following table shows the expected transfer of gain/loss balances from the shareholders’ equity on September 30, 2014 to the net operating income of Raízen Energia4 in future years, broken down by coverage period for the following hedging instruments.
|
Expiration Period - (R$MM)
|
|||||
|
Derivative
|
Market
|
Risk
|
2014/15
|
2015/16
|
Total
|
|
Futures
|
OTC/NYBOT
|
NY#11
|
37.1
|
7.6
|
141.0
|
|
Futures
|
BMF&BOVESP
|
Ethanol
|
(12.6)
|
-
|
0.3
|
|
ACC and PPE
|
Debt
|
Exchange
|
(96.6)
|
(80.9)
|
(177.5)
|
|
(=) Hedge Accounting impact
|
|
|
37.1
|
(73.3)
|
(36.1)
|
|
(-) Deferred Income Tax
|
|
|
(12.6)
|
24.9
|
12.3
|
|
(=) Asset Valuation Adjustment
|
|
|
24.5
|
(48.4)
|
(23.8)
|
|
Note 4: The table above shows 100% of the hedge accounting gains/losses reclassified to shareholders’ equity. As Cosan holds a 50% interest at Raízen Energia, hedge accounting will have a proportionate impact on Other Comprehensive Income in Cosan’s shareholders’ equity.
|
|||||
15 of 47
|
Earnings Release
3rd Quarter of Fiscal Year 2014
|
CAPEX
|
3Q14
|
3Q13
|
|
CAPEX
|
9M 14
|
9M 13
|
|
|
(Jul-Sep)
|
(Jul-Sep)
|
Chg. %
|
Amounts in R$ MM
|
(Jan-Sep)
|
(Jan-Sep)
|
Chg. %
|
|
387.4
|
433.6
|
-10.7%
|
Total CAPEX
|
1,963.1
|
1,927.0
|
1.9%
|
|
248.3
|
309.3
|
-19.7%
|
Operating CAPEX
|
1,400.5
|
1,427.7
|
-1.9%
|
|
223.2
|
250.6
|
-10.9%
|
Biological Assets
|
636.8
|
709.4
|
-10.2%
|
|
8.3
|
9.7
|
-14.1%
|
Inter-Harvest Maintenance Costs
|
487.6
|
483.0
|
1.0%
|
|
8.4
|
15.5
|
-45.8%
|
SSMA and Sustaining
|
78.6
|
48.4
|
62.4%
|
|
7.2
|
30.4
|
-76.4%
|
Mechanization
|
186.3
|
122.4
|
52.2%
|
|
1.2
|
3.1
|
-60.6%
|
Industrial
|
11.2
|
64.5
|
-82.6%
|
|
139.1
|
124.3
|
11.9%
|
Expansion CAPEX
|
562.6
|
499.3
|
12.7%
|
|
0.3
|
3.7
|
-92.9%
|
Cogeneration Projects
|
4.9
|
46.5
|
-89.4%
|
|
138.8
|
120.6
|
15.1%
|
Expansion and Other Projects
|
557.7
|
452.8
|
23.2%
|
Raizen Energia recorded Capex of R$387.4 million in 3Q14, a decrease of 10.7% compared to 3Q13, when the amount was R$433.6 million.
The expenditures in biological assets decreased by 10.9%, mainly due to the decline in the volume of planting of 15,000 ha due to unfavorable weather conditions (drought).
Investments in agricultural mechanization was down 76.4% compared to 3Q13, due to the acquisitions of cutting machinery/equipments, loading and transportation held last quarter, related to more attractive commercial terms.
Investments in expansion had an increase mainly due to the progress of the second-generation ethanol project. However there was a reduction of expenditures for the completion of the vinasse concentration project at Jataí and Zanin units and the straw separation project at the Barra unit.
16 of 47
|
Earnings Release
3rd Quarter of Fiscal Year 2014
|
B.3 Comgás
In this section, we report on the results of Comgás, our natural gas distribution business unit operating in a concession area consisting of 177 municipalities in the Metropolitan Region of São Paulo, the Administrative Region of Campinas, Baixada Santista, and Vale do Paraíba in São Paulo state.
Volumes Sold
|
3Q14
|
3Q13
|
|
Volume Sold
|
9M 14
|
9M 13
|
|
|
(Jul-Sep)
|
(Jul-Sep)
|
Chg.%
|
Volume ('000 cbm)
|
(Jan-Sep)
|
(Jan-Sep)
|
Chg.%
|
|
1,369,371
|
1,307,881
|
4.7%
|
Total Gas Sales
|
4,081,835
|
4,106,242
|
-0.6%
|
|
1,150,251
|
1,222,369
|
-5.9%
|
Gas Sales - without thermal power
|
3,403,939
|
3,557,146
|
-4.3%
|
|
63,903
|
65,372
|
-2.2%
|
Residential
|
159,115
|
165,916
|
-4.1%
|
|
32,192
|
31,503
|
2.2%
|
Commercial
|
90,001
|
87,438
|
2.9%
|
|
923,453
|
984,268
|
-6.2%
|
Industrial
|
2,762,187
|
2,871,410
|
-3.8%
|
|
74,910
|
79,450
|
-5.7%
|
Cogeneration
|
227,888
|
247,510
|
-7.9%
|
|
55,793
|
61,776
|
-9.7%
|
Vehicular
|
164,748
|
184,872
|
-10.9%
|
|
219,120
|
85,511
|
n/a
|
Thermal Power
|
677,897
|
549,096
|
23.5%
|
The following explains the quarterly variations in volumes shown in the table above:
Residential: High temperatures in the third quarter of 2014 compared to the same period of 2013, which reduced the consumption for heating water for bathing/showering throughout the customer base with natural gas heaters. In addition, the program aimed at promoting water consumption reduction implemented by Sabesp has also heavily impacted the natural gas consumption at homes equipped with heaters.
Commercial: Addition of 1,556 new clients in the last 12 months - 370 in the third quarter of 2014.
Industrial: The performance of the economy and lower industrial activity in the period. In addition, the month of September was impacted due to the halting of work at the petrochemical complex, in which the major petrochemical plants suspended consumption for maintenance - an event that happens on average once every five years.
Cogeneration: This variation is mainly related to the loss of two clients whose plants discontinued operations at the end of 2013 due to market-related issues (Textile segment), which canceled out the effect of clients who remained in the base and consumed more than expected, due to the high price of electricity in the spot market.
17 of 47
|
Earnings Release
3rd Quarter of Fiscal Year 2014
|
Automotive: Fleet renewal. Despite the lower volume sold, this was the third quarter that the number of installations of the VNG kit in vehicles increased compared to 2013 - with 873 conversions in 3Q14, 37.9% higher than in 3Q13, when 633 vehicles were converted.
Natural Gas
Volume of Gas Sold (million cbm) and New Customers Connected (thousand units
Net Revenue
|
3Q14
|
3Q13
|
|
Sales Breakdown
|
9M 14
|
9M 13
|
|
|
(Jul-Sep)
|
(Jul-Sep)
|
Chg. %
|
Amounts in R$ MM
|
(Jan-Sep)
|
(Jan-Sep)
|
Chg. %
|
|
2,019.8
|
2,065.1
|
-2.2%
|
Gross Operating Revenue
|
5,868.6
|
5,796.8
|
1.2%
|
|
1,881.6
|
1,851.5
|
1.6%
|
Gas Sales
|
5,474.4
|
5,257.6
|
4.1%
|
|
245.8
|
239.8
|
2.5%
|
Residential
|
604.5
|
591.8
|
2.1%
|
|
86.4
|
80.7
|
7.1%
|
Commercial
|
237.8
|
216.6
|
9.8%
|
|
1,319.5
|
1,357.2
|
-2.8%
|
Industrial
|
3,938.0
|
3,827.0
|
2.9%
|
|
69.3
|
74.0
|
-6.5%
|
Cogeneration
|
219.3
|
228.3
|
-4.0%
|
|
95.4
|
35.7
|
n/a
|
Thermal Power
|
286.9
|
210.9
|
36.0%
|
|
65.1
|
64.0
|
1.8%
|
Vehicular
|
188.0
|
183.0
|
2.7%
|
|
126.2
|
204.4
|
-38.3%
|
Construction Revenue
|
361.3
|
513.7
|
-29.7%
|
|
12.0
|
9.2
|
30.2%
|
Other
|
32.9
|
25.6
|
28.4%
|
|
(376.1)
|
(382.6)
|
-1.7%
|
Tax on Sales
|
(1,091.1)
|
(1,061.0)
|
2.8%
|
|
1,643.7
|
1,682.5
|
-2.3%
|
Net Operating Revenue
|
4,777.5
|
4,735.9
|
0.9%
|
|
1,506.9
|
1,469.2
|
2.6%
|
Gas Sales
|
4,386.4
|
4,201.1
|
4.4%
|
|
126.2
|
204.4
|
-38.2%
|
Construction Revenue
|
361.3
|
513.7
|
-29.7%
|
|
10.6
|
8.9
|
18.9%
|
Other
|
29.8
|
21.1
|
41.5%
|
Comgás’ net revenue from sales and services reached R$1.64 billion in 3Q14, a decrease of 2.3% compared to 3Q13, when the total was R$1.68 billion.
Increased tariffs - as approved by ARSESP resolutions no. 455 and 496 - were the main drivers of the changes in Revenue from the Sale of Natural Gas. To establish the new tariffs, ARSESP considered the period's inflation, as well as the increased gas cost, especially imported gas. This cost is driven by the appreciation of the dollar and the average contracted oil price per barrel, which are the main components of the Bolivian gas cost.
18 of 47
|
Earnings Release
3rd Quarter of Fiscal Year 2014
|
The decrease in the Construction Revenue is directly related to lower levels of investment during 3Q14. This variation can be explained by high investments in the RETAP project during 2013.
Cost of Goods and Services
|
3Q14
|
3Q13
|
|
COGS
|
9M 14
|
9M 13
|
|
|
(Jul-Sep)
|
(Jul-Sep)
|
Chg.%
|
Amounts in R$ MM
|
(Jan-Sep)
|
(Jan-Sep)
|
Chg.%
|
|
(1,148.9)
|
(1,198.6)
|
-4.1%
|
Cost of Goods and Services
|
(3,309.2)
|
(3,410.4)
|
-3.0%
|
|
(1,022.7)
|
(994.1)
|
2.9%
|
Natural Gas
|
(2,947.8)
|
(2,896.6)
|
1.8%
|
|
(126.2)
|
(204.4)
|
-38.2%
|
Construction - ICPC 01
|
(361.3)
|
(513.7)
|
-29.7%
|
In 3Q14, the cost of goods and services sold by Comgás totaled R$ 1.1 billion, a decrease of 4.1% compared to 3Q13, when the value was reported at R$ 1.2 billion.
The lower gas cost of natural gas can be explained mainly by the lower volume distributed in the quarter, excluding thermal generation. The variation in the construction cost line is directly linked to lower levels of investment during 3Q14.
It is worth emphasizing that the differences between the actual cost incurred and the cost of gas, included in the tariff and billed to clients, according to the tariff structure defined by ARSESP, are accumulated in the regulatory current account and passed through/billed as determined by the regulatory authority for periodic price adjustments or tariff revisions. This balance is adjusted on a monthly basis according to the SELIC rate. On September 30, 2014, the regulatory current account recorded a balance of R$209.1 million for Comgás, after a recovery of R$14.3 million in 3Q14.
According to accounting principles adopted in Brazil and internationally (IFRS), this balance is not accounted for and, therefore, when we refer to its normalization, it means we consider this asset and/or liability as if it had been accounted for.
Gross Profit
|
3Q14
|
3Q13
|
|
Gross Profit
|
9M 14
|
9M 13
|
|
|
(Jul-Sep)
|
(Jul-Sep)
|
Chg. %
|
Amounts in R$ MM
|
(Jan-Sep)
|
(Jan-Sep)
|
Chg. %
|
|
494.8
|
484.0
|
2.2%
|
Gross Profit
|
1,468.4
|
1,325.6
|
10.8%
|
|
30.1%
|
28.8%
|
1.3 p.p.
|
Gross Margin (%)
|
30.7%
|
28.0%
|
2.7 p.p.
|
In 3Q14, Comgás reported gross profit of R$494.8 million, up 2.2% year-over-year (R$ 484.0 million in 3Q13).
19 of 47
|
Earnings Release
3rd Quarter of Fiscal Year 2014
|
Selling, General, and Administrative Expenses
|
3Q14
|
3Q13
|
|
SG&A Expenses
|
9M 14
|
9M 13
|
|
|
(Jul-Sep)
|
(Jul-Sep)
|
Chg. %
|
Amounts in R$ MM
|
(Jan-Sep)
|
(Jan-Sep)
|
Chg. %
|
|
(165.1)
|
(157.2)
|
5.1%
|
Selling Expenses
|
(473.9)
|
(429.4)
|
10.4%
|
|
(75.2)
|
(72.8)
|
3.2%
|
G&A Expenses
|
(218.3)
|
(219.4)
|
-0.5%
|
|
(6.0)
|
(0.0)
|
n/a
|
Other Operating Revenues (Expenses)
|
(13.9)
|
(6.5)
|
n/a
|
Comgás’ selling expenses totaled R$165.1 million in 3Q14, 5.1% higher than R$157.2 million reported in 3Q13, mainly caused by the depreciation of investments made in network expansion.
In 3Q14, general and administrative expenses were R$75.2 million, 3.2% higher than in 3Q13, when it was R$ 72.8 million.
EBITDA
|
3Q14
|
3Q13
|
|
EBITDA
|
9M 14
|
9M 13
|
|
|
(Jul-Sep)
|
(Jul-Sep)
|
Chg. %
|
Amounts in R$ MM
|
(Jan-Sep)
|
(Jan-Sep)
|
Chg. %
|
|
377.4
|
369.0
|
2.3%
|
EBITDA
|
1,138.9
|
997.7
|
14.2%
|
|
23.0%
|
21.9%
|
1.0 p.p.
|
EBITDA Margin (%)
|
23.8%
|
21.1%
|
2.8 p.p.
|
|
357.6
|
348.8
|
102.8%
|
Normalized EBITDA
|
979.6
|
941.6
|
62.1%
|
|
21.8%
|
20.7%
|
1.0 p.p.
|
Normalized EBITDA Margin (%)
|
20.5%
|
19.9%
|
0.6 p.p.
|
Comgás’ EBITDA reached R$377.4 million in 3Q14, an increase of 2.3% year-over-year, with EBITDA margin of 23.0%. Normalized by the regulatory current account, EBITDA topped R$357.6 million for the quarter, up 2.5% year-over-year.
CAPEX
|
3Q14
|
3Q13
|
|
CAPEX
|
9M 14
|
9M 13
|
|
|
(Jul-Sep)
|
(Jul-Sep)
|
Chg %
|
Amounts in R$ MM
|
(Jan-Sep)
|
(Jan-Sep)
|
Chg %
|
|
171.7
|
248.4
|
-30.9%
|
CAPEX
|
491.7
|
642.8
|
-23.5%
|
In 3Q14, CAPEX reached R$171.7 million, a decrease of 30.9% compared to the R$248.4 million spent in the same period of 2013. This variation can be explained by high investments in the RETAP project during 2013.
Out of the total investments made in the quarter, approximately 73% was destined for expanding the gas distribution network. A total of 432 km of network was added during the quarter.
20 of 47
|
Earnings Release
3rd Quarter of Fiscal Year 2014
|
B.4 Rumo
Below we report on Rumo’s results, the company responsible for providing an integrated logistics service, consisting of transportation, storage and port elevation for sugar and other agricultural commodities.
Net Revenue
|
3Q14
|
3Q13
|
|
Sales Breakdown
|
9M 14
|
9M 13
|
|
|
(Jul-Sep)
|
(Jul-Sep)
|
Chg.%
|
Amounts in R$ MM
|
(Jan-Sep)
|
(Jan-Sep)
|
Chg.%
|
|
261.3
|
328.5
|
-20.5%
|
Net Operating Revenue
|
659.7
|
711.2
|
-7.2%
|
|
190.7
|
270.9
|
-29.6%
|
Transportation
|
483.4
|
571.5
|
-15.4%
|
|
65.2
|
54.5
|
19.6%
|
Loading
|
158.5
|
127.8
|
23.9%
|
|
5.5
|
3.1
|
75.0%
|
Other
|
17.9
|
11.7
|
52.2%
|
Rumo’s net revenue totaled R$261.3 million in 3Q14, 20.5% lower than reported in 3Q13, due to decreased transportation revenue, partially offset by the revenue growth from port elevation and other services.
In 3Q14, the volume of sugar loaded by Rumo totaled 3.1 million tons and was 10.5% higher than reported in 3Q13. Revenue from loading operations was R$65.2 million, an increase of 19.6% compared to the same period last year due to new contracts signed during 2014.
Port Elevation Volume
(thousand t)
21 of 47
|
Earnings Release
3rd Quarter of Fiscal Year 2014
|
Cost of Services Provided
|
3Q14
|
3Q13
|
|
Costs of Services
|
9M 14
|
9M 13
|
|
|
(Jul-Sep)
|
(Jul-Sep)
|
Chg. %
|
Amounts in R$ MM
|
(Jan-Sep)
|
(Jan-Sep)
|
Chg. %
|
|
(180.7)
|
(203.4)
|
-11.2%
|
Cost of Services
|
(432.8)
|
(429.6)
|
0.7%
|
Rumo’s cost of services provided includes railway and highway freight, port elevation, transshipment and storage costs in upstate São Paulo and at the Port of Santos. The cost of services provided by Rumo in 3Q14 was R$180.7 million, 11.2% lower than reported in 3Q13, which was R$203.4 million.
Gross Profit
|
3Q14
|
3Q13
|
|
Gross Profit
|
9M 14
|
9M 13
|
|
|
(Jul-Sep)
|
(Jul-Sep)
|
Chg. %
|
Amounts in R$ MM
|
(Jan-Sep)
|
(Jan-Sep)
|
Chg. %
|
|
80.6
|
125.1
|
-35.6%
|
Gross Profit
|
226.9
|
281.7
|
-19.4%
|
|
30.9%
|
38.1%
|
-7.2 p.p.
|
Gross Margin (%)
|
34.4%
|
39.6%
|
-5.2 p.p.
|
Rumo had a 35.6% reduction in its gross profit, from R$ 125.1 million in 3Q13 to R$ 80.6 million in 3Q14. Its gross margin also dropped 7.2 p.p. down to 30.9%.
General and Administration Expenses
|
3Q14
|
3Q13
|
|
G&A Expenses
|
9M 14
|
9M 13
|
|
|
(Jul-Sep)
|
(Jul-Sep)
|
Var. %
|
Amounts in R$ MM
|
(Jan-Sep)
|
(Jan-Sep)
|
Var. %
|
|
(20.9)
|
(17.3)
|
20.9%
|
G&A Expenses
|
(63.6)
|
(51.7)
|
23.1%
|
Rumo’s general and administrative expenses totaled R$20.9 million in 3Q14, 20.9% higher than the R$17.3 million reported in 3Q13, reflecting the adjustment in the administrative structure for new logistics projects in ports and rail.
EBITDA
|
3Q14
|
3Q13
|
|
EBITDA
|
9M 14
|
9M 13
|
|
|
(Jul-Sep)
|
(Jul-Sep)
|
Chg. %
|
Amounts in R$ MM
|
(Jan-Sep)
|
(Jan-Sep)
|
Chg. %
|
|
86.4
|
115.0
|
-24.9%
|
EBITDA
|
233.2
|
269.0
|
-13.3%
|
|
33.1%
|
35.0%
|
-2.0 p.p.
|
Margin EBITDA (%)
|
35.4%
|
37.8%
|
-2.5 p.p.
|
Rumo’s EBITDA totaled R$86.4 million in 3Q14, representing a reduction of 24.9% compared to the R$115.0 million reported in 3Q13. EBITDA margin dropped by 2.0 percentage points, reaching 33.1% in 3Q14.
22 of 47
|
Earnings Release
3rd Quarter of Fiscal Year 2014
|
CAPEX
|
3Q14
|
3Q13
|
|
CAPEX
|
9M 14
|
9M 13
|
|
|
(Jul-Sep)
|
(Jul-Sep)
|
Chg. %
|
Amounts in R$ MM
|
(Jan-Sep)
|
(Jan-Sep)
|
Chg. %
|
|
85.6
|
87.2
|
-1.9%
|
CAPEX
|
183.3
|
213.3
|
-14.1%
|
In 3Q14, Rumo’s capital expenditure totaled R$85.6 million, in the following initiatives:
|
|
(i)
|
Investment of R$ 48.8 million in the rail network operated by America Latina Logística (ALL);
|
|
|
(ii)
|
R$ 17.1 million related to several initiatives carried out during the quarter intended for improvements at the Port and terminals;
|
|
|
(iii)
|
R$ 12.7 million for the acquisition of new railcars;
|
|
|
(i)
|
R$ 7.0 million in other initiatives.
|
23 of 47
|
Earnings Release
3rd Quarter of Fiscal Year 2014
|
B.5 Cosan Lubrificantes
Results of the lubricants segment include the manufacturing and distribution of Mobil and Comma lubricants, resale of base oil and automotive specialties in Brazil and in 40 other countries through two plants located in Rio de Janeiro, Brazil, and in Kent, U.K.
Net Revenue
|
3Q14
|
3Q13
|
|
Sales Breakdown
|
9M 14
|
9M 13
|
|
|
(Jul-Sep)
|
(Jul-Sep)
|
Chg.%
|
Amounts in R$ MM
|
(Jan-Sep)
|
(Jan-Sep)
|
Chg.%
|
|
429.9
|
407.3
|
5.5%
|
Net Operating Revenue
|
1,202.1
|
1,151.1
|
4.4%
|
Net revenues from the sales of lubricants, resale of base oil and other products and services of Cosan Lubrificantes topped R$429.9 million in 3Q14, 5.5% higher than the R$407.3 million reported in 3Q13, due to an increase of 4.2% in volumes sold, especially driven by increased base oil volumes of 29.7%, which offset the drop in sales of finished lubricants.
The total unit average revenue increased 1.3% in the quarter, from R$4,798/cbm reported in 3Q13 to R$ 4,859/cbm.
Lubricants, Base Oils, and Other Products
Volume (million liters) and Average Unit Revenue (R$/’000 liters)
24 of 47
|
Earnings Release
3rd Quarter of Fiscal Year 2014
|
Cost of Goods Sold and Services Provided
|
3Q14
|
3Q13
|
|
Cost of Goods and Services
|
9M 14
|
9M 13
|
|
|
(Jul-Sep)
|
(Jul-Sep)
|
Chg. %
|
Amounts in R$ MM
|
(Jan-Sep)
|
(Jan-Sep)
|
Chg. %
|
|
(333.0)
|
(311.0)
|
7.1%
|
Cost of Goods and Services
|
(938.1)
|
(852.2)
|
10.%
|
|
|
|
|
Cost of Goods and Services (R$/m³)
|
|
|
|
|
(3,764)
|
(3,663)
|
2.8%
|
Base Oils and Lubricants
|
(3,840)
|
(3,627)
|
5.9%
|
The cost of goods sold and services provided by Cosan Lubrificantes in 3Q14 rose 7.1% compared to 3Q13, reaching R$333.0 million, caused mainly by higher volumes sold and the foreign exchange rate impact, which affects the costs of importing base oil and additives. Consequently, the average total unit cost in 3Q14 was R$ 3,764/cbm, 2.8% higher than the R$ 3,663/cbm reported in 3Q13.
Gross Profit
|
3Q14
|
3Q13
|
|
Gross Profit
|
9M 14
|
9M 13
|
|
|
(Jul-Sep)
|
(Jul-Sep)
|
Chg. %
|
Amounts in R$ MM
|
(Jan-Sep)
|
(Jan-Sep)
|
Chg. %
|
|
96.9
|
96.3
|
0.6%
|
Gross Profit
|
264.0
|
298.8
|
-11.7%
|
|
22.5%
|
23.6%
|
-1.1 p.p.
|
Gross Margin (%)
|
22.0%
|
26.0%
|
-4.0 p.p.
|
Gross profit totaled R$96.9 million in 3Q14, and the gross margin was 22.5%, 1.1 percentage points lower than in 3Q13, when it was 23.6%.
Selling, General and Administrative Expenses
|
3Q14
|
3Q13
|
|
SG&A
|
9M 14
|
9M 13
|
|
|
(Jul-Sep)
|
(Jul-Sep)
|
Chg. %
|
Amounts in R$ MM
|
(Jan-Sep)
|
(Jan-Sep)
|
Chg. %
|
|
(82.2)
|
(83.5)
|
-1.5%
|
Total expenses
|
(238.2)
|
(225.4)
|
5.6%
|
Selling, general and administrative expenses fell 1.5% in 3Q14, reaching R$82.2 million.
EBITDA
|
3Q14
|
3Q13
|
|
EBITDA
|
9M 14
|
9M 13
|
|
|
(Jul-Sep)
|
(Jul-Sep)
|
Chg. %
|
Amounts in R$ MM
|
(Jan-Sep)
|
(Jan-Sep)
|
Chg. %
|
|
30.9
|
26.4
|
16.8%
|
EBITDA
|
75.2
|
113.8
|
-33.9%
|
|
7.2%
|
6.5%
|
0.7 p.p.
|
EBITDA Margin (%)
|
6.3%
|
9.9%
|
-3.6 p.p.
|
Cosan Lubrificantes’ EBITDA was R$30.9 million in 3Q14 with a margin of 7.2%.
25 of 47
|
Earnings Release
3rd Quarter of Fiscal Year 2014
|
B.6 Radar
Below we report on Radar’s results, whose main activity is investment in agricultural properties, land leasing in the Brazilian rural real estate market, and portfolio management.
Assets Portfolio
|
State
|
Culture
|
%
|
Area
(hectare)
|
Area
(acre)
|
Market Value
(R$MM)
|
|
Owned Land
|
-
|
100.0%
|
105,291
|
260,175
|
2,604
|
|
São Paulo
|
Sugarcane
|
63.4%
|
66,758
|
164,960
|
2,198
|
|
Maranhão
|
Grains
|
17.5%
|
18,475
|
45,652
|
151
|
|
Mato Grosso
|
Grains
|
11.7%
|
12,302
|
30,399
|
164
|
|
Bahia
|
Grains
|
6.8%
|
7,155
|
17,681
|
80
|
|
Goiás
|
Sugarcane
|
0.6%
|
600
|
1,483
|
12
|
|
Total
|
|
|
244,080
|
603,124
|
4,343
|
Radar closed 3Q14 with a land portfolio of R$2.6 billion, and total area of 105.3 thousand hectares (260.2 thousand acres), distributed throughout six Brazilian states. Considering third-party assets managed by Radar, the total area under management is 244.1 thousand hectares (603.1 thousand acres), equivalent to R$4.3 billion.
Net Revenue, Cost of Products and Gross Profit
|
3Q14
|
3Q13
|
|
|
9M 14
|
9M 13
|
|
|
(Jul-Sep)
|
(Jul-Sep)
|
Chg. %
|
Amounts in R$ MM
|
(Jan-Sep)
|
(Jan-Sep)
|
Chg. %
|
|
27.3
|
16.1
|
69.4%
|
Net Revenue
|
126.1
|
51.4
|
n/a
|
|
11.1
|
-
|
n/a
|
Property Sale
|
74.3
|
5.7
|
n/a
|
|
14.4
|
16.1
|
-10.7%
|
Land Lease
|
46.2
|
45.7
|
1.1%
|
|
1.8
|
-
|
n/a
|
Cost of Property Sales
|
5.5
|
-
|
n/a
|
|
(6.9)
|
0.0
|
n/a
|
Property Sale
|
(55.3)
|
(6.1)
|
n/a
|
|
20.4
|
16.1
|
26.5%
|
Gross Profit
|
70.8
|
45.4
|
56.0%
|
|
74.7%
|
100.0%
|
-25.3 p.p.
|
Gross Margin (%)
|
56.1%
|
88.2%
|
-32.1 p.p.
|
Radar’s net revenue was R$27.3 million in 3Q14, comprised by sales of land in amount of R$11.1 million and land leasing in amount of R$14.4 million. Lease contracts are pegged to agricultural commodities prices of their respective leased areas.
Radar’s cost of goods sold in 3Q14 was R$6.9 million and refers to the sale of assets during the period.
Gross profit in the quarter was R$20.4 million, compared to R$16.1million during the same period last year, mainly due to gains from land sold above its marked-to-market value.
26 of 47
|
Earnings Release
3rd Quarter of Fiscal Year 2014
|
General and Administrative Expenses
|
3Q14
|
3Q13
|
|
G&A Expenses
|
9M 14
|
9M 13
|
|
|
(Jul-Sep)
|
(Jul-Sep)
|
Chg. %
|
Amounts in R$ MM
|
(Jan-Sep)
|
(Jan-Sep)
|
Chg. %
|
|
(8.9)
|
(5.3)
|
67.1%
|
G&A Expenses
|
(25.7)
|
(15.1)
|
70.0%
|
|
18.8
|
46.8
|
-59.9%
|
Other
|
63.6
|
110.2
|
-42.3%
|
In 3Q14, Radar’s general and administrative expenses totaled R$8.9 million, up 67.1% compared to 3Q13, mainly due to increased compensation and benefit expenses. Other operating revenues reflect this quarter the exclusive gain from the valuation of Radar’s own portfolio.
EBITDA
|
3Q14
|
3Q13
|
|
EBITDA
|
9M 14
|
9M 13
|
|
|
(Jul-Sep)
|
(Jul-Sep)
|
Chg. %
|
Amounts in R$ MM
|
(Jan-Sep)
|
(Jan-Sep)
|
Chg. %
|
|
30.5
|
57.9
|
-47.2%
|
EBITDA
|
109.4
|
141.2
|
-22.5%
|
Radar’s EBITDA was R$30.5 million in 3Q14, mainly impacted by valuation of its land portfolio in the period, adding another R$18.8 million into EBITDA.
When compared with 2Q14, its owned land portfolio posted a 0.7% valuation, following the change in market indexes.
27 of 47
|
Earnings Release
3rd Quarter of Fiscal Year 2014
|
B.7 Other Businesses
Below we report on the results of the Other Businesses segment, which comprises Cosan’s corporate structure, effects of contingencies from businesses contributed to Raízen prior to its formation, and other investments.
|
3Q14
|
3Q13
|
|
|
9M 14
|
9M 13
|
|
|
(Jul-Sep)
|
(Jul-Sep)
|
Chg. %
|
Amounts in R$ MM
|
(Jan-Sep)
|
(Jan-Sep)
|
Chg. %
|
|
(32.1)
|
(39.1)
|
-17.7%
|
G&A Expenses
|
(96.5)
|
(95.2)
|
1.4%
|
|
(18.7)
|
(9.2)
|
n/a
|
Other Revenues (Expenses)
|
(153.3)
|
(0.0)
|
n/a
|
|
|
|
|
|
|
|
|
|
3Q14
|
3Q13
|
|
EBITDA
|
9M 14
|
9M 13
|
|
|
(Jul-Sep)
|
(Jul-Sep)
|
Chg. %
|
Amounts in R$ MM
|
(Jan-Sep)
|
(Jan-Sep)
|
Chg. %
|
|
151.4
|
304.1
|
-50.2%
|
EBITDA
|
632.0
|
562.7
|
12.3%
|
|
(201.3)
|
(351.9)
|
-42.8%
|
(-) Equity Pick-up
|
(879.2)
|
(656.3)
|
34.0%
|
|
(49.9)
|
(47.8)
|
4.5%
|
Adjusted EBITDA
|
(247.3)
|
(93.6)
|
n/a
|
Cosan’s general and administrative expenses mostly consist of personnel expenses, which include payroll, charges, and consulting services. In 3Q14, general and administrative expenses totaled R$32.1 million, 17.7% lower than reported in 3Q13.
Other revenues and expenses in Other Businesses totaled R$18.7 million in 3Q14 and are basically comprised of net effects of provisions, reversals and payment of attorneys' fees and contingencies.
In 3Q14, this segment’s EBITDA totaled R$151.4 million, exclusively due to the equity accounting result in the period. Adjusted for this effect, this segment’s EBITDA was negative by R$49.9 million.
28 of 47
|
Earnings Release
3rd Quarter of Fiscal Year 2014
|
C. Other Items in the Consolidated Result
Financial Result
|
3Q14
|
3Q13
|
|
Financial Results
|
9M 14
|
9M 13
|
|
|
(Jul-Sep)
|
(Jul-Sep)
|
Chg. %
|
Amounts in R$ MM
|
(Jan-Sep)
|
(Jan-Sep)
|
Chg. %
|
|
(172.5)
|
(220.0)
|
-21.6%
|
Gross Debt Charges
|
(549.0)
|
(535.9)
|
2.4%
|
|
33.9
|
29.0
|
17.0%
|
Income from Financial Investments
|
98.3
|
90.7
|
8.4%
|
|
(138.5)
|
(190.9)
|
-27.4%
|
(=) Subtotal: Net Debt Interests
|
(450.6)
|
(445.2)
|
1.2%
|
|
(53.5)
|
(14.9)
|
n/a
|
Other Charges and Monetary Variation
|
(30.4)
|
(31.0)
|
-1.8%
|
|
(209.3)
|
91.7
|
n/a
|
Exchange Rate Variation
|
(107.5)
|
(218.1)
|
-50.7%
|
|
116.5
|
(5.2)
|
n/a
|
Gains (losses) with Derivatives
|
58.4
|
139.4
|
-58.1%
|
|
(15.0)
|
(13.5)
|
11.2%
|
Amortization, Debt Cost and Other
|
(103.1)
|
(70.7)
|
45.8%
|
|
(299.8)
|
(132.9)
|
n/a
|
(=) Financial, Net
|
(633.3)
|
(625.7)
|
1.2%
|
The financial result in 3Q14 reported a net financial expense of R$299.8 million, compared to a net expense of R$132.9 million recorded in 3Q13.
In 3Q14, debt charges were down by 21.6% compared to 3Q13, mainly due to the reduced level of debt between periods as a consequence of the corporate restructuring in 2Q14.
Revenue from financial investments ended the quarter with a positive amount of R$33.9 million, compared to R$29.0 million in 3Q13, due to the increase in the average volume of cash during the period, as well as the interest rate variation between periods.
Other charges and monetary variations, composed of interest contingencies, interest on tax, monetary variation and other interest, totaled a net expense of R$53.5 million in 3Q14, compared to a net expense of R$14.9 million in 3Q13 .
The negative result of R$92.8 million from foreign exchange rate variation in the quarter reflects the devaluation of the US Dollar against the Brazilian Real by 11.3% (R$2.4510/US$ on September 30, 2014 compared to R$2.2025/US$ on June 30, 2014), and its impact on debt denominated in dollars, causing a non-cash effect on the consolidated financial result. However, it is worth noting that all debts denominated in foreign currency are mainly hedged by foreign exchange swaps, except for the principal of the Perpetual Bond in the amount of US$500 million.
29 of 47
|
Earnings Release
3rd Quarter of Fiscal Year 2014
|
Income Tax and Social Contribution
|
3Q14
|
3Q13
|
|
Income Tax and Social Contribution
|
9M 14
|
9M 13
|
|
|
(Jul-Sep)
|
(Jul-Sep)
|
Chg.%
|
Amounts in R$ MM
|
(Jan-Sep)
|
(Jan-Sep)
|
Chg.%
|
|
79.8
|
431.8
|
-81.5%
|
Income (Loss) before Income Tax
|
639.0
|
620.2
|
3.0%
|
|
15.9
|
(117.8)
|
n/a
|
Total of Tax and Social Contribution
|
(25.9)
|
(334.1)
|
-92.3%
|
In 3Q14, the expense with Income Tax and Social Contribution (UR/CS) totaled R$15.9 million, mainly from the constitution of tax credit on accumulated losses (tax shield) from 4Q13 at Cosan (Other Businesses).
30 of 47
|
Earnings Release
3rd Quarter of Fiscal Year 2014
|
The table below shows the Income Tax and Social Contribution expenses broken down by business unit:
|
Income Tax and Social Contribution
|
Comgás
|
Rumo
|
Lubrificantes
|
Radar5
|
Other
Business
|
Adjusts and Eliminations
|
Consolidated
|
|
3Q14
|
|||||||
|
Net Income before Taxes
|
200.4
|
57.7
|
5.6
|
31.9
|
(91.8)
|
(124.0)
|
79.8
|
|
Nominal Rate of Income Tax and Social Contribution (%)
|
-34.0%
|
-34.0%
|
-34.0%
|
-34.0%
|
-34.0%
|
-34.0%
|
-34.0%
|
|
Income Tax and Social Contributions Theoretical Expense
|
(68.1)
|
(19.6)
|
(1.9)
|
(10.8)
|
31.2
|
42.2
|
(27.1)
|
|
Non-taxable Permanent Differences / Equity Pick-up
|
(1.2)
|
(0.1)
|
(0.5)
|
-
|
75.8
|
(42.2)
|
31.9
|
|
Other
|
3.0
|
0.3
|
0.5
|
(0.8)
|
(0.0)
|
-
|
3.0
|
|
Income Tax Effective Expenses
|
(66.3)
|
(19.4)
|
(2.0)
|
(3.6)
|
107.1
|
-
|
15.9
|
|
Income Tax and Social Contribution Effective Rate (%)
|
-33.1%
|
-33.6%
|
-34.6%
|
-11.2%
|
n/a
|
- %
|
19.9%
|
|
Expenses (Revenues) com IR/CS
|
(66.3)
|
(19.4)
|
(2.0)
|
(3.6)
|
107.1
|
-
|
15.9
|
|
Current
|
(35.8)
|
(16.3)
|
(0.2)
|
(2.8)
|
(0.0)
|
-
|
(55.0)
|
|
Effective Rate - Current Rate (%)
|
-17.9%
|
-28.2%
|
-4.0%
|
-8.7%
|
0.0%
|
- %
|
-69.0%
|
|
Deferred
|
(30.5)
|
(3.1)
|
(1.7)
|
(0.8)
|
107.1
|
-
|
70.9
|
|
|
|
|
|
|
|
|
|
|
Income Tax and Social Contribution
|
Comgás
|
Rumo
|
Lubrificantes
|
Radar5
|
Other Business
|
Adjusts and Eliminations
|
Consolidated
|
|
9M 14
|
|||||||
|
Net Income before Taxes
|
610.3
|
139.7
|
60.8
|
115.6
|
125.0
|
(412.5)
|
639.0
|
|
Nominal Rate of Income Tax and Social Contribution (%)
|
-34.0%
|
-34.0%
|
-34.0%
|
-34.0%
|
-34.0%
|
-34.0%
|
-34.0%
|
|
Income Tax and Social Contributions Theoretical Expense
|
(207.5)
|
(47.5)
|
(20.7)
|
(39.3)
|
(42.5)
|
140.2
|
(217.3)
|
|
Income Tax Effective Expenses
|
(208.3)
|
(47.0)
|
(9.6)
|
(11.4)
|
250.5
|
-
|
(25.9)
|
|
Income Tax and Social Contribution Effective Rate (%)
|
-34.1%
|
-33.7%
|
-15.8%
|
-9.9%
|
n/a
|
- %
|
-4.1%
|
|
Expenses (Revenues) com IR/CS
|
(208.3)
|
(47.0)
|
(9.6)
|
(11.4)
|
250.5
|
-
|
(25.9)
|
|
Current
|
(98.5)
|
(29.2)
|
13.8
|
(10.7)
|
3.4
|
-
|
(121.3)
|
|
Effective Rate - Current Rate (%)
|
-16.1%
|
-20.9%
|
22.6%
|
-9.3%
|
2.7%
|
- %
|
-19.0%
|
|
Deferred
|
(109.8)
|
(17.8)
|
(23.4)
|
(0.7)
|
247.1
|
-
|
95.4
|
|
Note 5: Radar adopts tax regime for entities taxed on presumed profits
|
|||||||
Current income tax and social security expenses represent the calculated tax amount payable/(recoverable). The amount effectively paid may still be deducted from existing tax credits, if applicable.
31 of 47
|
Earnings Release
3rd Quarter of Fiscal Year 2014
|
Net Income
|
3Q14
|
3Q13
|
Net Income
|
9M 14
|
9M 13
|
|
(Jul-Sep)
|
(Jul-Sep)
|
Amounts in R$ MM
|
(Jan-Sep)
|
(Jan-Sep)
|
|
15.2
|
205.9
|
Net Income
|
375.5
|
31.5
|
Cosan’s net income was R$15.2 million in the quarter, below the amount in 3Q13, which was R$205.9 million. However, during a 9-month period net income was R$375.5 million versus R$31.5 in the same period of 2013.
The main drivers of this change in net income during the period were:
|
3Q
|
Net Income
|
9M
|
|
(Jul-Sep)
|
Amounts in R$ MM
|
(Jan-Sep)
|
|
205.9
|
Net Income - 3Q13
|
31.5
|
|
|
EBIT variation
|
|
|
(5.4)
|
Comgás
|
92.0
|
|
(34.5)
|
Rumo
|
(48.7)
|
|
(27.3)
|
Radar
|
(31.8)
|
|
(0.1)
|
Lubrificantes
|
(41.4)
|
|
(2.5)
|
Outros
|
(154.6)
|
|
(69.9)
|
EBIT Businesses Total
|
(184.4)
|
|
|
Variation in other lines
|
|
|
(166.9)
|
Financial result
|
(7.6)
|
|
(115.2)
|
Equity pick-up
|
210.7
|
|
133.7
|
Income taxes
|
308.2
|
|
27.7
|
Non-controlling Interest
|
13.7
|
|
-
|
Discontinued operation
|
3.4
|
|
15.2
|
Net Income - 3Q14
|
375.4
|
|
|
(i)
|
Reduction in the equity accounting result line of R$115.2 million due to Raizen’s results, outlined in previous sections, as well as the impact of foreign exchange rate variations on Raizen’s debt;
|
|
|
(ii)
|
Reduction of R$166.9 million in financial results mainly due to the foreign exchange rate variation and the results from derivatives as described in the Financial Result section;
|
|
|
(iii)
|
EBIT variation and profit of non-controlling shareholders of R$27.7million.
|
32 of 47
|
Earnings Release
3rd Quarter of Fiscal Year 2014
|
D. Loans and Financing
At the close of 3Q14, Cosan’s pro forma consolidated gross debt (excluding PESA) reached R$11.8 billion, compared to R$11.3 billion in 2Q14. Below we report the debts of Cosan and its subsidiaries and of Raízen, presented pro forma at 50%.
Cosan and Subsidiaries
Gross debt totaled R$7.0 billion in 3Q14, an increase of 0.9% from 2Q14.
The key events in the period were:
|
(i)
|
Amortization of principal and interest of R$320.6 million, mainly related to debentures and BNDES;
|
|
(ii)
|
Raising of R$120.8 million through funding lines from Finame and 4131 Resolution;
|
|
(iii)
|
Negative effect from foreign exchange variation of R$139.7 million.
|
Raízen
The combined gross debt of Raízen totaled R$9.7 billion in 3Q14, up 11.8% year-over-year.
In the quarter, changes in debt principal and interest were as follows:
|
(iv)
|
Raising of R$ 731.4 million, mainly through funding lines from Finem and foreign exchange contracts, among others;
|
|
(v)
|
Amortization of principal and interest of R$400 million related to exchange contracts, BNDES, among others;
|
|
(vi)
|
Negative effect from foreign exchange variation of R$573.2 million.
|
|
(vii)
|
Provision for interest and monetary variation in the amount of R$119.4 million.
|
Cosan – Pro forma Consolidated
Cash and cash equivalents totaled R$2.3 billion at the end of 3Q14 compared to R$2.4 billion in 2Q14. The pro forma net debt for the quarter was US$11.5 billion, compared to US$10.8 billion in 2Q14, equivalent to a leverage of 2.9x considering the pro forma EBITDA of US$4 billion in the last 12 months.
33 of 47
|
Earnings Release
3rd Quarter of Fiscal Year 2014
|
|
Debt per Business Units (Amount in R$ MM)
|
|
|
|
|
|
3Q14
|
2Q14
|
|
|
|
|
Comgás
|
(Jul-Sep)
|
(Jan-Sep)
|
% ST
|
Chg. %
|
|
Leasing
|
0.1
|
0.5
|
100.0%
|
-74.2%
|
|
Promissory Notes
|
-
|
-
|
n/a
|
n/a
|
|
EIB
|
667.5
|
607.9
|
12.8%
|
9.8%
|
|
4131 Resolution
|
430.8
|
388.7
|
28.9%
|
10.8%
|
|
BNDES
|
1,327.7
|
1,374.9
|
14.5%
|
-3.4%
|
|
Debentures
|
568.1
|
620.4
|
0.3%
|
-8.4%
|
|
Debt Notes Allocation
|
(10.1)
|
(10.6)
|
22.8%
|
-5.1%
|
|
Financial Instruments - MTM
|
(259.2)
|
(157.9)
|
- %
|
64.2%
|
|
Total Comgás
|
2,724.9
|
2,823.9
|
-
|
-3.5%
|
|
Rumo
|
|
|
|
|
|
Finame
|
707.0
|
658.1
|
17.2%
|
7.4%
|
|
Finem
|
10.1
|
7.7
|
1.2%
|
32.1%
|
|
Expenses with Placement of Debt
|
(1.4)
|
(1.4)
|
13.0%
|
-3.5%
|
|
Total Rumo
|
715.7
|
664.3
|
-
|
7.7%
|
|
Cosan Lubrificantes
|
|
|
|
|
|
Finame
|
0.2
|
0.2
|
13.0%
|
0.0%
|
|
4131 Resolution
|
27.0
|
-
|
100.0%
|
n/a
|
|
Foreign Loan
|
217.3
|
203.6
|
0.1%
|
6.7%
|
|
Total Lubrificantes
|
244.6
|
203.9
|
-
|
20.0%
|
|
Other Business
|
|
|
|
|
|
Perpetual Bonds
|
1,240.9
|
1,115.1
|
1.2%
|
11.3%
|
|
Credit Notes
|
(0.0)
|
(0.0)
|
n/a
|
- %
|
|
Debentures
|
(0.0)
|
(0.0)
|
100.0%
|
- %
|
|
FINEP
|
89.9
|
89.9
|
12.5%
|
- %
|
|
Senior Notes 2018
|
853.6
|
874.0
|
- %
|
-2.3%
|
|
Senior Notes 2023
|
1,234.3
|
1,104.6
|
- %
|
11.7%
|
|
Expenses with Placement of Debt
|
(25.9)
|
(25.4)
|
19.0%
|
1.8%
|
|
Bonus over Perpetual Bonds
|
3.2
|
3.5
|
60.0%
|
-8.6%
|
|
Financial Instruments - MTM
|
(110.8)
|
56.1
|
- %
|
n/a
|
|
Total Other Business
|
3,285.2
|
3,217.8
|
-
|
2.1%
|
|
Consolidated
|
|
|
|
|
|
Total Debt
|
6,970.4
|
6,909.9
|
-
|
0.9%
|
|
Cash and Cash Equivalents and Securities
|
(1,508.8)
|
(1,515.8)
|
-
|
-0.5%
|
|
Net Debt
|
5,461.6
|
5,394.0
|
-
|
1.3%
|
|
|
|
|
|
|
|
Raízen
|
|
|
|
|
|
Senior Notes 2014
|
-
|
-
|
- %
|
#DIV/0!
|
|
Senior Notes 2017
|
991.6
|
906.5
|
1.1%
|
9.4%
|
|
BNDES
|
1,224.8
|
1,270.5
|
16.0%
|
-3.6%
|
|
Term Loan
|
2,662.2
|
2,408.3
|
3.3%
|
10.5%
|
|
Prepaid Exports
|
1,169.4
|
1,049.5
|
26.6%
|
11.4%
|
|
Advances on Exchange Contracts
|
860.1
|
440.9
|
100.0%
|
95.1%
|
|
Credit Notes
|
766.8
|
745.8
|
67.4%
|
2.8%
|
|
Finame
|
85.6
|
98.1
|
26.0%
|
-12.8%
|
|
Finem
|
1,125.8
|
982.0
|
11.3%
|
14.6%
|
|
Debentures
|
812.3
|
791.3
|
5.3%
|
n/a
|
|
Rural Credit
|
72.5
|
50.9
|
100.0%
|
42.4%
|
|
Debt Notes Allocation
|
(31.1)
|
(31.8)
|
33.2%
|
-2.3%
|
|
Other
|
0.0
|
0.0
|
100.0%
|
n/a
|
|
Total Raízen8
|
9,740.1
|
8,712.1
|
-
|
11.8%
|
|
Cash and Cash Equivalents and Securities Raízen
|
4,870.0
|
4,356.0
|
-
|
11.8%
|
|
Net Debt Raízen
|
(879.4)
|
(927.7)
|
-
|
-5.2%
|
|
Consolidated Proforma
|
3,990.7
|
3,428.3
|
-
|
16.4%
|
|
Consolidated Proforma
|
|
|
|
|
|
Total Debt
|
11,840.5
|
11,265.9
|
-
|
5.1%
|
|
Cash and Cash Equivalents and Securities (including Raízen)
|
(2,388.2)
|
(2,443.6)
|
-
|
-2.3%
|
|
Proforma Net Debt
|
9,452.3
|
8,822.4
|
-
|
7.1%
|
|
Other
|
|
|
|
|
|
Preferred shareholders payable in subsidiaries
|
2,036.3
|
2,001.7
|
-
|
1.7%
|
|
Consolidated Proforma
|
|
|
|
|
|
Proforma Net Debt (w/ preferred shareholders payable in subsidiaries)
|
11,488.6
|
10,824.1
|
-
|
6.1%
|
34 of 47
|
Earnings Release
3rd Quarter of Fiscal Year 2014
|
E. Stock Performance
The common shares issued by Cosan S.A. have been listed on BM&FBovespa since 2005, the year of its IPO on the “Novo Mercado” segment under the ticker symbol CSAN3, and are included in the portfolios of the Ibovespa, IBrX, IBrX-50, IBrA, MLCX, ICO2, INDX, ICON, IVBX-2, IGC, IGCT and ITAG indexes.
The shares issued by Cosan Limited, Cosan S.A.'s parent company, have been listed on NYSE since its IPO in 2007, under the ticker symbol CZZ. The company has also issued share deposit certificates (Brazilian Depositary Receipts - BDR) on the BM&FBovespa under the symbol CZLT33.
The tables and graphs below represent the performance of shares issued by the companies:
35 of 47
|
Earnings Release
3rd Quarter of Fiscal Year 2014
|
F. Guidance
This section presents the guidance broken down by variation range for some key parameters in Cosan’s consolidated results for the 2014. In addition, other parts of this Earnings Release may contain forecasts. Such projections and guidance are but estimates and indications, and as such, these do not represent any guarantee of prospective results.
This guidance considers the operations of the Cosan group today, which include Comgás, Rumo, Cosan Lubrificantes e Especialidades, Radar, and Other Businesses, as well as the operations of Raízen Combustíveis and Raízen Energia.
Cosan’s consolidated EBITDA is pro forma, including 50% of the results of Raízen Combustíveis and Raízen Energia. As mentioned before, following the adoption of IFRS 11 – Joint Arrangements, Raízen is no longer proportionately consolidated in Cosan, and is only reported under “Equity Accounting Result,” considering our 50% interest in Net Income. Moreover, Comgás’s EBITDA continues to be reported under Brazilian accounting principles (IFRS), which does not consider the effects of the Regulatory Current Account .
|
|
2013
|
2014
|
2014
|
|
|
|
|
(jan/2013 - dec/2013)
|
(jan/2014 - dec/2014)
|
(jan/2014 - dec/2014)
|
|
|
|
|
REVIEW 2Q14
|
REVIEW 3Q14
|
|
Cosan Consolidated
|
Net Revenue (R$MM)
|
36,165
|
37,500 ≤ ∆ ≤ 40,500
|
37,500 ≤ ∆ ≤ 40,500
|
|
EBITDA (R$MM)
|
3,964
|
4,150 ≤ ∆ ≤ 4,650
|
4,000 ≤ ∆ ≤ 4,300
|
|
|
Capex (R$MM)
|
2,895
|
2,500 ≤ ∆ ≤ 2,800
|
2,400 ≤ ∆ ≤ 2,700
|
|
|
|
|
|
|
|
|
|
EBITDA (R$MM)
|
1,928
|
2,000 ≤ ∆ ≤ 2,200
|
2,000 ≤ ∆ ≤ 2,200
|
|
CAPEX (R$MM)
|
835
|
750 ≤ ∆ ≤ 850
|
750 ≤ ∆ ≤ 850
|
|
|
|
|
|
|
|
|
Raízen Energia
|
Volume of Sugar Cane Crushed (thousand tonnes)
|
61,441
|
58,000 ≤ ∆ ≤ 60,000
|
57,000 ≤ ∆ ≤ 58,000
|
|
Volume of Sugar Sold (thousand tonnes)
|
4,470
|
4,200 ≤ ∆ ≤ 4,500
|
4,100 ≤ ∆ ≤ 4,300
|
|
|
Volume of Ethanol Sold (million liters)
|
2,475
|
2,000 ≤ ∆ ≤ 2,200
|
1,900 ≤ ∆ ≤ 2,100
|
|
|
Volume of Energy Sold (thousands of MWh)
|
2,165
|
1,950 ≤ ∆ ≤ 2,150
|
1,950 ≤ ∆ ≤ 2,150
|
|
|
EBITDA (R$MM)
|
2,112
|
2,300 ≤ ∆ ≤ 2,700
|
2,300 ≤ ∆ ≤ 2,700
|
|
|
CAPEX (R$MM)
|
2,531
|
2,000 ≤ ∆ ≤ 2,200
|
2,000 ≤ ∆ ≤ 2,200
|
|
|
|
|
|
|
|
|
Rumo
|
Volume of Loading (thousand tonnes)
|
9,177
|
10,500 ≤ ∆ ≤ 12,500
|
10,500 ≤ ∆ ≤ 11,500
|
|
EBITDA (R$MM)
|
358
|
Under Review
|
290 ≤ ∆ ≤ 310
|
|
|
CAPEX (R$MM)
|
255
|
250 ≤ ∆ ≤ 300
|
250 ≤ ∆ ≤ 300
|
|
|
|
|
|
|
|
|
Radar
|
EBITDA (R$MM)
|
228
|
170 ≤ ∆ ≤ 200
|
140 ≤ ∆ ≤ 150
|
|
|
|
|
|
|
|
Cosan Lubrificantes
|
Total Volume Sold (million Liters)
|
316
|
270 ≤ ∆ ≤ 310
|
265 ≤ ∆ ≤ 285
|
|
EBITDA (R$MM)
|
140
|
140 ≤ ∆ ≤ 170
|
110 ≤ ∆ ≤ 140
|
|
|
|
|
2.013
|
2.014
|
2.014
|
|
|
|
(jan/2013 - dec/2013)
|
(jan/2014 - dec/2014)
|
(jan/2014 - dec/2014)
|
|
Comgás
|
Number of Clients (thousand)
|
1,334
|
1,420 ≤ ∆ ≤ 1,450
|
1,420 ≤ ∆ ≤ 1,450
|
|
Total Volume of Gas Sold (thousand cbm)
|
5,457
|
5,200 ≤ ∆ ≤ 5,700
|
5,200 ≤ ∆ ≤ 5,700
|
|
|
EBITDA IFRS (R$MM)
|
1,338
|
1,300 ≤ ∆ ≤ 1,550
|
1,300 ≤ ∆ ≤ 1,550
|
|
|
CAPEX (R$MM)
|
852
|
680 ≤ ∆ ≤ 780
|
600 ≤ ∆ ≤ 700
|
36 of 47
|
Earnings Release
3rd Quarter of Fiscal Year 2014
|
Disclaimer
This document contains forward-looking statements and estimates. These forward-looking statements and estimates are solely forecasts and do not represent any guarantee of prospective results. All stakeholders should know that these statements and estimates are and will be, depending on the case, subject to risks, uncertainties and factors related to the operations and business environment of Cosan and its subsidiaries, and therefore the actual results of these companies may significantly differ from the estimated or implied prospective results contained in such forward-looking statements and estimates.
37 of 47
|
Earnings Release
3rd Quarter of Fiscal Year 2014
|
E. Financial Statements
E.1 Cosan S/A Consolidated
|
Cosan Consolidated
|
3Q14
|
3Q13
|
|
Income Statement for the period
|
09/30/2014
|
09/30/2013
|
|
Net Operating Revenue
|
2,362,252
|
2,434,511
|
|
Gross Profit
|
692,785
|
721,548
|
|
Sales, general and administrative expenses
|
(384,450)
|
(375,153)
|
|
Other operating income (expenses), net
|
(4,494)
|
27,332
|
|
Financial revenue
|
51,376
|
48,578
|
|
Financial expenses
|
(258,356)
|
(268,001)
|
|
Foreign exchange variation
|
(209,346)
|
91,711
|
|
Derivative
|
116,513
|
(5,218)
|
|
Equity pick up
|
75,799
|
191,023
|
|
Income and Social Contribution Taxes
|
15,860
|
(117,821)
|
|
Equity attributable to non-controlling interests
|
(80,455)
|
(108,121)
|
|
Net Income from discontinued operations
|
0
|
-
|
|
Net Income
|
15,233
|
205,876
|
|
|
|
|
|
Cosan Consolidated
|
3Q14
|
2Q14
|
|
Balance Sheet
|
09/30/2014
|
06/30/2014
|
|
Cash and Cash Equivalents
|
1,306,496
|
1,321,395
|
|
Securities
|
202,352
|
194,432
|
|
Accounts Receivable
|
872,473
|
879,997
|
|
Inventories
|
327,367
|
303,675
|
|
Other Current Assets
|
1,088,709
|
931,620
|
|
Investments
|
8,687,985
|
8,754,360
|
|
Investment Property
|
2,167,221
|
2,244,310
|
|
Biological Assets
|
(0)
|
(0)
|
|
Property, Plant and Equipment
|
1,360,812
|
1,320,690
|
|
Intangible
|
10,233,226
|
10,151,170
|
|
Other Non-Current Assets
|
3,048,084
|
2,661,070
|
|
Total Assets
|
29,294,726
|
28,762,719
|
|
|
|
|
|
Loans and Financing
|
(7,340,478)
|
(7,011,660)
|
|
Suppliers
|
(996,693)
|
(926,995)
|
|
Salaries Payable
|
(115,751)
|
(89,908)
|
|
Other current liabilities
|
(499,921)
|
(518,846)
|
|
Other non-current liabilities
|
(6,436,854)
|
(6,419,388)
|
|
Net Equity
|
(13,905,030)
|
(13,795,922)
|
|
Total Liabilities
|
(29,294,726)
|
(28,762,719)
|
38 of 47
|
Earnings Release
3rd Quarter of Fiscal Year 2014
|
E.2 Raízen Combustiveis
|
Raízen Combustíveis
|
3Q14
|
3Q13
|
|
Income Statement for the period
|
09/30/2014
|
09/30/2013
|
|
Net Operating Revenue
|
14,333,868
|
12,737,213
|
|
Gross Profit
|
711,930
|
659,996
|
|
Sales, general and administrative expenses
|
(395,375)
|
(362,825)
|
|
Other operating income (expenses), net
|
83,829
|
66,328
|
|
Financial revenue
|
23,250
|
23,386
|
|
Financial expenses
|
(38,708)
|
(18,952)
|
|
Foreign exchange variation
|
(68,122)
|
(7,319)
|
|
Derivative
|
(3,274)
|
(12,032)
|
|
Equity pick up
|
3,887
|
-
|
|
Income and Social Contribution Taxes
|
(121,209)
|
(119,280)
|
|
Equity attributable to non-controlling interests
|
(7,095)
|
(7,197)
|
|
Net Income from discontinued operations
|
-
|
0
|
|
Net Income
|
189,112
|
222,105
|
|
|
|
|
|
Raízen Combustíveis
|
3Q14
|
2Q14
|
|
Balance Sheet
|
09/30/2014
|
06/30/2014
|
|
Cash and Cash Equivalents
|
198,987
|
327,591
|
|
Accounts Receivable
|
1,449,506
|
1,347,195
|
|
Inventories
|
1,069,562
|
1,113,864
|
|
Other Current Assets
|
475,354
|
570,884
|
|
Investments
|
256,546
|
257,789
|
|
Property, Plant and Equipment
|
2,462,341
|
2,466,750
|
|
Intangible
|
4,248,628
|
4,207,272
|
|
Other Non-Current Assets
|
2,334,443
|
2,079,571
|
|
Total Assets
|
12,495,367
|
12,370,916
|
|
|
|
|
|
Loans and Financing
|
(868,182)
|
(781,553)
|
|
Suppliers
|
(308,300)
|
(424,170)
|
|
Salaries Payable
|
(61,895)
|
(98,013)
|
|
Other current liabilities
|
(1,673,413)
|
(1,388,866)
|
|
Other non-current liabilities
|
(2,805,705)
|
(2,850,367)
|
|
Net Equity
|
(6,777,872)
|
(6,827,947)
|
|
Total Liabilities
|
(12,495,367)
|
(12,370,916)
|
39 of 47
|
Earnings Release
3rd Quarter of Fiscal Year 2014
|
E.3 Raízen Energia
|
Raízen Energia
|
3Q14
|
3Q13
|
|
Income Statement for the period
|
09/30/2014
|
09/30/2013
|
|
Net Operating Revenue
|
2,331,338
|
3,246,729
|
|
Gross Profit
|
373,908
|
726,101
|
|
Sales, general and administrative expenses
|
(283,345)
|
(358,584)
|
|
Other operating income (expenses), net
|
23,331
|
(19,891)
|
|
Financial revenue
|
106,535
|
55,193
|
|
Financial expenses
|
(128,453)
|
(114,059)
|
|
Foreign exchange variation
|
(266,774)
|
(25,128)
|
|
Derivative
|
94,672
|
26,403
|
|
Equity pick up
|
(12,872)
|
(11,655)
|
|
Income and Social Contribution Taxes
|
63,139
|
(94,462)
|
|
Net Income (loss)
|
(29,859)
|
183,918
|
|
|
|
|
|
Raízen Energia
|
3Q14
|
2Q14
|
|
Balance Sheet
|
09/30/2014
|
06/30/2014
|
|
Cash and Cash Equivalents
|
1,559,747
|
1,527,901
|
|
Accounts Receivable
|
582,527
|
494,499
|
|
Inventories
|
2,577,602
|
1,343,539
|
|
Other Current Assets
|
2,490,982
|
2,230,962
|
|
Investments
|
213,941
|
177,067
|
|
Biological Assets
|
1,828,829
|
1,976,809
|
|
Property, Plant and Equipment
|
9,863,400
|
10,215,505
|
|
Intangible
|
3,339,449
|
3,337,939
|
|
Other Non-Current Assets
|
2,045,218
|
1,762,808
|
|
Total Assets
|
24,501,695
|
23,067,029
|
|
|
|
|
|
Loans and Financing
|
(9,635,618)
|
(8,695,806)
|
|
Suppliers
|
(821,322)
|
(623,542)
|
|
Salaries Payable
|
(323,051)
|
(378,878)
|
|
Other current liabilities
|
(594,002)
|
(444,445)
|
|
Other non-current liabilities
|
(2,555,281)
|
(2,269,695)
|
|
Net Equity
|
(10,572,421)
|
(10,654,661)
|
|
Total Liabilities
|
(24,501,695)
|
(23,067,029)
|
40 of 47
|
Earnings Release
3rd Quarter of Fiscal Year 2014
|
E.4 Comgás
|
Comgás
|
3Q14
|
3Q13
|
|
Income Statement for the period
|
09/30/2014
|
09/30/2013
|
|
Net Operating Revenue
|
1,643,749
|
1,682,531
|
|
Gross Profit
|
494,834
|
483,958
|
|
Sales, general and administrative expenses
|
(240,314)
|
(229,988)
|
|
Other operating income (expenses), net
|
(6,000)
|
(17)
|
|
Financial revenue
|
27,222
|
14,557
|
|
Financial expenses
|
(75,395)
|
(38,144)
|
|
Foreign exchange variation
|
(80,876)
|
(6,929)
|
|
Derivative
|
80,927
|
(4,809)
|
|
Income and Social Contribution Taxes
|
(66,295)
|
(74,689)
|
|
Net Income from discontinued operations
|
-
|
(0)
|
|
Net Income
|
134,104
|
143,939
|
|
|
|
|
|
Comgás
|
3Q14
|
2Q14
|
|
Balance Sheet
|
09/30/2014
|
06/30/2014
|
|
Cash and Cash Equivalents
|
920,774
|
857,414
|
|
Accounts Receivable
|
600,655
|
631,623
|
|
Inventories
|
120,422
|
112,862
|
|
Other Current Assets
|
250,620
|
216,455
|
|
Intangible
|
8,558,658
|
8,518,022
|
|
Other Non-Current Assets
|
368,772
|
285,864
|
|
Total Assets
|
10,819,901
|
10,622,240
|
|
|
|
|
|
Loans and Financing
|
(2,984,172)
|
(2,981,807)
|
|
Suppliers
|
(774,238)
|
(740,343)
|
|
Salaries Payable
|
(52,503)
|
(42,978)
|
|
Other current liabilities
|
(120,654)
|
(142,061)
|
|
Other non-current liabilities
|
(984,842)
|
(947,651)
|
|
Net Equity
|
(5,903,492)
|
(5,767,400)
|
|
Total Liabilities
|
(10,819,901)
|
(10,622,240)
|
41 of 47
|
Earnings Release
3rd Quarter of Fiscal Year 2014
|
E.5 Rumo
|
Rumo
|
3Q14
|
3Q13
|
|
Income Statement for the period
|
09/30/2014
|
09/30/2013
|
|
Net Operating Revenue
|
261,300
|
328,500
|
|
Gross Profit
|
80,635
|
125,139
|
|
Sales, general and administrative expenses
|
(20,894)
|
(17,286)
|
|
Other operating income (expenses), net
|
1,017
|
(12,613)
|
|
Financial revenue
|
6,468
|
14,534
|
|
Financial expenses
|
(9,819)
|
(9,555)
|
|
Foreign exchange variation
|
290
|
(109)
|
|
Equity pick up
|
0
|
0
|
|
Income and Social Contribution Taxes
|
(19,371)
|
(33,657)
|
|
Equity attributable to non-controlling interests
|
(476)
|
(733)
|
|
Net Income
|
37,848
|
65,720
|
|
|
|
|
|
Rumo
|
3Q14
|
2Q14
|
|
Balance Sheet
|
09/30/2014
|
06/30/2013
|
|
Cash and Cash Equivalents
|
96,764
|
222,370
|
|
Accounts Receivable
|
36,908
|
29,179
|
|
Inventories
|
6,099
|
5,311
|
|
Other Current Assets
|
21,696
|
32,580
|
|
Investments
|
0
|
(0)
|
|
Property, Plant and Equipment
|
1,047,280
|
1,036,862
|
|
Intangible
|
834,405
|
784,922
|
|
Other Non-Current Assets
|
406,374
|
334,024
|
|
Total Assets
|
2,449,526
|
2,445,248
|
|
|
|
|
|
Loans and Financing
|
(715,698)
|
(664,308)
|
|
Suppliers
|
(114,947)
|
(83,385)
|
|
Salaries Payable
|
(16,368)
|
(11,516)
|
|
Other current liabilities
|
(49,679)
|
(173,797)
|
|
Other non-current liabilities
|
(215,846)
|
(213,578)
|
|
Net Equity
|
(1,336,988)
|
(1,298,664)
|
|
Total Liabilities
|
(2,449,526)
|
(2,445,248)
|
42 of 47
|
Earnings Release
3rd Quarter of Fiscal Year 2014
|
E.6 Cosan Lubrificantes
|
Cosan Lubrificantes
|
3Q14
|
3Q13
|
|
Income Statement for the period
|
09/30/2014
|
09/30/2013
|
|
Net Operating Revenue
|
429,850
|
407,321
|
|
Gross Profit
|
96,894
|
96,293
|
|
Sales, general and administrative expenses
|
(82,216)
|
(83,486)
|
|
Other operating income (expenses), net
|
416
|
2,383
|
|
Financial revenue
|
1,705
|
3,560
|
|
Financial expenses
|
27,393
|
(15,400)
|
|
Foreign exchange variation
|
(46,006)
|
15,355
|
|
Derivative
|
8,958
|
(4,512)
|
|
Equity pick up
|
(1,498)
|
(6,534)
|
|
Income and Social Contribution Taxes
|
(1,954)
|
(10,464)
|
|
Net Income (loss)
|
3,693
|
(2,804)
|
|
|
|
|
|
Cosan Lubrificantes
|
3Q14
|
2Q14
|
|
Balance Sheet
|
09/30/2014
|
06/30/2014
|
|
Cash and Cash Equivalents
|
33,282
|
30,991
|
|
Securities
|
0
|
0
|
|
Accounts Receivable
|
218,704
|
204,932
|
|
Inventories
|
200,810
|
185,502
|
|
Other Current Assets
|
28,950
|
45,390
|
|
Investments
|
15,822
|
15,783
|
|
Property, Plant and Equipment
|
208,516
|
202,074
|
|
Intangible
|
833,265
|
841,385
|
|
Other Non-Current Assets
|
(130,587)
|
(126,936)
|
|
Total Assets
|
1,408,763
|
1,399,121
|
|
|
|
|
|
Loans and Financing
|
(244,578)
|
(203,862)
|
|
Suppliers
|
(105,403)
|
(99,228)
|
|
Salaries Payable
|
(16,503)
|
(13,501)
|
|
Other current liabilities
|
(90,476)
|
(71,861)
|
|
Other non-current liabilities
|
(209,570)
|
(221,850)
|
|
Net Equity
|
(742,232)
|
(788,819)
|
|
Total Liabilities
|
(1,408,763)
|
(1,399,121)
|
43 of 47
|
Earnings Release
3rd Quarter of Fiscal Year 2014
|
E.7 Radar
|
Radar
|
3Q14
|
3Q13
|
|
Income Statement for the period
|
09/30/2014
|
09/30/2013
|
|
Net Operating Revenue
|
27,348
|
16,147
|
|
Gross Profit
|
20,419
|
16,147
|
|
Sales, general and administrative expenses
|
(8,880)
|
(5,314)
|
|
Other operating income (expenses), net
|
18,756
|
46,800
|
|
Financial revenue
|
1,815
|
1,051
|
|
Financial expenses
|
(215)
|
(178)
|
|
Income and Social Contribution Taxes
|
(3,571)
|
(3,625)
|
|
Net Income
|
28,323
|
54,881
|
|
|
|
|
|
Radar
|
3Q14
|
2Q14
|
|
Balance Sheet
|
09/30/2014
|
06/30/2014
|
|
Cash and Cash Equivalents
|
678
|
498
|
|
Securities
|
137,352
|
129,432
|
|
Accounts Receivable
|
15,965
|
14,020
|
|
Other Current Assets
|
458,141
|
363,889
|
|
Investments
|
0
|
0
|
|
Investment Property
|
2,167,221
|
2,244,310
|
|
Property, Plant and Equipment
|
10,862
|
10,960
|
|
Intangible
|
142
|
94
|
|
Other Non-Current Assets
|
12,820
|
5,334
|
|
Total Assets
|
2,803,181
|
2,768,538
|
|
|
|
|
|
Loans and Financing
|
-
|
-
|
|
Suppliers
|
(789)
|
(846)
|
|
Salaries Payable
|
(13,192)
|
(9,293)
|
|
Other current liabilities
|
(19,602)
|
(17,960)
|
|
Other non-current liabilities
|
(87,387)
|
(86,566)
|
|
Net Equity
|
(2,682,211)
|
(2,653,873)
|
|
Total Liabilities
|
(2,803,181)
|
(2,768,538)
|
44 of 47
|
Earnings Release
3rd Quarter of Fiscal Year 2014
|
E.8 Other Businesses
|
Cosan other business
|
3Q14
|
3Q13
|
|
Income Statement for the period
|
09/30/2014
|
09/30/2013
|
|
Net Operating Revenue
|
4
|
12
|
|
Gross Profit
|
4
|
12
|
|
Sales, general and administrative expenses
|
(32,146)
|
(39,079)
|
|
Other operating income (expenses), net
|
(18,683)
|
(9,222)
|
|
Financial revenue
|
17,308
|
18,017
|
|
Financial expenses
|
(203,461)
|
(207,865)
|
|
Foreign exchange variation
|
(82,755)
|
83,393
|
|
Derivative
|
26,628
|
4,103
|
|
Equity pick up
|
201,286
|
351,903
|
|
Income and Social Contribution Taxes
|
107,051
|
4,614
|
|
Net Income
|
15,233
|
205,876
|
|
|
|
|
|
Cosan other business
|
3Q14
|
2Q14
|
|
Balance Sheet
|
09/30/2014
|
06/30/2014
|
|
Cash and Cash Equivalents
|
254,998
|
210,122
|
|
Securities
|
65,000
|
65,000
|
|
Accounts Receivable
|
241
|
243
|
|
Inventories
|
36
|
0
|
|
Other Current Assets
|
342,523
|
384,868
|
|
Investments
|
15,395,872
|
15,387,365
|
|
Biological Assets
|
(0)
|
(0)
|
|
Property, Plant and Equipment
|
94,154
|
70,794
|
|
Intangible
|
6,756
|
6,747
|
|
Other Non-Current Assets
|
2,395,265
|
2,555,191
|
|
Total Assets
|
18,554,844
|
18,680,330
|
|
|
|
|
|
Loans and Financing
|
(3,396,031)
|
(3,161,683)
|
|
Loans and Financing
|
(30,246)
|
(59,162)
|
|
Loans and Financing
|
(3,365,786)
|
(3,102,521)
|
|
Suppliers
|
(1,316)
|
(3,193)
|
|
Salaries Payable
|
(17,185)
|
(12,620)
|
|
Other current liabilities
|
(237,291)
|
(231,700)
|
|
Other non-current liabilities
|
(4,939,208)
|
(5,335,181)
|
|
Net Equity
|
(9,963,815)
|
(9,935,953)
|
|
Total Liabilities
|
(18,554,844)
|
(18,680,330)
|
45 of 47
|
Earnings Release
3rd Quarter of Fiscal Year 2014
|
F. Financial Statements including Raízen
F.1 Cosan S/A Consolidated, including Raízen
|
Cosan Proforma Consolidated
|
3Q14
|
3Q13
|
|
Income Statement for the period
|
09/30/2014
|
09/30/2013
|
|
Net Operating Revenue
|
10,283,563
|
9,547,901
|
|
Gross Profit
|
1,235,704
|
1,404,592
|
|
Sales, general and administrative expenses
|
(723,810)
|
(735,858)
|
|
Other operating income (expenses), net
|
49,086
|
50,550
|
|
Financial revenue
|
159,699
|
87,867
|
|
Financial expenses
|
(385,366)
|
(334,506)
|
|
Foreign exchange variation
|
(376,794)
|
75,487
|
|
Derivative
|
162,212
|
1,968
|
|
Equity pick up
|
(8,320)
|
(12,045)
|
|
Income and Social Contribution Taxes
|
(13,175)
|
(220,459)
|
|
Equity attributable to non-controlling interests
|
(84,002)
|
(111,720)
|
|
Net Income from discontinued operations
|
(0)
|
(0)
|
|
Net Income
|
15,233
|
205,876
|
|
|
|
|
|
Cosan Proforma Consolidated
|
3Q14
|
2Q14
|
|
Balance Sheet
|
09/30/2014
|
06/30/2014
|
|
Cash and Cash Equivalents
|
2,185,863
|
2,249,141
|
|
Securities
|
202,352
|
194,432
|
|
Accounts Receivable
|
1,888,490
|
1,800,844
|
|
Inventories
|
2,137,958
|
1,519,386
|
|
Other Current Assets
|
1,822,920
|
1,854,216
|
|
Investments
|
330,278
|
308,559
|
|
Investment Property
|
2,167,221
|
2,244,310
|
|
Biological Assets
|
914,414
|
988,404
|
|
Property, Plant and Equipment
|
7,515,186
|
7,653,322
|
|
Intangible
|
14,027,265
|
13,923,776
|
|
Other Non-Current Assets
|
4,288,228
|
3,806,860
|
|
Total Assets
|
37,480,175
|
36,543,251
|
|
|
|
|
|
Loans and Financing
|
(12,592,378)
|
(11,750,340)
|
|
Suppliers
|
(1,561,504)
|
(1,450,851)
|
|
Salaries Payable
|
(308,224)
|
(328,353)
|
|
Other current liabilities
|
(885,165)
|
(957,121)
|
|
Other non-current liabilities
|
(8,162,749)
|
(8,199,660)
|
|
Net Equity
|
(13,970,154)
|
(13,856,926)
|
|
Total Liabilities
|
(37,480,175)
|
(36,543,251)
|
46 of 47
|
Earnings Release
3rd Quarter of Fiscal Year 2014
|
G. Financial Statements of Cosan and Cosan Logística
|
Results by Business Unit
|
Comgás
|
Lubrificantes
|
Radar
|
Other
Businesses
|
Adjusts and Eliminations
|
Cosan
|
Raízen
Combustíveis
|
Raízen
Energia
|
50% Raízen
|
Adjusts and Eliminations
|
Cosan
Proforma
|
|
Cosan Logística
|
|
3Q14
|
|
||||||||||||
|
|
|||||||||||||
|
Net Revenue
|
1,643.7
|
429.9
|
27.3
|
0.0
|
-
|
2,101.0
|
14,333.9
|
2,331.3
|
(8,332.6)
|
(411.3)
|
10,022.3
|
|
261.3
|
|
Cost of Goods and Services
|
(1,148.9)
|
(333.0)
|
(6.9)
|
0.0
|
-
|
(1,488.8)
|
(13,621.9)
|
(1,957.4)
|
7,789.7
|
411.3
|
(8,867.2)
|
|
(180.7)
|
|
Gross Profit
|
494.8
|
96.9
|
20.4
|
0.0
|
-
|
612.2
|
711.9
|
373.9
|
(542.9)
|
-
|
1,155.1
|
|
80.6
|
|
Gross Margin(%)
|
30.1%
|
22.5%
|
74.7%
|
n/a
|
n/a
|
29.1%
|
5.%
|
16.%
|
6.5%
|
- %
|
11.5%
|
|
30.9%
|
|
Selling Expenses
|
(165.1)
|
(64.5)
|
-
|
-
|
-
|
(229.7)
|
(299.9)
|
(146.0)
|
222.9
|
-
|
(452.6)
|
|
-
|
|
General and Administrative Expenses
|
(75.2)
|
(17.7)
|
(8.9)
|
(32.1)
|
-
|
(133.9)
|
(95.5)
|
(137.3)
|
116.4
|
-
|
(250.3)
|
|
(20.9)
|
|
Other Operating Revenues (Expenses)
|
(6.0)
|
0.4
|
18.8
|
(18.7)
|
-
|
(5.5)
|
83.8
|
23.3
|
(53.6)
|
-
|
48.1
|
|
1.0
|
|
Equity Pick-up
|
-
|
(1.5)
|
-
|
172.9
|
(95.6)
|
75.8
|
3.9
|
(12.9)
|
4.5
|
(79.6)
|
(8.3)
|
|
0.0
|
|
Depreciation and Amortization
|
128.9
|
17.3
|
0.2
|
0.9
|
-
|
147.3
|
141.9
|
529.5
|
(335.7)
|
-
|
483.0
|
|
25.7
|
|
EBITDA
|
377.4
|
30.9
|
30.5
|
151.4
|
(95.6)
|
494.5
|
546.2
|
630.5
|
(588.4)
|
(79.6)
|
1,003.3
|
|
86.4
|
|
EBITDA Margin (%)
|
23.%
|
7.2%
|
n/a
|
n/a
|
n/a
|
23.5%
|
3.8%
|
27.%
|
7.1%
|
- %
|
10.%
|
|
33.1%
|
|
Financial income
|
(75.4)
|
27.4
|
(0.2)
|
(203.5)
|
3.1
|
(248.5)
|
(38.7)
|
(128.5)
|
83.6
|
(43.4)
|
(375.5)
|
|
(9.8)
|
|
Financial expense
|
27.2
|
1.7
|
1.8
|
17.3
|
(3.1)
|
44.9
|
23.3
|
106.5
|
(64.9)
|
43.4
|
153.2
|
|
6.5
|
|
Foreign exchange gain (losses), net
|
(80.9)
|
(46.0)
|
-
|
(82.8)
|
-
|
(209.6)
|
(68.1)
|
(266.8)
|
167.4
|
-
|
(377.1)
|
|
0.3
|
|
Derivatives
|
80.9
|
9.0
|
-
|
26.6
|
-
|
116.5
|
(3.3)
|
94.7
|
(45.7)
|
-
|
162.2
|
|
-
|
|
Income taxes expenses
|
(66.3)
|
(2.0)
|
(3.6)
|
107.1
|
-
|
35.2
|
(121.2)
|
63.1
|
29.0
|
-
|
6.2
|
|
(19.4)
|
|
Non-controlling interests
|
-
|
-
|
-
|
-
|
(70.5)
|
(70.5)
|
(7.1)
|
-
|
3.5
|
-
|
(74.1)
|
|
(9.9)
|
|
Results of discontinued operations
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
|
-
|
|
Profit (loss) for the period
|
134.1
|
3.7
|
28.3
|
(13.2)
|
(166.1)
|
(13.2)
|
189.1
|
(29.9)
|
(79.6)
|
(79.6)
|
(13.2)
|
|
37.8
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Results by Business Unit
|
Comgás
|
Lubrificantes
|
Radar
|
Other Businesses
|
Adjusts and Eliminations
|
Cosan
|
Raízen Combustíveis
|
Raízen
Energia
|
50% Raízen
|
Adjusts and Eliminations
|
Cosan Proforma
|
|
Cosan Logística
|
|
9M 14
|
|
||||||||||||
|
|
|||||||||||||
|
Net Revenue
|
4,777.5
|
1,202.1
|
126.1
|
0.1
|
-
|
6.105,7
|
41,029.7
|
6,622.5
|
(23,826.1)
|
(1,118.8)
|
28.813,0
|
|
659.7
|
|
Cost of Goods and Services
|
(3,309.2)
|
(938.1)
|
(55.3)
|
0.0
|
-
|
(4.302,6)
|
(39,029.5)
|
(5,431.2)
|
22,230.3
|
1,118.8
|
(25.414,1)
|
|
(432.8)
|
|
Gross Profit
|
1,468.4
|
264.0
|
70.8
|
0.1
|
-
|
1.803,2
|
2,000.2
|
1,191.3
|
(1,595.7)
|
-
|
3.398,9
|
|
226.9
|
|
Gross Margin(%)
|
30.7%
|
22.%
|
56.1%
|
n/a
|
n/a
|
29.5%
|
4.9%
|
18.%
|
6.7%
|
- %
|
11.8%
|
|
34.4%
|
|
Selling Expenses
|
(473.9)
|
(186.7)
|
-
|
-
|
-
|
(660,6)
|
(884.9)
|
(426.9)
|
655.9
|
-
|
(1.316,5)
|
|
-
|
|
General and Administrative Expenses
|
(218.3)
|
(51.5)
|
(25.7)
|
(96.5)
|
-
|
(392,1)
|
(296.5)
|
(398.7)
|
347.6
|
-
|
(739,7)
|
|
(63.6)
|
|
Other Operating Revenues (Expenses)
|
(13.9)
|
0.6
|
63.6
|
(153.3)
|
-
|
(103,0)
|
262.3
|
82.0
|
(172.1)
|
-
|
69,1
|
|
(0.5)
|
|
Equity Pick-up
|
-
|
(4.8)
|
0.0
|
809.8
|
(343.0)
|
461,9
|
11.2
|
(28.8)
|
8.8
|
(476.3)
|
(23,2)
|
|
0.0
|
|
Depreciation and Amortization
|
376.7
|
53.6
|
0.7
|
2.5
|
-
|
433,5
|
403.2
|
1,423.9
|
(913.6)
|
-
|
1.347,1
|
|
70.4
|
|
EBITDA
|
1,138.9
|
75.2
|
109.4
|
632.0
|
(343.0)
|
1.612,4
|
1,495.6
|
1,842.8
|
(1,669.2)
|
(476.3)
|
2.805,3
|
|
233.2
|
|
EBITDA Margin (%)
|
23.8%
|
6.3%
|
86.8%
|
n/a
|
n/a
|
76.7%
|
3.6%
|
27.8%
|
7.%
|
- %
|
28.%
|
|
35.4%
|
|
Financial income
|
(217.6)
|
62.6
|
(0.8)
|
(557.9)
|
9.2
|
(704,3)
|
(102.0)
|
(370.6)
|
236.3
|
(43.4)
|
(984,1)
|
|
(52.3)
|
|
Financial expense
|
65.7
|
3.3
|
7.7
|
76.4
|
(9.2)
|
143,8
|
69.8
|
252.2
|
(161.0)
|
43.4
|
348,3
|
|
28.6
|
|
Foreign exchange gain (losses), net
|
(48.7)
|
(20.1)
|
-
|
(39.3)
|
-
|
(108,1)
|
(15.1)
|
(136.8)
|
76.0
|
-
|
(184,0)
|
|
0.6
|
|
Derivatives
|
48.7
|
(6.6)
|
-
|
16.3
|
-
|
58,4
|
(31.4)
|
139.1
|
(53.8)
|
-
|
112,3
|
|
-
|
|
Income taxes expenses
|
(208.3)
|
(9.6)
|
(11.4)
|
250.5
|
-
|
21.2
|
(327.6)
|
(14.2)
|
170.9
|
-
|
(149.7)
|
|
(47.0)
|
|
Non-controlling interests
|
-
|
-
|
-
|
-
|
(214.4)
|
(214.4)
|
(22.0)
|
-
|
11.0
|
-
|
(225.3)
|
|
(23.3)
|
|
Results of discontinued operations
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
|
-
|
|
Profit (loss) for the period
|
402.1
|
51.2
|
104.1
|
306.1
|
(557.4)
|
306.1
|
664.1
|
288.5
|
(476.3)
|
(476.3)
|
306.1
|
|
92.6
|
47 of 47
Item 2
Cosan Limited
Consolidated interim financial statements at
September 30, 2014 and report of independent
registered public accounting firm
Cosan Limited
Consolidated interim financial statements
For the nine month period ended September 30, 2014 and 2013
Contents
|
Report of independent registered public accounting firm
|
3
|
|
Consolidated statement of financial position
|
5
|
|
Consolidated statement of profit or loss and
|
|
|
other comprehensive income
|
7
|
|
Statement of changes in shareholders’ equity
|
9
|
|
Consolidated statement of cash flows
|
11
|
|
Notes to the consolidated interim financial statements
|
12
|
2
Report of Independent Registered Public Accounting Firm
To the Board of Directors and Shareholders
Cosan Limited
Introduction
We have reviewed the consolidated interim accounting information of Cosan Limited, included in the Quarterly Information Form (ITR) for the quarter ended September 30, 2014, comprising the balance sheet at that date and the statements of income and comprehensive income for the quarter and nine-month periods then ended, and the statements of changes in equity and cash flows for the nine-month period then ended, and a summary of significant accounting policies and other explanatory information.
Management is responsible for the preparation of the consolidated interim accounting information in accordance with the International Accounting Standard (IAS) 34 - Interim Financial Reporting issued by the International Accounting Standards Board (IASB), as well as the presentation of this information in accordance with the standards issued by the Brazilian Securities Commission (CVM), applicable to the preparation of the Quarterly Information (ITR). Our responsibility is to express a conclusion on this interim accounting information based on our review.
Scope of review
We conducted our review in accordance with Brazilian and International Standards on Reviews of Interim Financial Information (NBC TR 2410 – Review of Interim Financial Information Performed by the Independent Auditor of the Entity and ISRE 2410 – Review of Interim Financial Information Performed by the Independent Auditor of the Entity, respectively). A review of interim information consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with Brazilian and International Standards on Auditing and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.
3
Conclusion on the consolidated interim information
Based on our review, nothing has come to our attention that causes us to believe that the accompanying consolidated interim accounting information included in the quarterly information referred to above has not been prepared, in all material respects, in accordance with IAS 34 applicable to the preparation of the Quarterly Information, and presented in accordance with the standards issued by the CVM.
Campinas, November 5, 2014.
/s/ PricewaterhouseCoopers
PricewaterhouseCoopers
Auditores Independentes
CRC 2SP000160/O-5 “F”
s/s Marcos Roberto Sponchiado
Marcos Roberto Sponchiado
Contador CRC 1SP175536/O-5
4
Cosan Limited
Consolidated statement of financial position
September 30, 2014 and December 31, 2013
(In thousands of Brazilian Reais - R$)
|
|
Note
|
September 30,
2014
|
December 31,
2013
|
|||||||||
|
Assets
|
|
|
|
|||||||||
|
Cash and cash equivalents
|
4 | 1,330,619 | 1,509,565 | |||||||||
|
Investment securities
|
202,352 | 87,978 | ||||||||||
|
Trade receivables
|
5 | 872,473 | 844,483 | |||||||||
|
Inventories
|
327,367 | 311,980 | ||||||||||
|
Derivative financial instruments
|
24 | 21,592 | - | |||||||||
|
Receivables from related parties
|
7 | 56,748 | 46,788 | |||||||||
|
Income tax receivable
|
17,964 | 56,340 | ||||||||||
|
Other current tax receivable
|
74,977 | 85,433 | ||||||||||
|
Other financial assets
|
6 | 67,888 | 63,054 | |||||||||
|
Dividends receivable
|
162,602 | 26,350 | ||||||||||
|
Other assets
|
250,514 | 217,927 | ||||||||||
|
|
3,385,096 | 3,249,898 | ||||||||||
|
|
||||||||||||
|
Assets held for sale
|
10 | 436,800 | 314,104 | |||||||||
|
|
||||||||||||
|
Current assets
|
3,821,896 | 3,564,002 | ||||||||||
|
|
||||||||||||
|
Trade receivables
|
5 | 406,104 | 238,460 | |||||||||
|
Deferred tax assets
|
16 | 270,017 | 232,188 | |||||||||
|
Receivables from related parties
|
7 | 387,695 | 504,481 | |||||||||
|
Income tax receivable
|
28,197 | 49,268 | ||||||||||
|
Other non-current tax receivable
|
16,929 | 18,366 | ||||||||||
|
Judicial deposits
|
17 | 398,480 | 361,554 | |||||||||
|
Other financial assets
|
6 | 431,635 | 407,107 | |||||||||
|
Derivative financial instruments
|
24 | 621,704 | 513,934 | |||||||||
|
Other non-current asset
|
487,323 | 493,340 | ||||||||||
|
Equity method investments
|
8 | 111,304 | 103,316 | |||||||||
|
Investment in joint ventures
|
9 | 8,576,681 | 8,498,259 | |||||||||
|
Investment property
|
10 | 2,167,221 | 2,281,509 | |||||||||
|
Property, plant and equipment
|
11 | 1,360,812 | 1,271,910 | |||||||||
|
Intangible assets
|
12 | 10,233,226 | 10,078,040 | |||||||||
|
|
||||||||||||
|
Non-current assets
|
25,497,328 | 25,051,732 | ||||||||||
|
|
||||||||||||
|
Total assets
|
29,319,224 | 28,615,734 | ||||||||||
|
|
||||||||||||
|
The accompanying notes are an integral part of these consolidated interim financial statements.
|
||||||||||||
5
Cosan Limited
Consolidated statement of financial position
September 30, 2014 and December 31, 2013
(In thousands of Brazilian Reais - R$)
|
|
Note
|
September 30,
2014
|
December 31,
2013
|
|||||||||
|
Liabilities
|
|
|
|
|||||||||
|
Loans and borrowings
|
13 | 814,637 | 1,050,862 | |||||||||
|
Derivative financial instruments
|
24 | 22,881 | 50,879 | |||||||||
|
Trade payables
|
14 | 996,693 | 862,429 | |||||||||
|
Employee benefits payable
|
115,751 | 103,296 | ||||||||||
|
Income tax payable
|
17,614 | 28,143 | ||||||||||
|
Other current tax payable
|
15 | 188,791 | 199,056 | |||||||||
|
Dividends payable
|
8,763 | 92,759 | ||||||||||
|
Payables to related parties
|
7 | 111,308 | 105,463 | |||||||||
|
Other current liabilities
|
147,145 | 157,806 | ||||||||||
|
|
||||||||||||
|
Current liabilities
|
2,423,583 | 2,650,693 | ||||||||||
|
|
||||||||||||
|
Loans and borrowings
|
13 | 6,829,461 | 8,042,094 | |||||||||
|
Derivative financial instruments
|
24 | 246,509 | 280,462 | |||||||||
|
Other non-current tax payable
|
15 | 1,013,242 | 1,010,767 | |||||||||
|
Provision for legal proceedings
|
17 | 651,122 | 722,458 | |||||||||
|
Pension and post-employment benefits
|
26 | 354,705 | 339,135 | |||||||||
|
Deferred tax liabilities
|
16 | 1,620,733 | 1,698,622 | |||||||||
|
Preferred shareholders payable in subsidiaries
|
18 | 2,036,341 | - | |||||||||
|
Other non-current liabilities
|
514,200 | 551,739 | ||||||||||
|
|
||||||||||||
|
Non-current liabilities
|
13,266,313 | 12,645,277 | ||||||||||
|
|
||||||||||||
|
Total liabilities
|
15,689,896 | 15,295,970 | ||||||||||
|
|
||||||||||||
|
Equity
|
19 | |||||||||||
|
Share capital
|
5,328 | 5,328 | ||||||||||
|
Additional paid in capital
|
3,839,410 | 3,828,858 | ||||||||||
|
Other comprehensive income
|
(142,296 | ) | (84,887 | ) | ||||||||
|
Retained earnings
|
2,245,002 | 2,136,975 | ||||||||||
|
|
||||||||||||
|
Equity attributable to:
|
||||||||||||
|
Owners of the Company
|
5,947,444 | 5,886,274 | ||||||||||
|
Non-controlling interests
|
8 | 7,681,884 | 7,433,490 | |||||||||
|
|
||||||||||||
|
Total equity
|
13,629,328 | 13,319,764 | ||||||||||
|
|
||||||||||||
|
Total equity and liabilities
|
29,319,224 | 28,615,734 | ||||||||||
|
|
||||||||||||
|
The accompanying notes are an integral part of these consolidated interim financial statements.
|
||||||||||||
6
Cosan Limited
Consolidated statement of profit or loss and other comprehensive income
For the nine month period ended September 30, 2014 and 2013
(In thousands of Brazilian Reais – R$, except earnings per share)
|
|
Note
|
July 1, 2014
to September 30, 2014 |
January 1, 2014
to September 30, 2014 |
July 1, 2013
to September 30, 2013 |
January 1, 2013
to September 30, 2013 |
|||||||||||||||
|
Net sales
|
21 | 2,362,250 | 6,765,425 | 2,434,511 | 6,649,659 | |||||||||||||||
|
Cost of sales
|
(1,669,466 | ) | (4,735,344 | ) | (1,712,963 | ) | (4,698,262 | ) | ||||||||||||
|
|
||||||||||||||||||||
|
Gross profit
|
692,784 | 2,030,081 | 721,548 | 1,951,397 | ||||||||||||||||
|
|
||||||||||||||||||||
|
Selling expenses
|
(229,667 | ) | (660,572 | ) | (221,457 | ) | (599,737 | ) | ||||||||||||
|
General and administrative expenses
|
(155,852 | ) | (473,837 | ) | (154,614 | ) | (439,579 | ) | ||||||||||||
|
Other (expense) income, net
|
23 | (4,492 | ) | (103,452 | ) | 27,331 | 79,563 | |||||||||||||
|
|
||||||||||||||||||||
|
Operating expense
|
(390,011 | ) | (1,237,861 | ) | (348,740 | ) | (959,753 | ) | ||||||||||||
|
|
||||||||||||||||||||
|
Income before financial results, equity in
|
||||||||||||||||||||
|
income of associates and income taxes
|
302,773 | 792,220 | 372,808 | 991,644 | ||||||||||||||||
|
|
||||||||||||||||||||
|
Equity in income of investees
|
||||||||||||||||||||
|
Equity in income of associates
|
8 | (3,369 | ) | (2,702 | ) | (6,218 | ) | (3,885 | ) | |||||||||||
|
Equity in income of jointly controlled entity
|
9 | 79,168 | 464,633 | 197,240 | 255,157 | |||||||||||||||
|
|
75,799 | 461,931 | 191,022 | 251,272 | ||||||||||||||||
|
Financial results
|
22 | |||||||||||||||||||
|
Finance expense
|
(263,336 | ) | (770,794 | ) | (271,966 | ) | (721,581 | ) | ||||||||||||
|
Finance income
|
51,404 | 174,176 | 48,600 | 165,871 | ||||||||||||||||
|
Foreign exchange (losses) gain, net
|
(200,171 | ) | (103,612 | ) | 87,046 | (222,862 | ) | |||||||||||||
|
Derivatives
|
124,412 | 51,225 | (5,218 | ) | 139,395 | |||||||||||||||
|
|
(287,691 | ) | (649,005 | ) | (141,538 | ) | (639,177 | ) | ||||||||||||
|
|
||||||||||||||||||||
|
Profit before taxes
|
90,881 | 605,146 | 422,292 | 603,739 | ||||||||||||||||
|
|
||||||||||||||||||||
|
Income taxes expenses
|
16 | |||||||||||||||||||
|
Current
|
(55,045 | ) | (121,271 | ) | (99,270 | ) | (152,609 | ) | ||||||||||||
|
Deferred
|
70,905 | 95,387 | (18,550 | ) | (60,900 | ) | ||||||||||||||
|
|
15,860 | (25,884 | ) | (117,820 | ) | (213,509 | ) | |||||||||||||
|
|
||||||||||||||||||||
|
Profit from continuing operations
|
106,741 | 579,262 | 304,472 | 390,230 | ||||||||||||||||
|
Loss from discontinued operations, net of tax
|
- | - | - | (3,369 | ) | |||||||||||||||
|
|
||||||||||||||||||||
|
Profit for the period
|
106,741 | 579,262 | 304,472 | 386,861 | ||||||||||||||||
|
|
||||||||||||||||||||
|
Other comprehensive income
|
||||||||||||||||||||
|
Items that will not be
|
||||||||||||||||||||
|
reclassified to profit or loss:
|
||||||||||||||||||||
|
Actuarial gain (losses) on defined benefit plan
|
3,028 | 1,612 | 940 | (53,002 | ) | |||||||||||||||
|
Taxes on items that will not be
|
||||||||||||||||||||
|
reclassified to profit or loss
|
(1,030 | ) | (548 | ) | (320 | ) | 18,021 | |||||||||||||
|
|
1,998 | 1,064 | 620 | (34,981 | ) | |||||||||||||||
7
Cosan Limited
Consolidated statement of profit or loss and other comprehensive income
For the nine month period ended September 30, 2014 and 2013
(In thousands of Brazilian Reais – R$, except earnings per share)
|
|
Note
|
July 1, 2014
to September 30, 2014 |
January 1, 2014
to September 30, 2014 |
July 1, 2013
to September 30, 2013 |
January 1, 2013
to September 30, 2013 |
|||||||||||||||
|
Foreign currency translation effect
|
(33,397 | ) | (30,233 | ) | (13,346 | ) | (16,801 | ) | ||||||||||||
|
Losses on cash flow hedge
|
||||||||||||||||||||
|
in jointly controlled entity
|
(41,834 | ) | (83,214 | ) | (79,204 | ) | (80,592 | ) | ||||||||||||
|
Changes in fair value of
|
||||||||||||||||||||
|
available for sale securities
|
63 | 2,610 | 1,063 | 15,333 | ||||||||||||||||
|
Taxes on items that may be reclassified
|
||||||||||||||||||||
|
subsequently to profit or loss
|
14,202 | 27,405 | 26,568 | 22,188 | ||||||||||||||||
|
|
(60,966 | ) | (83,432 | ) | (64,919 | ) | (59,872 | ) | ||||||||||||
|
|
||||||||||||||||||||
|
Other comprehensive (loss)
|
||||||||||||||||||||
|
income for the period, net of tax
|
(58,968 | ) | (82,368 | ) | (64,299 | ) | (94,853 | ) | ||||||||||||
|
|
||||||||||||||||||||
|
Total comprehensive income for the period
|
47,773 | 496,894 | 240,173 | 292,008 | ||||||||||||||||
|
|
||||||||||||||||||||
|
Profit attributable to:
|
||||||||||||||||||||
|
Owners of the Company (including
|
||||||||||||||||||||
|
discontinued operations)
|
20,542 | 200,098 | 118,741 | 78,278 | ||||||||||||||||
|
Non-controlling interests
|
86,199 | 379,164 | 185,733 | 308,584 | ||||||||||||||||
|
|
||||||||||||||||||||
|
Total comprehensive income attributable to:
|
||||||||||||||||||||
|
Owners of the Company
|
(27,531 | ) | 142,689 | 78,296 | 11,963 | |||||||||||||||
|
Non-controlling interests
|
75,304 | 354,205 | 161,879 | 280,046 | ||||||||||||||||
|
|
||||||||||||||||||||
|
Basic earnings per share
|
20 | |||||||||||||||||||
|
Continuing operations
|
R$ | 0.08 | R$ | 0.76 | R$ | 0.45 | R$ | 0.29 | ||||||||||||
|
Discontinued operations
|
- | - | - | R$ | (0.01 | ) | ||||||||||||||
|
|
R$ | 0.08 | R$ | 0.76 | R$ | 0.45 | R$ | 0.28 | ||||||||||||
|
Diluted earnings per share
|
20 | |||||||||||||||||||
|
Continuing operations
|
R$ | (0.02 | ) | R$ | 0.47 | R$ | 0.26 | R$ | 0.12 | |||||||||||
|
Discontinued operations
|
- | - | - | R$ | (0.01 | ) | ||||||||||||||
|
|
R$ | (0.02 | ) | R$ | 0.47 | R$ | 0.26 | R$ | 0.11 | |||||||||||
|
|
||||||||||||||||||||
|
The accompanying notes are an integral part of these consolidated interim financial statements.
|
||||||||||||||||||||
8
Cosan Limited
Statement of changes in shareholders’ equity
For the nine month period ended September 30, 2014 and 2013
(In thousands of Brazilian Reais - R$)
|
|
|
Capital reserve
|
|
|
Equity
|
|
|
|||||||||||||||||||||
|
|
|
Additional
|
Other
|
|
attributable
|
Non-
|
|
|||||||||||||||||||||
|
|
Share
|
paid in
|
comprehensive
|
Retained
|
to owners of
|
controlling
|
Total
|
|||||||||||||||||||||
|
|
capital
|
capital
|
income (loss)
|
earnings
|
the Company
|
interests
|
equity
|
|||||||||||||||||||||
|
At January 1, 2014
|
5,328 | 3,828,858 | (84,887 | ) | 2,136,975 | 5,886,274 | 7,433,490 | 13,319,764 | ||||||||||||||||||||
|
|
||||||||||||||||||||||||||||
|
Profit for the period
|
- | - | - | 200,098 | 200,098 | 379,164 | 579,262 | |||||||||||||||||||||
|
|
||||||||||||||||||||||||||||
|
Other comprehensive income
|
||||||||||||||||||||||||||||
|
Foreign currency translation effects
|
- | - | (23,953 | ) | - | (23,953 | ) | (6,280 | ) | (30,233 | ) | |||||||||||||||||
|
Loss on cash flow hedge in jointly controlled entity
|
- | - | (34,217 | ) | - | (34,217 | ) | (20,704 | ) | (54,921 | ) | |||||||||||||||||
|
Actuarial gain on defined benefit plan
|
- | - | 380 | - | 380 | 684 | 1,064 | |||||||||||||||||||||
|
Changes in fair value of available for sale securities
|
- | - | 381 | - | 381 | 1,341 | 1,722 | |||||||||||||||||||||
|
|
||||||||||||||||||||||||||||
|
Total comprehensive income for the period
|
- | - | (57,409 | ) | 200,098 | 142,689 | 354,205 | 496,894 | ||||||||||||||||||||
|
|
||||||||||||||||||||||||||||
|
Contributions by and distributions to
|
||||||||||||||||||||||||||||
|
owners of the Company
|
||||||||||||||||||||||||||||
|
Share options exercised
|
- | 28,436 | - | - | 28,436 | 17,206 | 45,642 | |||||||||||||||||||||
|
Dividends - non-controlling interests
|
- | 458 | - | - | 458 | - | 458 | |||||||||||||||||||||
|
Share based compensation
|
- | 4,791 | - | - | 4,791 | 2,899 | 7,690 | |||||||||||||||||||||
|
Dividends
|
- | - | - | (92,071 | ) | (92,071 | ) | (115,433 | ) | (207,504 | ) | |||||||||||||||||
|
|
||||||||||||||||||||||||||||
|
Total contributions by and distributions to owners of the Company
|
- | 33,685 | - | (92,071 | ) | (58,386 | ) | (95,328 | ) | (153,714 | ) | |||||||||||||||||
|
|
||||||||||||||||||||||||||||
|
Transactions with owners of the Company
|
||||||||||||||||||||||||||||
|
Acquisition of non-controlling interest
|
- | (820 | ) | - | - | (820 | ) | 3,018 | 2,198 | |||||||||||||||||||
|
Acquisition cost of the preferred shares of subsidiaries
|
- | (22,313 | ) | - | - | (22,313 | ) | (13,501 | ) | (35,814 | ) | |||||||||||||||||
|
|
||||||||||||||||||||||||||||
|
Total transactions with owners of the Company
|
- | (23,133 | ) | - | - | (23,133 | ) | (10,483 | ) | (33,616 | ) | |||||||||||||||||
|
|
||||||||||||||||||||||||||||
|
At September 30, 2014
|
5,328 | 3,839,410 | (142,296 | ) | 2,245,002 | 5,947,444 | 7,681,884 | 13,629,328 | ||||||||||||||||||||
|
|
||||||||||||||||||||||||||||
|
The accompanying notes are an integral part of these consolidated interim financial statements.
|
||||||||||||||||||||||||||||
9
Cosan Limited
Statement of changes in shareholders’ equity
For the nine month period ended September 30, 2014 and 2013
(In thousands of Brazilian Reais - R$)
|
|
|
Capital reserve
|
|
|
Equity
|
|
|
|||||||||||||||||||||
|
|
|
Additional
|
Other
|
|
attributable
|
Non-
|
|
|||||||||||||||||||||
|
|
Share
|
paid in
|
comprehensive
|
Retained
|
to owners of
|
controlling
|
Total
|
|||||||||||||||||||||
|
|
capital
|
capital
|
income (loss)
|
earnings
|
the Company
|
interests
|
equity
|
|||||||||||||||||||||
|
At January 1, 2013
|
5,328 | 3,778,022 | (38,096 | ) | 2,105,688 | 5,850,942 | 7,330,986 | 13,181,928 | ||||||||||||||||||||
|
|
||||||||||||||||||||||||||||
|
Profit for the period
|
- | - | - | 78,278 | 78,278 | 308,584 | 386,862 | |||||||||||||||||||||
|
|
||||||||||||||||||||||||||||
|
Other comprehensive income
|
||||||||||||||||||||||||||||
|
Foreign currency translation effects
|
- | - | (13,241 | ) | - | (13,241 | ) | (3,560 | ) | (16,801 | ) | |||||||||||||||||
|
Loss on cash flow hedge in jointly controlled entity
|
- | - | (33,139 | ) | - | (33,139 | ) | (20,051 | ) | (53,190 | ) | |||||||||||||||||
|
Actuarial losses on defined benefit plan
|
- | - | (21,793 | ) | - | (21,793 | ) | (13,188 | ) | (34,981 | ) | |||||||||||||||||
|
Changes in fair value of available for sale securities
|
- | - | 1,858 | - | 1,858 | 8,262 | 10,120 | |||||||||||||||||||||
|
|
||||||||||||||||||||||||||||
|
Total comprehensive income for the period
|
- | - | (66,315 | ) | 78,278 | 11,963 | 280,047 | 292,010 | ||||||||||||||||||||
|
|
||||||||||||||||||||||||||||
|
Contributions by and distributions to
|
||||||||||||||||||||||||||||
|
owners of the Company
|
||||||||||||||||||||||||||||
|
Share options exercised
|
- | 7,288 | - | - | 7,288 | 4,410 | 11,698 | |||||||||||||||||||||
|
Dividends - non-controlling interests
|
- | 647 | - | - | 647 | - | 647 | |||||||||||||||||||||
|
Share based compensation
|
- | 4,753 | - | - | 4,753 | 2,876 | 7,629 | |||||||||||||||||||||
|
Dividends
|
- | - | - | (179,694 | ) | (179,694 | ) | (122,535 | ) | (302,229 | ) | |||||||||||||||||
|
|
||||||||||||||||||||||||||||
|
Total contributions by and distributions to owners of the Company
|
- | 12,688 | - | (179,694 | ) | (167,006 | ) | (115,249 | ) | (282,255 | ) | |||||||||||||||||
|
|
||||||||||||||||||||||||||||
|
Transactions with owners of the Company
|
||||||||||||||||||||||||||||
|
Corporate reorganization - Raízen Group
|
- | (3,927 | ) | - | - | (3,927 | ) | (2,379 | ) | (6,306 | ) | |||||||||||||||||
|
Acquisition of treasury shares
|
- | (43,412 | ) | - | - | (43,412 | ) | (26,268 | ) | (69,680 | ) | |||||||||||||||||
|
Business combination - COMGÁS
|
- | 78,811 | - | - | 78,811 | 19,191 | 98,002 | |||||||||||||||||||||
|
Business combination - Radar
|
- | 569 | - | - | 569 | (205,705 | ) | (205,136 | ) | |||||||||||||||||||
|
|
||||||||||||||||||||||||||||
|
Total transactions with owners of the Company
|
- | 32,041 | - | - | 32,041 | (215,161 | ) | (183,120 | ) | |||||||||||||||||||
|
|
||||||||||||||||||||||||||||
|
At September 30, 2013
|
5,328 | 3,822,751 | (104,411 | ) | 2,004,272 | 5,727,940 | 7,280,623 | 13,008,563 | ||||||||||||||||||||
|
|
||||||||||||||||||||||||||||
|
The accompanying notes are an integral part of these consolidated interim financial statements.
|
||||||||||||||||||||||||||||
10
Cosan Limited
Consolidated statement of cash flows
For the nine month period ended September 30, 2014 and 2013
(In thousands of Brazilian Reais - R$)
|
|
Note
|
July 1, 2014 to
September 30,
2014
|
January 1, 2014 to
September 30,
2014
|
July 1, 2013 to
September 30,
2013
|
January 1, 2013 to
September 30,
2013
|
|||||||||||||||
|
Cash flows from operating activities
|
|
|
|
|
|
|||||||||||||||
|
Profit before taxes
|
|
90,881 | 605,146 | 422,294 | 603,740 | |||||||||||||||
|
Adjustments for:
|
|
|||||||||||||||||||
|
Depreciation and amortization
|
11 / 12 | 172,922 | 503,921 | 153,382 | 439,842 | |||||||||||||||
|
Equity in income of investees
|
8 | 3,369 | 2,702 | 6,218 | 3,885 | |||||||||||||||
|
Equity in income of jointly controlled entity
|
9 | (79,168 | ) | (464,633 | ) | (197,240 | ) | (255,157 | ) | |||||||||||
|
Gain on disposal of assets
|
2,580 | 7,387 | 237 | (9,522 | ) | |||||||||||||||
|
Share-based compensation expense
|
2,563 | 7,690 | 2,153 | 7,629 | ||||||||||||||||
|
Change in fair value of investment property
|
10 | (18,745 | ) | (63,728 | ) | (45,450 | ) | (105,868 | ) | |||||||||||
|
Provision for judicial demands
|
14,476 | 40,706 | 42,415 | 83,683 | ||||||||||||||||
|
Indexation charges, interest and
|
||||||||||||||||||||
|
exchange gains/losses, net
|
289,742 | 678,042 | 83,145 | 598,065 | ||||||||||||||||
|
Other
|
26,672 | 72,492 | 34,570 | 69,626 | ||||||||||||||||
|
|
505,292 | 1,389,725 | 501,724 | 1,435,923 | ||||||||||||||||
|
Changes in:
|
||||||||||||||||||||
|
Trade receivables
|
(83,047 | ) | (212,801 | ) | (4,295 | ) | (212,757 | ) | ||||||||||||
|
Investment securities
|
(4,156 | ) | (104,433 | ) | - | - | ||||||||||||||
|
Restricted cash
|
- | - | - | 3,944 | ||||||||||||||||
|
Inventories
|
(22,347 | ) | (14,801 | ) | (15,425 | ) | 760 | |||||||||||||
|
Recoverable taxes
|
18,060 | 54,515 | (320 | ) | (34,844 | ) | ||||||||||||||
|
Related parties
|
637 | (49,958 | ) | 20,733 | 4,515 | |||||||||||||||
|
Trade payables
|
70,443 | 128,714 | (157,904 | ) | 106,936 | |||||||||||||||
|
Employee benefits
|
11,568 | (31,090 | ) | (11,514 | ) | (44,263 | ) | |||||||||||||
|
Provision for judicial demands
|
(3,571 | ) | (11,569 | ) | 49,273 | (46,155 | ) | |||||||||||||
|
Income and other taxes
|
(61,622 | ) | (193,628 | ) | (15,349 | ) | (244,011 | ) | ||||||||||||
|
Other
|
(6,327 | ) | (24,840 | ) | 35,077 | (129,571 | ) | |||||||||||||
|
|
(80,362 | ) | (459,891 | ) | (99,724 | ) | (595,446 | ) | ||||||||||||
|
|
||||||||||||||||||||
|
Net cash generated by operating activities
|
424,930 | 929,834 | 402,000 | 840,477 | ||||||||||||||||
|
|
||||||||||||||||||||
|
Cash flows from investing activities
|
||||||||||||||||||||
|
Capital contribution in associates
|
(6,216 | ) | (18,883 | ) | (5,333 | ) | (71,879 | ) | ||||||||||||
|
Dividends received from investees
|
- | 1,938 | 125,424 | 125,424 | ||||||||||||||||
|
Dividends received from jointly controlled entity
|
118,010 | 315,010 | - | 345,290 | ||||||||||||||||
|
Acquisition of property, plant and
|
||||||||||||||||||||
|
equipment and intangible assets
|
11 / 12 | (297,312 | ) | (756,122 | ) | (370,766 | ) | (920,292 | ) | |||||||||||
|
Proceeds from sale of property, plant
|
||||||||||||||||||||
|
and equipment, intangible and investments
|
382 | 1,178 | - | 118,656 | ||||||||||||||||
|
|
||||||||||||||||||||
|
Net cash used in investing activities
|
(185,136 | ) | (456,879 | ) | (250,675 | ) | (402,801 | ) | ||||||||||||
|
|
||||||||||||||||||||
|
Cash flows from financing activities
|
||||||||||||||||||||
|
Loans and borrowings raised
|
218,879 | 1,045,486 | 347,600 | 3,045,787 | ||||||||||||||||
|
Payment of principal and interest
|
||||||||||||||||||||
|
on loans and borrowings
|
(383,120 | ) | (3,313,665 | ) | (502,560 | ) | (3,323,327 | ) | ||||||||||||
|
Raising through of the preferred shares
|
(53,264 | ) | 1,946,736 | - | - | |||||||||||||||
|
Derivative financial instruments
|
(37,121 | ) | (73,396 | ) | 55,547 | 79,955 | ||||||||||||||
|
Dividends paid
|
(31,027 | ) | (303,085 | ) | (282,497 | ) | (431,927 | ) | ||||||||||||
|
Treasury shares
|
- | - | (43,959 | ) | (69,680 | ) | ||||||||||||||
|
Proceeds from exercise of share options
|
40,739 | 45,642 | 3,611 | 11,698 | ||||||||||||||||
|
|
||||||||||||||||||||
|
Net cash used in financing activities
|
(244,914 | ) | (652,282 | ) | (422,258 | ) | (687,494 | ) | ||||||||||||
|
|
||||||||||||||||||||
|
(Decrease) in cash
|
||||||||||||||||||||
|
and cash equivalents
|
(5,120 | ) | (179,327 | ) | (270,933 | ) | (249,818 | ) | ||||||||||||
|
|
||||||||||||||||||||
|
Cash and cash equivalents at
|
||||||||||||||||||||
|
the beginning of the period
|
1,340,435 | 1,509,565 | 1,495,446 | 1,469,974 | ||||||||||||||||
|
Effect of exchange rate fluctuations on cash held
|
(4,696 | ) | 381 | (11,917 | ) | (7,560 | ) | |||||||||||||
|
|
||||||||||||||||||||
|
Cash and cash equivalents at
|
||||||||||||||||||||
|
the ended of the period
|
1,330,619 | 1,330,619 | 1,212,596 | 1,212,596 | ||||||||||||||||
|
|
||||||||||||||||||||
|
Supplemental cash flow information
|
||||||||||||||||||||
|
Interest paid
|
132,620 | 623,726 | 197,310 | 317,356 | ||||||||||||||||
|
Income taxes paid
|
29,036 | 111,325 | 42,697 | 256,843 | ||||||||||||||||
|
|
||||||||||||||||||||
|
The accompanying notes are an integral part of these consolidated interim financial statements.
|
||||||||||||||||||||
11
Cosan Limited
Notes to the consolidated interim financial statements
For the nine month period ended September 30, 2014 and 2013
(Amounts in thousands of Brazilian Reais – R$, unless otherwise stated)
|
1
|
Operations
|
Cosan Limited (“Cosan”) was incorporated in Bermuda on April 30, 2007. Cosan’s class A common shares are traded on the New York Stock Exchange (NYSE – CZZ). The BDRs (Brazilian Depositary Receipts) representing Cosan’s class A common shares are listed on the Brazilian Stock Exchange (BM&FBovespa – CZLT33). Mr. Rubens Ometto Silveira Mello is the ultimate controlling shareholder of Cosan. Cosan controls Cosan S.A. Indústria e Comércio (“Cosan S.A.”) and its subsidiaries with a 62.30 % interest. Cosan, Cosan S.A. and its subsidiaries are collectively referred to as the “Company”.
The Company’s primary activities are in the following business segments: (i) Piped natural gas distribution to part of the State of São Paulo through its subsidiary Companhia de Gás de São Paulo – COMGÁS (“COMGÁS”); (ii) Logistics services including transportation, port loading and storage of sugar, through its subsidiary Rumo Logística Operadora Multimodal S.A. (“Rumo”); (iii) Purchase, sale and leasing of agricultural land through its subsidiary, Radar Propriedades Agrícolas S.A. ("Radar"); (iv) Production and distribution of lubricants under the Mobil licensed trademark in Brazil, Bolivia, Uruguay and Paraguay, in addition to the European and Asian market using the Comma brand and corporate activities; and (v) other investments, in addition to the corporate structures of the Company (“Cosan’s other business”). At October 1, 2014 the segment “RUMO” was spun-off to “Cosan Logística S/A” according to Note 28.
The Company also holds interests in two jointly controlled entities ("Joint Ventures" or "JVs"): (i) Raízen Combustíveis S.A. (“Raízen Combustíveis”), fuel distribution business, and (ii) Raízen Energia S.A. (“Raízen Energia”), production and marketing of sugar, ethanol and energy cogeneration, produced from sugar cane bagasse. Cosan and Royal Dutch Shell (“Shell”) share control of the two entities, where each owns 50% of the economic control. These investments are accounted for under the equity method as from the adoption of IFRS 11.
The Annual General Shareholders' Meeting held on July 31, 2013, approved a fiscal year end change from March 31st to December 31st. This change was driven by changes in the Company’s investment portfolio, in which other businesses that do not use the harvest year (March 31st) have become more significant. With this change, the Company’s fiscal year begins on January 1st and ends on December 31st. These consolidated financial statements are for the nine months ended September 30, 2013.
|
2
|
Basis of preparation
|
|
2.1
|
Statement of compliance
|
The interim consolidated financial statements have been prepared in accordance with IAS 34 - Interim Financial Reporting, as issued by the International Accounting Standards Board (IASB). They do not include all the information required for a complete set of IFRS financial statements. However, selected explanatory notes are included to explain events and transactions that are significant to an understanding of the changes in the Company’s financial position and performance since the last annual consolidated financial statements as at and for the year ended December 31, 2013.
These interim consolidated financial statements were authorized for issue by the Board of Directors on October 29, 2014.
12
Cosan Limited
Notes to the consolidated interim financial statements
For the nine month period ended September 30, 2014 and 2013
(Amounts in thousands of Brazilian Reais – R$, unless otherwise stated)
|
2.2
|
Basis of consolidation
|
The consolidated financial statements include the accounts of Cosan and its subsidiaries. Cosan’s subsidiaries are listed below:
|
|
Ownership percentage
|
|||||||
|
|
September 30,
2014
|
December 31,
2013
|
||||||
|
Directly owned subsidiary
|
|
|
||||||
|
_Cosan S.A.
|
62.30 | 62.30 | ||||||
|
|
||||||||
|
Interest of Cosan S.A. in its subsidiaries
|
||||||||
|
Administração de Participações Aguassanta Ltda.(1)
|
- | 65.00 | ||||||
|
Águas da Ponte Alta S.A.
|
65.00 | 65.00 | ||||||
|
Bioinvestments Negócios e Participações S.A.
|
65.00 | 65.00 | ||||||
|
Comma Oil Chemicals
|
100.00 | 100.00 | ||||||
|
Companhia de Gás de São Paulo - COMGÁS
|
60.69 | 60.05 | ||||||
|
Cosan Biomassa S.A.
|
100.00 | 100.00 | ||||||
|
Cosan Cayman II Limited
|
100.00 | 100.00 | ||||||
|
Cosan Global Limited
|
100.00 | 100.00 | ||||||
|
Cosan Investimentos e Participações S.A.
|
100.00 | 100.00 | ||||||
|
Cosan Logística S.A.
|
100.00 | 100.00 | ||||||
|
Cosan Lubes Investments Limited
|
100.00 | 100.00 | ||||||
|
Cosan Lubrificantes e Especialidades S.A.
|
100.00 | 100.00 | ||||||
|
Cosan Luxembourg S.A.
|
100.00 | 100.00 | ||||||
|
Cosan Overseas Limited
|
100.00 | 100.00 | ||||||
|
Cosan Paraguay S.A.
|
100.00 | 100.00 | ||||||
|
Cosan US, Inc.
|
100.00 | 100.00 | ||||||
|
Esus Brasil Participações S.A.
|
100.00 | - | ||||||
|
Janus Brasil Participações S.A.
|
100.00 | - | ||||||
|
Logispot Armazéns Gerais S.A.(2)
|
38.25 | 38.25 | ||||||
|
Nova Agrícola Ponte Alta S.A.
|
29.50 | 29.50 | ||||||
|
Nova Amaralina S.A. Propriedades Agrícolas
|
29.50 | 29.50 | ||||||
|
Nova Santa Barbara Agrícola S.A.
|
29.50 | 29.50 | ||||||
|
Novo Rumo Logística S.A.
|
- | 100.00 | ||||||
|
Pasadena Empreendimentos e Participações S.A.
|
100.00 | 100.00 | ||||||
|
Proud Participações S.A.
|
65.00 | 65.00 | ||||||
|
Radar II Propriedades Agrícolas S.A.
|
65.00 | 65.00 | ||||||
|
Radar Propriedades Agrícolas S.A.
|
29.50 | 29.50 | ||||||
|
Rumo Logística Operadora Multimodal S.A.
|
75.00 | 75.00 | ||||||
|
Terras da Ponte Alta S.A.
|
29.50 | 29.50 | ||||||
|
Vale da Ponte Alta S.A.
|
65.00 | 65.00 | ||||||
|
|
(1)
|
Incorporated in March 2014;
|
|
|
(2)
|
Cosan has control over this subsidiary through an interest of 51% held by Rumo.
|
13
Cosan Limited
Notes to the consolidated interim financial statements
For the nine month period ended September 30, 2014 and 2013
(Amounts in thousands of Brazilian Reais – R$, unless otherwise stated)
|
2.3
|
New standards and interpretations not yet adopted
|
New standards and amendments to standards and interpretations are effective for annual periods beginning after January 1, 2014, and have not been applied in preparing these interim consolidated financial statements. None of these is expected to have a significant effect on the interim consolidated financial statements of the Company, except the following set out below:
|
|
I.
|
IFRS 9, ‘Financial instruments’, addresses the classification, measurement and recognition of financial assets and financial liabilities. IFRS 9 was issued in November 2009 and October 2010. It replaces the parts of IAS 39 that relate to the classification and measurement of financial instruments. IFRS 9 requires financial assets to be classified into two measurement categories: those measured as at fair value and those measured at amortized cost. The determination is made at initial recognition. The classification depends on the entity’s business model for managing its financial instruments and the contractual cash flow characteristics of the instrument. For financial liabilities, the standard retains most of the IAS 39 requirements. The main change is that, in cases where the fair value option is taken for financial liabilities, the part of a fair value change due to an entity’s own credit risk is recorded in other comprehensive income rather than the income statement, unless this creates an accounting mismatch. The Company is yet to assess IFRS 9’s full impact. The Company will also consider the impact of the remaining phases of IFRS 9 when completed by the Board.
|
|
|
II.
|
On May 28, 2014, the IASB issued IFRS 15 – Revenue from Contracts with Customers, which outlines a single comprehensive model of accounting for revenue arising from contracts with customers and supersedes current revenue recognition guidance, which is found currently across several standards and Interpretations within IFRSs. The core principle is that an entity recognizes revenue to reflect the transfer of goods or services, measured as the amount to which the entity expects to be entitled in exchange for those goods or services. However, the new Standard does not apply to transactions that are instead within the scope of the leasing standard.
|
The new standard is effective for reporting periods beginning on or after 1 January 2017, with earlier application permitted. Entities can choose to apply the Standard retrospectively or use a modified approach in the year of application. The Company is evaluating the impact of this new standard on the financial statements.
|
3
|
Operating segments
|
Segment information
The following segment information is based on the information used by Cosan's senior management to assess the performance of the operating segments and to make decisions with regards to the allocation of resources. This information is prepared on a consistent basis with the accounting policies used in the preparation of the consolidated financial statements. Cosan evaluates operating performance based on the measure of EBITDA. A reconciliation of EBITDA to profit (loss) of the period is presented below.
14
Cosan Limited
Notes to the consolidated interim financial statements
For the nine month period ended September 30, 2014 and 2013
(Amounts in thousands of Brazilian Reais – R$, unless otherwise stated)
Operating segments
|
|
I.
|
Raízen Energia: production and marketing of a variety of products derived from sugar cane, including raw sugar (VHP), anhydrous and hydrated ethanol, and activities related to energy cogeneration from sugarcane bagasse. In addition, this segment holds interests in companies engaged in research and development on new technology;
|
|
|
II.
|
Raízen Combustíveis: distribution and marketing of fuels, mainly through a network of service stations under the "Shell" brand throughout Brazil;
|
|
|
III.
|
COMGÁS: distribution of piped natural gas to part of the State of São Paulo (approximately 180 municipalities, including the region called Greater São Paulo) to customers in the industrial, residential, commercial, automotive, thermogeneration and cogeneration sectors;
|
|
|
IV.
|
Rumo: logistics services for transport, storage and port loading of commodities, mainly for sugar products;
|
|
|
V.
|
Radar: management, buying, selling and leasing of agricultural properties;
|
|
|
VI.
|
Lubricants: production and distribution of lubricants under the Mobil brand in Brazil, Bolivia, Uruguay and Paraguay, as well as European and Asian market with a Comma trademark; Following the adoption of IFRS 11, whereby the Company no longer proportionally consolidates the results of Raízen Energia and Raízen Combustíveis, the Lubricants segment met the quantitative thresholds to be separately reportable, and the comparative segment information has been restated;
|
|
VII.
|
Cosan´s other business: other investments, in addition to the corporate activities of the Company.
|
The segments Raízen Energia and Raízen Combustíveis are accounted for under the equity method and not consolidated in these interim consolidated financial statements in accordance with IFRS 11. However, the Company’s senior management continues to review segment information of 100% of the results of these segments and a reconciliation of these segments to the entity’s financial information is presented in the column “Joint Venture deconsolidation”.
The following summarized assets and selected profit or loss information by segment were prepared on the same basis as the accounting practices used in the preparation of consolidated information:
15
Cosan Limited
Notes to the consolidated interim financial statements
For the nine month period ended September 30, 2014 and 2013
(Amounts in thousands of Brazilian Reais – R$, unless otherwise stated)
|
|
July 1, 2014 to September 30, 2014
|
|||||||||||||||||||||||||||||||||||||||
|
Raízen Energia
|
Raízen Combustíveis
|
COMGÁS
|
Rumo
|
Radar
|
Lubricants
|
Cosan´s other business
|
Deconsolidated effects IFRS 11
|
Segment elimination
|
Consolidated
|
|||||||||||||||||||||||||||||||
|
Statement of income
|
||||||||||||||||||||||||||||||||||||||||
|
Net sales
|
2,331,340 | 14,333,868 | 1,643,750 | 261,300 | 27,350 | 429,850 | - | (16,665,208 | ) | - | 2,362,250 | |||||||||||||||||||||||||||||
|
Domestic market
|
1,087,302 | 14,333,868 | 1,643,750 | 218,047 | 27,350 | 354,266 | - | (15,421,170 | ) | - | 2,243,413 | |||||||||||||||||||||||||||||
|
External market
|
1,244,038 | - | - | 43,253 | - | 75,584 | - | (1,244,038 | ) | - | 118,837 | |||||||||||||||||||||||||||||
|
Gross profit
|
373,908 | 711,930 | 494,834 | 80,635 | 20,419 | 96,894 | 2 | (1,085,838 | ) | - | 692,784 | |||||||||||||||||||||||||||||
|
Selling, general and administrative expenses
|
(283,345 | ) | (395,375 | ) | (240,314 | ) | (20,894 | ) | (8,880 | ) | (82,215 | ) | (33,216 | ) | 678,720 | - | (385,519 | ) | ||||||||||||||||||||||
|
Other income (expenses), net
|
23,331 | 83,829 | (6,000 | ) | 1,017 | 18,756 | 416 | (18,681 | ) | (107,160 | ) | - | (4,492 | ) | ||||||||||||||||||||||||||
|
Financial income
|
106,535 | 23,250 | 27,222 | 6,468 | 1,815 | 1,705 | 17,336 | (129,785 | ) | (3,142 | ) | 51,404 | ||||||||||||||||||||||||||||
|
Financial expense
|
(128,453 | ) | (38,708 | ) | (75,395 | ) | (9,819 | ) | (215 | ) | 27,393 | (208,442 | ) | 167,161 | 3,142 | (263,336 | ) | |||||||||||||||||||||||
|
Foreign exchange gain (losses), net
|
(266,774 | ) | (68,122 | ) | (80,876 | ) | 290 | - | (46,006 | ) | (73,579 | ) | 334,896 | - | (200,171 | ) | ||||||||||||||||||||||||
|
Derivatives
|
94,672 | (3,274 | ) | 80,927 | - | - | 8,958 | 34,527 | (91,398 | ) | - | 124,412 | ||||||||||||||||||||||||||||
|
Equity in income of associates
|
(12,872 | ) | 3,887 | - | - | - | (1,498 | ) | 131,609 | 8,985 | (133,480 | ) | (3,369 | ) | ||||||||||||||||||||||||||
|
Equity in income of jointly controlled entity
|
- | - | - | - | - | - | 79,168 | - | - | 79,168 | ||||||||||||||||||||||||||||||
|
Income taxes expenses
|
63,139 | (121,209 | ) | (66,295 | ) | (19,371 | ) | (3,571 | ) | (1,954 | ) | 107,051 | 58,070 | - | 15,860 | |||||||||||||||||||||||||
|
Profit (loss) for the period
|
(29,859 | ) | 196,207 | 134,104 | 38,324 | 28,323 | 3,694 | 35,776 | (166,348 | ) | (133,480 | ) | 106,741 | |||||||||||||||||||||||||||
|
Other selected data
|
||||||||||||||||||||||||||||||||||||||||
|
Depreciation and amortization
|
529,517 | 141,936 | 128,877 | 25,650 | 243 | 17,263 | 890 | (671,453 | ) | - | 172,923 | |||||||||||||||||||||||||||||
|
EBITDA
|
630,539 | 546,206 | 377,398 | 86,406 | 30,537 | 30,861 | 159,773 | (1,176,745 | ) | (133,480 | ) | 551,495 | ||||||||||||||||||||||||||||
|
Acquisition of property, plant and
equipment and intangible assets
|
387,417 | 195,740 | 171,684 | 85,551 | 192 | 15,627 | 24,258 | (583,157 | ) | - | 297,312 | |||||||||||||||||||||||||||||
|
Reconciliation of EBITDA
|
||||||||||||||||||||||||||||||||||||||||
|
Profit (loss) for the period
|
(29,859 | ) | 196,207 | 134,104 | 38,324 | 28,323 | 3,694 | 35,776 | (166,348 | ) | (133,480 | ) | 106,741 | |||||||||||||||||||||||||||
|
Income taxes expenses
|
(63,139 | ) | 121,209 | 66,295 | 19,371 | 3,571 | 1,954 | (107,051 | ) | (58,070 | ) | - | (15,860 | ) | ||||||||||||||||||||||||||
|
Financial result, net
|
194,020 | 86,854 | 48,122 | 3,061 | (1,600 | ) | 7,950 | 230,158 | (280,874 | ) | - | 287,691 | ||||||||||||||||||||||||||||
|
Depreciation and amortization
|
529,517 | 141,936 | 128,877 | 25,650 | 243 | 17,263 | 890 | (671,453 | ) | - | 172,923 | |||||||||||||||||||||||||||||
|
EBITDA
|
630,539 | 546,206 | 377,398 | 86,406 | 30,537 | 30,861 | 159,773 | (1,176,745 | ) | (133,480 | ) | 551,495 | ||||||||||||||||||||||||||||
16
Cosan Limited
Notes to the consolidated interim financial statements
For the nine month period ended September 30, 2014 and 2013
(Amounts in thousands of Brazilian Reais – R$, unless otherwise stated)
|
|
January 1, 2014 to September 30, 2014
|
|||||||||||||||||||||||||||||||||||||||
|
Raízen Energia
|
Raízen Combustíveis
|
COMGÁS
|
Rumo
|
Radar
|
Lubricants
|
Cosan´s other business
|
Deconsolidated effects IFRS 11
|
Segment elimination
|
Consolidated
|
|||||||||||||||||||||||||||||||
|
Statement of income
|
||||||||||||||||||||||||||||||||||||||||
|
Net sales
|
6,622,468 | 41,029,657 | 4,777,520 | 659,715 | 126,092 | 1,202,065 | 33 | (47,652,125 | ) | - | 6,765,425 | |||||||||||||||||||||||||||||
|
Domestic market
|
2,884,269 | 41,029,657 | 4,777,520 | 553,735 | 126,092 | 985,275 | 33 | (43,913,926 | ) | - | 6,442,655 | |||||||||||||||||||||||||||||
|
External market
|
3,738,199 | - | - | 105,980 | - | 216,790 | - | (3,738,199 | ) | - | 322,770 | |||||||||||||||||||||||||||||
|
Gross profit
|
1,191,299 | 2,000,178 | 1,468,361 | 226,950 | 70,771 | 263,965 | 34 | (3,191,477 | ) | - | 2,030,081 | |||||||||||||||||||||||||||||
|
Selling, general and administrative expenses
|
(825,621 | ) | (1,181,344 | ) | (692,231 | ) | (63,632 | ) | (25,727 | ) | (238,159 | ) | (114,660 | ) | 2,006,965 | - | (1,134,409 | ) | ||||||||||||||||||||||
|
Other income (expenses), net
|
81,990 | 262,258 | (13,927 | ) | (464 | ) | 63,619 | 586 | (153,266 | ) | (344,248 | ) | - | (103,452 | ) | |||||||||||||||||||||||||
|
Financial income
|
252,247 | 69,840 | 65,707 | 28,602 | 7,670 | 3,282 | 78,159 | (322,087 | ) | (9,244 | ) | 174,176 | ||||||||||||||||||||||||||||
|
Financial expense
|
(370,615 | ) | (102,013 | ) | (217,555 | ) | (52,283 | ) | (779 | ) | 62,603 | (572,024 | ) | 472,628 | 9,244 | (770,794 | ) | |||||||||||||||||||||||
|
Foreign exchange gain (losses), net
|
(136,828 | ) | (15,108 | ) | (48,716 | ) | 572 | - | (20,089 | ) | (35,380 | ) | 151,936 | - | (103,613 | ) | ||||||||||||||||||||||||
|
Derivatives
|
139,104 | (31,438 | ) | 48,689 | - | - | (6,556 | ) | 9,092 | (107,666 | ) | - | 51,225 | |||||||||||||||||||||||||||
|
Equity in income of associates
|
(28,803 | ) | 11,219 | - | - | - | (4,837 | ) | 648,552 | 17,584 | (646,417 | ) | (2,702 | ) | ||||||||||||||||||||||||||
|
Equity in income of jointly controlled entity
|
- | - | - | - | - | - | 464,633 | - | - | 464,633 | ||||||||||||||||||||||||||||||
|
Income taxes expenses
|
(14,237 | ) | (327,571 | ) | (208,270 | ) | (47,048 | ) | (11,410 | ) | (9,619 | ) | 250,463 | 341,808 | - | (25,884 | ) | |||||||||||||||||||||||
|
Profit (loss) for the period
|
288,536 | 686,021 | 402,059 | 92,695 | 104,145 | 51,178 | 575,602 | (974,557 | ) | (646,417 | ) | 579,262 | ||||||||||||||||||||||||||||
|
Other selected data
|
||||||||||||||||||||||||||||||||||||||||
|
Depreciation and amortization
|
1,423,933 | 403,244 | 376,708 | 70,378 | 727 | 53,611 | 2,497 | (1,827,177 | ) | - | 503,921 | |||||||||||||||||||||||||||||
|
EBITDA
|
1,842,798 | 1,495,555 | 1,138,912 | 233,230 | 109,391 | 75,168 | 847,789 | (3,338,353 | ) | (646,417 | ) | 1,758,073 | ||||||||||||||||||||||||||||
|
Acquisition of property, plant and
equipment and intangible assets
|
1,963,115 | 602,330 | 491,750 | 183,280 | 447 | 30,545 | 50,100 | (2,565,445 | ) | - | 756,122 | |||||||||||||||||||||||||||||
|
Reconciliation of EBITDA
|
||||||||||||||||||||||||||||||||||||||||
|
Profit (loss) for the period
|
288,536 | 686,021 | 402,059 | 92,695 | 104,145 | 51,178 | 575,602 | (974,557 | ) | (646,417 | ) | 579,262 | ||||||||||||||||||||||||||||
|
Income taxes expenses
|
14,237 | 327,571 | 208,270 | 47,048 | 11,410 | 9,619 | (250,462 | ) | (341,808 | ) | - | 25,885 | ||||||||||||||||||||||||||||
|
Financial result, net
|
116,092 | 78,719 | 151,875 | 23,109 | (6,891 | ) | (39,240 | ) | 520,152 | (194,811 | ) | - | 649,005 | |||||||||||||||||||||||||||
|
Depreciation and amortization
|
1,423,933 | 403,244 | 376,708 | 70,378 | 727 | 53,611 | 2,497 | (1,827,177 | ) | - | 503,921 | |||||||||||||||||||||||||||||
|
EBITDA
|
1,842,798 | 1,495,555 | 1,138,912 | 233,230 | 109,391 | 75,168 | 847,789 | (3,338,353 | ) | (646,417 | ) | 1,758,073 | ||||||||||||||||||||||||||||
17
Cosan Limited
Notes to the consolidated interim financial statements
For the nine month period ended September 30, 2014 and 2013
(Amounts in thousands of Brazilian Reais – R$, unless otherwise stated)
|
|
July 1, 2013 to September 30, 2013
|
|||||||||||||||||||||||||||||||||||||||
|
|
Raízen Energia
|
Raízen Combustíveis
|
COMGÁS
|
Rumo
|
Radar
|
Lubricants
|
Cosan´s other business
|
Deconsolidated effects IFRS 11
|
Segment elimination
|
Consolidated
|
||||||||||||||||||||||||||||||
|
Statement of income
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||||||||||||||
|
Net sales
|
3,246,729 | 12,737,213 | 1,682,531 | 328,500 | 16,147 | 407,322 | 11 | (15,983,942 | ) | - | 2,434,511 | |||||||||||||||||||||||||||||
|
Domestic market
|
1,316,753 | 12,737,213 | 1,682,531 | 304,401 | 16,147 | 338,186 | 11 | (14,053,966 | ) | - | 2,341,276 | |||||||||||||||||||||||||||||
|
External market
|
1,929,976 | - | - | 24,099 | - | 69,136 | - | (1,929,976 | ) | - | 93,235 | |||||||||||||||||||||||||||||
|
Gross profit
|
726,101 | 659,996 | 483,958 | 125,139 | 16,147 | 96,293 | 11 | (1,386,097 | ) | - | 721,548 | |||||||||||||||||||||||||||||
|
Selling, general and administrative
expenses
|
(358,584 | ) | (362,825 | ) | (229,988 | ) | (17,286 | ) | (5,314 | ) | (83,486 | ) | (39,997 | ) | 721,409 | - | (376,071 | ) | ||||||||||||||||||||||
|
Other income (expenses), net
|
(19,891 | ) | 66,328 | (17 | ) | (12,613 | ) | 46,800 | 2,383 | (9,222 | ) | (46,437 | ) | - | 27,331 | |||||||||||||||||||||||||
|
Financial income
|
55,193 | 23,386 | 14,557 | 14,534 | 1,051 | 3,560 | 18,040 | (78,579 | ) | (3,142 | ) | 48,600 | ||||||||||||||||||||||||||||
|
Financial expense
|
(114,059 | ) | (18,952 | ) | (38,144 | ) | (9,555 | ) | (178 | ) | (15,400 | ) | (211,830 | ) | 133,011 | 3,142 | (271,965 | ) | ||||||||||||||||||||||
|
Foreign exchange gain (losses), net
|
(25,128 | ) | (7,319 | ) | (6,929 | ) | (109 | ) | - | 15,355 | 78,729 | 32,447 | - | 87,046 | ||||||||||||||||||||||||||
|
Derivatives
|
26,403 | (12,032 | ) | (4,809 | ) | - | - | (4,512 | ) | 4,104 | (14,371 | ) | - | (5,217 | ) | |||||||||||||||||||||||||
|
Equity in income of associates
|
(11,655 | ) | - | - | - | - | (6,534 | ) | 282,928 | 11,655 | (282,612 | ) | (6,218 | ) | ||||||||||||||||||||||||||
|
Equity in income of
jointly controlled entity
|
- | - | - | - | - | - | 197,240 | - | - | 197,240 | ||||||||||||||||||||||||||||||
|
Income tax expenses
|
(94,462 | ) | (119,280 | ) | (74,689 | ) | (33,657 | ) | (3,625 | ) | (10,464 | ) | 4,615 | 213,742 | - | (117,820 | ) | |||||||||||||||||||||||
|
Profit (loss) for the period
|
183,918 | 229,302 | 143,939 | 66,452 | 54,881 | (2,804 | ) | 324,618 | (413,220 | ) | (282,612 | ) | 304,474 | |||||||||||||||||||||||||||
|
|
||||||||||||||||||||||||||||||||||||||||
|
Other selected data
|
||||||||||||||||||||||||||||||||||||||||
|
Depreciation and amortization
|
564,547 | 119,602 | 115,053 | 19,797 | 254 | 17,759 | 519 | (684,149 | ) | - | 153,382 | |||||||||||||||||||||||||||||
|
EBITDA
|
900,518 | 483,101 | 369,006 | 115,036 | 57,887 | 26,416 | 431,479 | (1,383,619 | ) | (282,612 | ) | 717,212 | ||||||||||||||||||||||||||||
|
Acquisition of property, plant and
equipment and intangible assets
|
433,570 | 143,430 | 248,421 | 87,185 | 24 | 53,303 | 8,468 | (577,000 | ) | - | 397,401 | |||||||||||||||||||||||||||||
|
|
||||||||||||||||||||||||||||||||||||||||
|
Reconciliation of EBITDA
|
||||||||||||||||||||||||||||||||||||||||
|
Profit (loss) for the period
|
183,918 | 229,302 | 143,939 | 66,452 | 54,881 | (2,804 | ) | 324,618 | (413,220 | ) | (282,612 | ) | 304,474 | |||||||||||||||||||||||||||
|
Income tax expenses
|
94,462 | 119,280 | 74,689 | 33,657 | 3,625 | 10,464 | (4,615 | ) | (213,742 | ) | - | 117,820 | ||||||||||||||||||||||||||||
|
Financial result, net
|
57,591 | 14,917 | 35,325 | (4,870 | ) | (873 | ) | 997 | 110,957 | (72,508 | ) | - | 141,536 | |||||||||||||||||||||||||||
|
Depreciation and amortization
|
564,547 | 119,602 | 115,053 | 19,797 | 254 | 17,759 | 519 | (684,149 | ) | - | 153,382 | |||||||||||||||||||||||||||||
|
EBITDA
|
900,518 | 483,101 | 369,006 | 115,036 | 57,887 | 26,416 | 431,479 | (1,383,619 | ) | (282,612 | ) | 717,212 | ||||||||||||||||||||||||||||
18
Cosan Limited
Notes to the consolidated interim financial statements
For the nine month period ended September 30, 2014 and 2013
(Amounts in thousands of Brazilian Reais – R$, unless otherwise stated)
|
|
January 1, 2013 to September 30, 2013
|
|||||||||||||||||||||||||||||||||||||||
|
Raízen Energia
|
Raízen Combustíveis
|
COMGÁS
|
Rumo
|
Radar
|
Lubricants
|
Cosan´s other business
|
Deconsolidated effects IFRS 11
|
Segment elimination
|
Consolidated
|
|||||||||||||||||||||||||||||||
|
Statement of income
|
||||||||||||||||||||||||||||||||||||||||
|
Net sales
|
7,075,353 | 35,462,823 | 4,735,927 | 711,221 | 51,409 | 1,151,077 | 25 | (42,538,176 | ) | - | 6,649,659 | |||||||||||||||||||||||||||||
|
Domestic market
|
2,741,231 | 35,462,823 | 4,735,927 | 649,967 | 51,409 | 970,462 | 25 | (38,204,054 | ) | - | 6,407,790 | |||||||||||||||||||||||||||||
|
External market
|
4,334,122 | - | - | 61,254 | - | 180,615 | - | (4,334,122 | ) | - | 241,869 | |||||||||||||||||||||||||||||
|
Gross profit
|
1,211,319 | 1,810,491 | 1,325,553 | 281,661 | 45,353 | 298,912 | 22 | (3,021,810 | ) | (104 | ) | 1,951,397 | ||||||||||||||||||||||||||||
|
Selling, general and administrative
expenses
|
(935,222 | ) | (1,056,489 | ) | (648,811 | ) | (51,710 | ) | (15,132 | ) | (225,446 | ) | (98,217 | ) | 1,991,711 | - | (1,039,316 | ) | ||||||||||||||||||||||
|
Other income (expenses), net
|
15,857 | 213,558 | (6,508 | ) | (18,423 | ) | 110,198 | (5,680 | ) | (24 | ) | (229,415 | ) | - | 79,563 | |||||||||||||||||||||||||
|
Financial income
|
167,725 | 85,116 | 34,275 | 37,521 | 2,575 | 31,977 | 65,483 | (252,841 | ) | (5,960 | ) | 165,871 | ||||||||||||||||||||||||||||
|
Financial expense
|
(312,463 | ) | (61,631 | ) | (148,659 | ) | (27,079 | ) | (671 | ) | (46,049 | ) | (505,084 | ) | 374,094 | 5,960 | (721,582 | ) | ||||||||||||||||||||||
|
Foreign exchange gain (losses), net
|
(212,335 | ) | (102,860 | ) | (126,250 | ) | 55 | (3 | ) | 4,175 | (100,838 | ) | 315,195 | - | (222,861 | ) | ||||||||||||||||||||||||
|
Derivatives
|
(38,338 | ) | 28,521 | 98,473 | - | - | 1,594 | 39,329 | 9,817 | - | 139,396 | |||||||||||||||||||||||||||||
|
Equity in income of associates
|
(21,609 | ) | - | - | - | 29 | (6,534 | ) | 420,731 | 21,609 | (418,111 | ) | (3,885 | ) | ||||||||||||||||||||||||||
|
Equity in income of
jointly controlled entity
|
- | - | - | - | - | - | 255,157 | - | - | 255,157 | ||||||||||||||||||||||||||||||
|
Income tax expenses
|
49,538 | (297,709 | ) | (180,247 | ) | (75,916 | ) | (8,183 | ) | (31,231 | ) | 82,045 | 248,171 | 23 | (213,509 | ) | ||||||||||||||||||||||||
|
Profit (loss) for the period
|
(75,528 | ) | 618,997 | 347,828 | 146,109 | 134,166 | 21,719 | 158,601 | (543,469 | ) | (418,192 | ) | 390,231 | |||||||||||||||||||||||||||
|
Other selected data
|
||||||||||||||||||||||||||||||||||||||||
|
Depreciation and amortization
|
1,453,791 | 355,758 | 327,426 | 57,478 | 707 | 52,510 | 1,616 | (1,809,549 | ) | - | 439,737 | |||||||||||||||||||||||||||||
|
EBITDA
|
1,724,136 | 1,323,318 | 997,662 | 269,006 | 141,155 | 113,763 | 579,282 | (3,047,454 | ) | (418,215 | ) | 1,682,653 | ||||||||||||||||||||||||||||
|
Acquisition of property, plant and
equipment and intangible assets
|
1,926,905 | 386,232 | 642,810 | 213,289 | 2,416 | 77,861 | 10,521 | (2,313,137 | ) | - | 946,897 | |||||||||||||||||||||||||||||
|
Reconciliation of EBITDA
|
||||||||||||||||||||||||||||||||||||||||
|
Profit (loss) for the period
|
(75,528 | ) | 618,997 | 347,828 | 146,109 | 134,166 | 21,719 | 158,601 | (543,469 | ) | (418,192 | ) | 390,231 | |||||||||||||||||||||||||||
|
Income tax expenses
|
(49,538 | ) | 297,709 | 180,247 | 75,916 | 8,183 | 31,231 | (82,045 | ) | (248,171 | ) | (23 | ) | 213,509 | ||||||||||||||||||||||||||
|
Financial result, net
|
395,411 | 50,854 | 142,161 | (10,497 | ) | (1,901 | ) | 8,303 | 501,110 | (446,265 | ) | - | 639,176 | |||||||||||||||||||||||||||
|
Depreciation and amortization
|
1,453,791 | 355,758 | 327,426 | 57,478 | 707 | 52,510 | 1,616 | (1,809,549 | ) | - | 439,737 | |||||||||||||||||||||||||||||
|
EBITDA
|
1,724,136 | 1,323,318 | 997,662 | 269,006 | 141,155 | 113,763 | 579,282 | (3,047,454 | ) | (418,215 | ) | 1,682,653 | ||||||||||||||||||||||||||||
19
Cosan Limited
Notes to the consolidated interim financial statements
For the nine month period ended September 30, 2014 and 2013
(Amounts in thousands of Brazilian Reais – R$, unless otherwise stated)
|
|
September 30, 2014
|
|||||||||||||||||||||||||||||||||||||||
|
Statement of financial position
|
Raízen Energia
|
Raízen Combustíveis
|
COMGÁS
|
Rumo
|
Radar
|
Lubricants
|
Cosan´s other business
|
Deconsolidated effects IFRS 11
|
Segment elimination
|
Consolidated
|
||||||||||||||||||||||||||||||
|
Cash and cash equivalents
|
1,559,747 | 198,987 | 920,774 | 96,764 | 678 | 33,282 | 279,121 | (1,758,734 | ) | - | 1,330,619 | |||||||||||||||||||||||||||||
|
Investment securities
|
- | - | - | - | 137,352 | - | 65,000 | - | - | 202,352 | ||||||||||||||||||||||||||||||
|
Trade receivables
|
582,527 | 1,449,506 | 600,655 | 36,908 | 15,965 | 218,704 | 241 | (2,032,033 | ) | - | 872,473 | |||||||||||||||||||||||||||||
|
Inventories
|
2,577,602 | 1,069,562 | 120,422 | 6,099 | - | 200,810 | 36 | (3,647,164 | ) | - | 327,367 | |||||||||||||||||||||||||||||
|
Other current assets
|
2,490,982 | 475,354 | 250,620 | 21,696 | 458,141 | 28,950 | 365,096 | (2,966,336 | ) | (35,418 | ) | 1,089,085 | ||||||||||||||||||||||||||||
|
Equity method investments
|
213,941 | 256,546 | - | - | - | 15,822 | 13,042,463 | (470,487 | ) | (12,946,981 | ) | 111,304 | ||||||||||||||||||||||||||||
|
Investment in jointly ventures
|
- | - | - | - | - | - | 8,576,681 | - | - | 8,576,681 | ||||||||||||||||||||||||||||||
|
Biological assets
|
1,828,829 | - | - | - | - | - | - | (1,828,829 | ) | - | - | |||||||||||||||||||||||||||||
|
Investment property
|
- | - | - | - | 2,167,221 | - | - | - | - | 2,167,221 | ||||||||||||||||||||||||||||||
|
Property, plant and equipment
|
9,863,400 | 2,462,341 | - | 1,047,280 | 10,862 | 208,516 | 94,154 | (12,325,741 | ) | - | 1,360,812 | |||||||||||||||||||||||||||||
|
Intangible assets
|
3,339,449 | 4,248,628 | 8,558,658 | 834,405 | 142 | 833,265 | 6,756 | (7,588,077 | ) | - | 10,233,226 | |||||||||||||||||||||||||||||
|
Other non-current assets
|
2,045,218 | 2,334,443 | 368,772 | 406,374 | 12,820 | (130,587 | ) | 2,395,264 | (4,379,661 | ) | (4,559 | ) | 3,048,084 | |||||||||||||||||||||||||||
|
Loans and borrowings
|
(9,635,618 | ) | (868,183 | ) | (2,984,172 | ) | (715,698 | ) | - | (244,578 | ) | (3,699,650 | ) | 10,503,801 | - | (7,644,098 | ) | |||||||||||||||||||||||
|
Trade payables
|
(821,322 | ) | (308,300 | ) | (774,238 | ) | (114,947 | ) | (789 | ) | (105,403 | ) | (1,316 | ) | 1,129,622 | - | (996,693 | ) | ||||||||||||||||||||||
|
Employee benefits payable
|
(323,051 | ) | (61,895 | ) | (52,503 | ) | (16,368 | ) | (13,192 | ) | (16,503 | ) | (17,185 | ) | 384,946 | - | (115,751 | ) | ||||||||||||||||||||||
|
Other current liabilities
|
(594,002 | ) | (1,673,413 | ) | (120,654 | ) | (49,679 | ) | (19,602 | ) | (90,476 | ) | (256,069 | ) | 2,267,415 | 39,978 | (496,502 | ) | ||||||||||||||||||||||
|
Other non-current liabilities
|
(2,555,281 | ) | (2,805,705 | ) | (984,842 | ) | (215,846 | ) | (87,387 | ) | (209,570 | ) | (4,939,207 | ) | 5,360,986 | - | (6,436,852 | ) | ||||||||||||||||||||||
|
Total assets (net of liabilities)
allocated by segment
|
10,572,421 | 6,777,871 | 5,903,492 | 1,336,988 | 2,682,211 | 742,232 | 15,911,385 | (17,350,292 | ) | (12,946,980 | ) | 13,629,328 | ||||||||||||||||||||||||||||
|
Total assets
|
24,501,695 | 12,495,367 | 10,819,901 | 2,449,526 | 2,803,181 | 1,408,763 | 24,824,810 | (36,997,062 | ) | (12,986,957 | ) | 29,319,224 | ||||||||||||||||||||||||||||
20
Cosan Limited
Notes to the consolidated interim financial statements
For the nine month period ended September 30, 2014 and 2013
(Amounts in thousands of Brazilian Reais – R$, unless otherwise stated)
|
|
December 31, 2013
|
|||||||||||||||||||||||||||||||||||||||
|
Statement of financial position
|
Raízen Energia
|
Raízen Combustíveis
|
COMGÁS
|
Rumo
|
Radar
|
Lubricants
|
Cosan´s other business
|
Deconsolidated effects IFRS 11
|
Segment elimination
|
Consolidated
|
||||||||||||||||||||||||||||||
|
Cash and cash equivalents
|
1,058,483 | 328,992 | 535,957 | 497,753 | 13,408 | 57,892 | 404,555 | (1,387,475 | ) | - | 1,509,565 | |||||||||||||||||||||||||||||
|
Investment securities
|
- | - | - | - | 87,978 | - | - | - | - | 87,978 | ||||||||||||||||||||||||||||||
|
Trade receivables
|
416,746 | 1,435,095 | 582,889 | 32,506 | 28,052 | 200,796 | 240 | (1,851,841 | ) | - | 844,483 | |||||||||||||||||||||||||||||
|
Inventories
|
2,026,925 | 1,057,049 | 121,253 | 5,237 | - | 185,490 | - | (3,083,974 | ) | - | 311,980 | |||||||||||||||||||||||||||||
|
Other current assets
|
1,279,553 | 484,475 | 248,803 | 22,389 | 323,475 | 45,227 | 384,102 | (1,764,028 | ) | (214,007 | ) | 809,989 | ||||||||||||||||||||||||||||
|
Equity method investments
|
408,591 | 254,826 | - | - | - | 15,364 | 12,702,097 | (663,417 | ) | (12,614,145 | ) | 103,316 | ||||||||||||||||||||||||||||
|
Investment in joint ventures
|
- | - | - | - | - | - | 8,498,259 | - | - | 8,498,259 | ||||||||||||||||||||||||||||||
|
Biological assets
|
1,867,765 | - | - | - | - | - | - | (1,867,765 | ) | - | - | |||||||||||||||||||||||||||||
|
Investment property
|
- | - | - | - | 2,281,509 | - | - | - | - | 2,281,509 | ||||||||||||||||||||||||||||||
|
Property, plant and equipment
|
9,504,874 | 2,494,486 | - | 1,013,149 | 11,195 | 197,137 | 50,429 | (11,999,360 | ) | - | 1,271,910 | |||||||||||||||||||||||||||||
|
Intangible assets
|
3,100,227 | 4,038,314 | 8,450,541 | 755,635 | 89 | 867,826 | 3,949 | (7,138,541 | ) | - | 10,078,040 | |||||||||||||||||||||||||||||
|
Other non-current assets
|
1,534,557 | 1,403,117 | 332,918 | 234,965 | 4,884 | (93,658 | ) | 2,755,380 | (2,937,674 | ) | (415,784 | ) | 2,818,705 | |||||||||||||||||||||||||||
|
Loans and borrowings
|
(7,732,778 | ) | (862,521 | ) | (2,841,387 | ) | (705,974 | ) | - | (209,579 | ) | (5,336,016 | ) | 8,595,299 | - | (9,092,956 | ) | |||||||||||||||||||||||
|
Trade payables
|
(633,505 | ) | (551,176 | ) | (706,397 | ) | (82,872 | ) | (1,216 | ) | (70,102 | ) | (1,560 | ) | 1,184,681 | (282 | ) | (862,429 | ) | |||||||||||||||||||||
|
Employee benefits payable
|
(249,919 | ) | (60,091 | ) | (59,417 | ) | (12,522 | ) | (4,247 | ) | (13,039 | ) | (14,070 | ) | 310,010 | - | (103,295 | ) | ||||||||||||||||||||||
|
Other current liabilities
|
(495,240 | ) | (525,188 | ) | (301,089 | ) | (127,287 | ) | (31,020 | ) | (107,826 | ) | (280,883 | ) | 1,020,428 | 213,997 | (634,108 | ) | ||||||||||||||||||||||
|
Other non-current liabilities
|
(1,693,036 | ) | (2,715,727 | ) | (863,768 | ) | (198,620 | ) | (85,951 | ) | (327,564 | ) | (3,543,346 | ) | 4,408,763 | 416,067 | (4,603,182 | ) | ||||||||||||||||||||||
|
Total assets (net of liabilities)
allocated by segment
|
10,393,243 | 6,781,651 | 5,500,303 | 1,434,359 | 2,628,156 | 747,964 | 15,623,136 | (17,174,894 | ) | (12,614,154 | ) | 13,319,764 | ||||||||||||||||||||||||||||
|
Total assets
|
21,197,721 | 11,496,354 | 10,272,361 | 2,561,634 | 2,750,590 | 1,476,074 | 24,799,011 | (32,694,075 | ) | (13,243,936 | ) | 28,615,734 | ||||||||||||||||||||||||||||
21
Cosan Limited
Notes to the consolidated interim financial statements
For the nine month period ended September 30, 2014 and 2013
(Amounts in thousands of Brazilian Reais – R$, unless otherwise stated)
Detailed net sales by segment:
|
|
July 1, 2014 to
September 30,
2014
|
January 1, 2014
to September 30,
2014
|
July 1, 2013 to
September 30,
2013
|
January 1, 2013
to September 30,
2013
|
||||||||||||
|
Raízen Energia
|
|
|
|
|
||||||||||||
|
Sugar
|
1,075,130 | 2,883,405 | 1,492,312 | 3,428,124 | ||||||||||||
|
Ethanol
|
951,990 | 3,152,586 | 1,519,756 | 3,223,801 | ||||||||||||
|
Cogeneration
|
230,582 | 432,834 | 153,251 | 263,636 | ||||||||||||
|
Other
|
73,638 | 153,643 | 81,410 | 159,792 | ||||||||||||
|
|
2,331,340 | 6,622,468 | 3,246,729 | 7,075,353 | ||||||||||||
|
Raízen Combustíveis
|
||||||||||||||||
|
Fuels
|
14,333,868 | 41,029,657 | 12,737,213 | 35,462,823 | ||||||||||||
|
|
14,333,868 | 41,029,657 | 12,737,213 | 35,462,823 | ||||||||||||
|
COMGÁS
|
||||||||||||||||
|
Industrial
|
1,039,188 | 3,100,765 | 1,068,152 | 3,015,187 | ||||||||||||
|
Residential
|
193,576 | 475,842 | 188,771 | 466,216 | ||||||||||||
|
Thermogeneration
|
95,438 | 286,867 | 35,730 | 210,937 | ||||||||||||
|
Cogeneration
|
59,124 | 187,132 | 62,355 | 193,337 | ||||||||||||
|
Automotive
|
51,290 | 148,044 | 50,393 | 144,169 | ||||||||||||
|
Commercial
|
68,257 | 187,728 | 63,756 | 171,287 | ||||||||||||
|
Construction revenue
|
126,237 | 361,341 | 204,425 | 513,736 | ||||||||||||
|
Other
|
10,640 | 29,801 | 8,949 | 21,058 | ||||||||||||
|
|
1,643,750 | 4,777,520 | 1,682,531 | 4,735,927 | ||||||||||||
|
Rumo
|
||||||||||||||||
|
Port lifting
|
65,159 | 158,467 | 54,477 | 127,951 | ||||||||||||
|
Logistics
|
190,659 | 483,398 | 270,890 | 571,543 | ||||||||||||
|
Other
|
5,482 | 17,850 | 3,133 | 11,727 | ||||||||||||
|
|
261,300 | 659,715 | 328,500 | 711,221 | ||||||||||||
|
Radar
|
||||||||||||||||
|
Property sale
|
11,080 | 74,340 | - | 5,694 | ||||||||||||
|
Land lease
|
14,427 | 46,235 | 16,147 | 45,715 | ||||||||||||
|
Other
|
1,843 | 5,517 | - | - | ||||||||||||
|
|
27,350 | 126,092 | 16,147 | 51,409 | ||||||||||||
|
Lubricants
|
||||||||||||||||
|
Lubricants
|
342,973 | 997,460 | 349,902 | 1,022,616 | ||||||||||||
|
Basic Oil
|
71,471 | 181,662 | 54,834 | 121,232 | ||||||||||||
|
Other
|
15,406 | 22,943 | 2,586 | 7,229 | ||||||||||||
|
|
429,850 | 1,202,065 | 407,322 | 1,151,077 | ||||||||||||
|
|
||||||||||||||||
|
Cosan’s other business
|
- | 33 | 11 | 25 | ||||||||||||
|
|
||||||||||||||||
|
IFRS 11 - Deconsolidated of
|
||||||||||||||||
|
Joint Ventures and eliminations
|
(16,665,208 | ) | (47,652,125 | ) | (15,983,942 | ) | (42,538,176 | ) | ||||||||
|
|
||||||||||||||||
|
Total
|
2,362,250 | 6,765,425 | 2,434,511 | 6,649,659 | ||||||||||||
22
Cosan Limited
Notes to the consolidated interim financial statements
For the nine month period ended September 30, 2014 and 2013
(Amounts in thousands of Brazilian Reais – R$, unless otherwise stated)
|
4
|
Cash and cash equivalents
|
|
|
September 30,
2014 |
December 31,
2013 |
||||||
|
Brazilian Reais
|
|
|
||||||
|
Short-term investments
|
1,199,115 | 1,387,295 | ||||||
|
|
||||||||
|
U.S. Dollars
|
||||||||
|
Cash and bank deposits
|
131,504 | 122,270 | ||||||
|
|
||||||||
|
|
1,330,619 | 1,509,565 | ||||||
Short-term investments are mainly comprised of exclusive funds as presented below:
|
|
September 30,
2014
|
December 31,
2013
|
||||||
|
Exclusive funds
|
|
|
||||||
|
Commitment transactions
|
274,114 | 662,262 | ||||||
|
Bank certificate of deposits - CDB
|
20,371 | 175,895 | ||||||
|
|
294,485 | 838,157 | ||||||
|
Bank investments
|
||||||||
|
Bank certificate of deposits - CDB
|
249,074 | 147,782 | ||||||
|
Commitment transactions
|
617,984 | 342,894 | ||||||
|
Other financial investments
|
37,572 | 58,462 | ||||||
|
|
904,630 | 549,138 | ||||||
|
|
||||||||
|
|
1,199,115 | 1,387,295 | ||||||
|
5
|
Trade receivables
|
|
|
September 30,
2014
|
December 31,
2013
|
||||||
|
Domestic
|
1,298,019 | 1,087,118 | ||||||
|
Foreign
|
28,189 | 24,453 | ||||||
|
Allowance for
|
||||||||
|
doubtful accounts
|
(47,631 | ) | (28,628 | ) | ||||
|
|
||||||||
|
|
1,278,577 | 1,082,943 | ||||||
|
|
||||||||
|
Current
|
872,473 | 844,483 | ||||||
|
Non-current
|
406,104 | 238,460 | ||||||
23
Cosan Limited
Notes to the consolidated interim financial statements
For the nine month period ended September 30, 2014 and 2013
(Amounts in thousands of Brazilian Reais – R$, unless otherwise stated)
On October 10, 2013, ALL – América Latina Logística S.A. (“ALL”), issued a press release announcing that it had initiated legal actions in relation to the contracts entered with Rumo. Rumo then filed a request for arbitration against ALL, among other administrative and judicial measures to enforce its contractual rights and to require ALL comply with the terms of the agreement signed in 2009, as amended, including the 4th and 5th amendment signed on May 31, 2013. There are no judicial decisions suspending the validity of the contracts signed between ALL and Rumo.
On May 12, 2014, Rumo and ALL together requested the suspension of all court proceedings related to the performance of the agreements in accordance with art. 265, item II of CPC - Civil Procedure Code, as well as any resources or incident thereto, for a period of six months, without prejudice to the parties when the eventual resumption of its course.
As of September 30, 2014, Rumo has recorded accounts receivable from ALL amounting to R$373,720 (R$225,401 on December 31, 2013), net of allowance for losses amounting to R$20,950, for services provided under the agreements in accordance with IAS 18 - Revenue. Additionally, revenue totaling R$145,377, including penalties and interest, was not recorded because not all the criteria for revenue recognition have been met.
|
6
|
Other financial assets
|
|
|
September 30,
2014
|
December 31,
2013
|
||||||
|
Exxon Mobil financial assets
|
326,328 | 309,378 | ||||||
|
Receivable from sale of
|
||||||||
|
discontinued operations(a)
|
173,195 | 160,783 | ||||||
|
|
499,523 | 470,161 | ||||||
|
|
||||||||
|
Current
|
67,888 | 63,054 | ||||||
|
Non-current
|
431,635 | 407,107 | ||||||
|
|
a)
|
Remaining balance from the sale of Cosan Alimentos will be received in three installments, adjusted by the CDI or SELIC indices.
|
24
Cosan Limited
Notes to the consolidated interim financial statements
For the nine month period ended September 30, 2014 and 2013
(Amounts in thousands of Brazilian Reais – R$, unless otherwise stated)
|
7
|
Related parties
|
|
|
a)
|
Receivables from and payables to related parties are as follows:
|
|
|
September 30,
2014
|
December 31,
2013
|
||||||
|
Current assets
|
|
|
||||||
|
Commercial operations
|
|
|
||||||
|
Raízen Energia S.A.
|
29,519 | 27,681 | ||||||
|
Raízen Combustíveis S.A.
|
2,460 | 4,048 | ||||||
|
Aguassanta Participações S.A.
|
6,350 | 6,368 | ||||||
|
Mansilla Participações Ltda.
|
6,039 | - | ||||||
|
Other
|
1,676 | - | ||||||
|
|
46,044 | 38,097 | ||||||
|
Corporate operation / Agreements
|
||||||||
|
Raízen Energia S.A.
|
1,566 | 1,468 | ||||||
|
|
1,566 | 1,468 | ||||||
|
Financial operations
|
||||||||
|
Rezende Barbosa Group
|
2,753 | 7,223 | ||||||
|
Raízen Combustíveis S.A.
|
1,385 | - | ||||||
|
Esus Brasil Participações S.A.
|
5,000 | - | ||||||
| 9,138 | 7,223 | |||||||
|
|
||||||||
|
|
56,748 | 46,788 | ||||||
|
|
||||||||
|
Non-current assets
|
||||||||
|
Receivables under the
|
||||||||
|
framework agreement
|
||||||||
|
Raízen Energia S.A.
|
261,994 | 305,183 | ||||||
|
Raízen Combustíveis S.A.
|
15,126 | 90,756 | ||||||
|
|
277,120 | 395,939 | ||||||
|
Financial operations
|
||||||||
|
Rezende Barbosa Group
|
106,058 | 107,002 | ||||||
|
|
106,058 | 107,002 | ||||||
|
|
||||||||
|
Corporate restructuring
|
4,517 | 1,540 | ||||||
|
|
||||||||
|
|
387,695 | 504,481 | ||||||
|
|
||||||||
|
Total assets
|
444,443 | 551,269 | ||||||
25
Cosan Limited
Notes to the consolidated interim financial statements
For the nine month period ended September 30, 2014 and 2013
(Amounts in thousands of Brazilian Reais – R$, unless otherwise stated)
|
|
September 30,
2014
|
December 31,
2013
|
||||||
|
Current liabilities
|
|
|
||||||
|
Commercial operations
|
|
|
||||||
|
Shell Brazil Holding B.V.
|
- | 5,986 | ||||||
|
Raízen Energia S.A.
|
26,736 | 18,491 | ||||||
|
Raízen Combustíveis S.A.
|
1,175 | 1,709 | ||||||
|
Other
|
39 | 34 | ||||||
|
|
27,950 | 26,220 | ||||||
|
Corporate operations / Agreements
|
||||||||
|
Raízen Combustíveis S.A.
|
11,306 | 8,800 | ||||||
|
Raízen Energia S.A.
|
67,551 | 70,443 | ||||||
|
|
78,857 | 79,243 | ||||||
|
Financial operations
|
||||||||
|
Shell Brazil Holding B.V.
|
3,070 | - | ||||||
|
Other
|
1,431 | - | ||||||
|
|
4,501 | - | ||||||
|
|
||||||||
|
Total liabilities
|
111,308 | 105,463 | ||||||
At March 15, 2014, the Company acquired, through an independent bank, debentures issued by Santa Barbara Agrícola S.A. in the amount of R$ 65,000 disclosed as investment securities.
|
|
July 1, 2014
to September 30,
2014
|
January 1, 2014 to
September 30,
2014
|
July 1, 2013 to
September 30,
2013
|
January 1, 2013
to September 30,
2013
|
||||||||||||
|
Sales of goods and services
|
|
|
|
|
||||||||||||
|
Raízen Energia S.A.
|
77,617 | 211,478 | 124,922 | 290,206 | ||||||||||||
|
Other
|
315 | 1,387 | 143 | 143 | ||||||||||||
|
|
77,932 | 212,865 | 125,065 | 290,350 | ||||||||||||
|
Purchase of goods / Inputs
|
||||||||||||||||
|
Raízen Energia S.A.
|
(61 | ) | (66 | ) | (1 | ) | (3 | ) | ||||||||
|
Raízen Combustíveis S.A.
|
(11 | ) | (730 | ) | (316 | ) | (860 | ) | ||||||||
|
|
(72 | ) | (796 | ) | (318 | ) | (863 | ) | ||||||||
|
Land lease
|
||||||||||||||||
|
Raízen Energia S.A.
|
14,300 | 39,950 | 18,430 | 52,295 | ||||||||||||
|
|
14,300 | 39,950 | 18,430 | 52,295 | ||||||||||||
|
Shared income (expense)
|
||||||||||||||||
|
Aguassanta Participações S.A.
|
115 | 339 | 102 | 284 | ||||||||||||
|
Raízen Energia S.A.
|
(2,098 | ) | (8,990 | ) | (3,186 | ) | (9,673 | ) | ||||||||
|
Other
|
- | - | - | - | ||||||||||||
|
|
(1,983 | ) | (8,651 | ) | (3,084 | ) | (9,388 | ) | ||||||||
26
Cosan Limited
Notes to the consolidated interim financial statements
For the nine month period ended September 30, 2014 and 2013
(Amounts in thousands of Brazilian Reais – R$, unless otherwise stated)
|
|
July 1, 2014
to September 30,
2014
|
January 1, 2014 to
September 30,
2014
|
July 1, 2013 to
September 30,
2013
|
January 1, 2013
to September 30,
2013
|
||||||||||||
|
Financial result
|
||||||||||||||||
|
Rezende Barbosa
|
85 | 378 | 254 | 877 | ||||||||||||
|
Usina Santa Luiza
|
(61 | ) | (136 | ) | (43 | ) | (374 | ) | ||||||||
|
Impulso Participações
|
- | - | - | (139 | ) | |||||||||||
|
Raízen Energia S.A.
|
679 | 1,902 | 1,134 | 1,625 | ||||||||||||
|
Other
|
131 | 332 | 83 | 213 | ||||||||||||
|
|
834 | 2,476 | 1,427 | 2,202 | ||||||||||||
|
|
||||||||||||||||
|
Total
|
91,011 | 245,844 | 141,520 | 334,595 | ||||||||||||
|
|
||||||||||||||||
Commercial operations of Cosan among its subsidiaries and jointly controlled entities are carried out at market prices and market conditions. During the period of nine months ended September 30, 2014 and 2013 no loss for doubtful accounts was recorded with regards to receivables from related parties.
27
Cosan Limited
Notes to the consolidated interim financial statements
For the nine month period ended September 30, 2014 and 2013
(Amounts in thousands of Brazilian Reais – R$, unless otherwise stated)
|
8
|
Equity method investments
|
|
a) Consolidated
|
|
|
Issued shares of the investee
|
Number of shares held by Cosan
|
Percentage of interest (%)
|
December 31, 2013
|
Equity income of investee
|
Other comprehensive income
|
Capital increase
|
Dividends
|
Other
|
September 30, 2014
|
September 30, 2013
|
|||||||||||||||||||||||||||||||||
|
Tellus Brasil Participações Ltda.
|
65,957,282 | 33,638,214 | 51.00 | 78,821 | 3,706 | 95 | 6,115 | (760 | ) | 979 | 88,956 | 4,881 | ||||||||||||||||||||||||||||||||
|
Novvi Limited Liabilitie Company
|
200,002 | 100,001 | 50.00 | 15,364 | (4,997 | ) | 770 | 4,640 | - | 44 | 15,821 | (6,704 | ) | |||||||||||||||||||||||||||||||
|
Vertical UK LLP
|
- | - | 50.00 | 8,126 | 474 | (2,074 | ) | - | - | - | 6,526 | - | ||||||||||||||||||||||||||||||||
|
Other investments
|
- | - | - | 1,005 | (1,885 | ) | - | 1,540 | - | (659 | ) | 1 | (2,062 | ) | ||||||||||||||||||||||||||||||
|
|
||||||||||||||||||||||||||||||||||||||||||||
|
Total
|
103,316 | (2,702 | ) | (1,209 | ) | 12,295 | (760 | ) | 364 | 111,304 | (3,885 | ) | ||||||||||||||||||||||||||||||||
|
b) Non-controlling:
|
|
|
Issued shares of the investee
|
Number of shares held by non-controlling
|
Percentage of interest by non-controlling
(%)
|
December 31, 2013
|
Equity in income of investee of non-controlling
|
Other comprehensive income
|
Dividends
|
Acquisition of non-controlling interest
|
September 30, 2014
|
|||||||||||||||||||||||||||
|
Logispot Armazéns Gerais S.A.
|
2,040,816 | 1,000,000 | 61.75 | 37,219 | 106 | - | (141 | ) | - | 37,184 | ||||||||||||||||||||||||||
|
Rumo Logística Operadora Multimodal S.A.
|
956,917 | 239,229 | 25.00 | 349,285 | 23,147 | - | (47,481 | ) | - | 324,951 | ||||||||||||||||||||||||||
|
Radar Propriedades Agrícolas S.A.
|
21,148,989 | 17,147,822 | 81.08 | 1,607,793 | 21,530 | 1,136 | (32,432 | ) | (96 | ) | 1,597,931 | |||||||||||||||||||||||||
|
Radar II Propriedades Agrícolas S.A.
|
830,690,258 | 290,710,861 | 35.00 | 328,192 | 39,244 | 80 | (6,300 | ) | - | 361,216 | ||||||||||||||||||||||||||
|
Elimination of participation Radar II in Radar
|
- | - | - | (505,215 | ) | (5,163 | ) | (226 | ) | 6,504 | - | (504,100 | ) | |||||||||||||||||||||||
|
Companhia de Gás de São Paulo - "COMGÁS"
|
119,822,797 | 47,864,807 | 39.31 | 1,961,238 | 158,742 | 444 | - | 3,610 | 2,124,034 | |||||||||||||||||||||||||||
|
Cosan S.A. Indústria e Comércio
|
407,214,353 | 252,444,538 | 37.70 | 3,654,978 | 141,558 | (26,393 | ) | (35,583 | ) | 6,108 | 3,740,668 | |||||||||||||||||||||||||
|
Total
|
7,433,490 | 379,164 | (24,959 | ) | (115,433 | ) | 9,622 | 7,681,884 | ||||||||||||||||||||||||||||
28
Cosan Limited
Notes to the consolidated interim financial statements
For the nine month period ended September 30, 2014 and 2013
(Amounts in thousands of Brazilian Reais – R$, unless otherwise stated)
|
9
|
Investment in joint ventures
|
Cosan has joint control over Raízen Energia and Raízen Combustíveis by virtue of its 50% share of both companies and the requirement for unanimous consent by all parties over decisions related to the relevant activities of the arrangements. The investments have been classified as joint ventures under IFRS 11 and therefore the equity method of accounting is used in the consolidated financial statements.
Investments in jointly controlled entities had the following change in the period:
|
|
Issued shares of the investee
|
Number of shares held by Cosan
|
Percentage of interest (%)
|
December 31, 2013
|
Equity in income of jointly controlled entity
|
Dividends
|
Other comprehensive income
|
Other equity effects
|
September 30, 2014
|
Equity in income September 30, 2013
|
||||||||||||||||||||||||||||||
|
Raízen Combustíveis S.A.
|
3,303,168,484 | 1,651,584,242 | 50.00 | 3,326,482 | 312,387 | (323,552 | ) | - | - | 3,315,317 | 301,103 | |||||||||||||||||||||||||||||
|
Raízen Energia S.A.
|
5,902,595,634 | 2,951,297,817 | 50.00 | 5,171,777 | 152,246 | (26,912 | ) | (39,960 | ) | 4,213 | 5,261,364 | (45,946 | ) | |||||||||||||||||||||||||||
|
Total
|
8,498,259 | 464,633 | (350,464 | ) | (39,960 | ) | 4,213 | 8,576,681 | 255,157 | |||||||||||||||||||||||||||||||
The statement of financial position and statement of profit or loss of jointly controlled entities are disclosed in Note 3, Segments.
The cash flows and comprehensive income of the jointly controlled entities Raízen Energia and Raízen Combustíveis for the period ended September 30, 2014 and 2013 are presented below:
29
Cosan Limited
Notes to the consolidated interim financial statements
For the nine month period ended September 30, 2014 and 2013
(Amounts in thousands of Brazilian Reais – R$, unless otherwise stated)
|
Raízen Energia
|
Raízen Combustíveis
|
|||||||||||||||
|
|
September 30, 2014
|
September 30, 2013
|
September 30, 2014
|
September 30, 2013
|
||||||||||||
|
Cash flow
|
|
|
|
|
||||||||||||
|
Operating activities
|
1,819,761 | 1,778,228 | 501,581 | 434,446 | ||||||||||||
|
Investing activities
|
(1,942,062 | ) | (2,001,919 | ) | 123,902 | 463,736 | ||||||||||
|
Financing activities
|
623,565 | (133,045 | ) | (755,488 | ) | (662,777 | ) | |||||||||
|
|
||||||||||||||||
|
Increase (use) in cash
|
||||||||||||||||
|
and cash equivalents
|
501,264 | (356,736 | ) | (130,005 | ) | 235,405 | ||||||||||
|
|
||||||||||||||||
|
Other comprehensive (loss) income
|
155,269 | (174,578 | ) | 686,172 | 618,674 | |||||||||||
According to the terms of the Framework Agreement of Joint Venture Raízen, Cosan is responsible for legal proceedings that existed prior to the formation of Raízen, which are net of judicial deposits as of April 1, 2011, as well as tax installments on the REFIS (tax refinancing) program, recorded in "Other taxes payable". Additionally, Cosan is party to a credit line (stand-by) facility granted to Raízen in the amount of US Dollars 500,000 thousand, which was unused at September 30, 2014.
|
10
|
Assets held for sale and investment property
|
The balance of assets held for sale and investment property are as follows:
|
|
Investment property
|
Assets held for sale
|
Total
|
|||||||||
|
At December 31, 2013
|
2,281,509 | 314,104 | 2,595,613 | |||||||||
|
Change in fair value
|
47,003 | 16,726 | 63,729 | |||||||||
|
Transfers
|
(161,291 | ) | 161,291 | - | ||||||||
|
Disposals
|
- | (55,321 | ) | (55,321 | ) | |||||||
|
|
||||||||||||
|
At September 30, 2014
|
2,167,221 | 436,800 | 2,604,021 | |||||||||
30
Cosan Limited
Notes to the consolidated interim financial statements
For the nine month period ended September 30, 2014 and 2013
(Amounts in thousands of Brazilian Reais – R$, unless otherwise stated)
|
11
|
Property, plant and equipment
|
|
|
Land, buildings and improvements
|
Machinery, equipment and facilities
|
Rails cars and locomotives
|
Construction in progress
|
Other
|
Total
|
||||||||||||||||||
|
Cost
|
|
|
|
|
|
|
||||||||||||||||||
|
At December 31, 2013
|
447,240 | 359,262 | 436,064 | 284,262 | 35,100 | 1,561,928 | ||||||||||||||||||
|
Additions
|
113 | 4,889 | - | 251,145 | - | 256,147 | ||||||||||||||||||
|
Disposals
|
(11 | ) | (2,077 | ) | - | 2 | (1,007 | ) | (3,093 | ) | ||||||||||||||
|
Transfers(1)
|
55,600 | 114,749 | 5,380 | (293,151 | ) | 3,953 | (113,469 | ) | ||||||||||||||||
|
|
||||||||||||||||||||||||
|
At September 30, 2014
|
502,942 | 476,823 | 441,444 | 242,258 | 38,046 | 1,701,513 | ||||||||||||||||||
|
|
||||||||||||||||||||||||
|
Depreciation
|
||||||||||||||||||||||||
|
At December 31, 2013
|
(80,419 | ) | (153,996 | ) | (41,584 | ) | - | (14,019 | ) | (290,018 | ) | |||||||||||||
|
Additions
|
(11,738 | ) | (27,239 | ) | (10,260 | ) | - | (3,376 | ) | (52,613 | ) | |||||||||||||
|
Disposals
|
11 | 992 | - | - | 927 | 1,930 | ||||||||||||||||||
|
Transfers(1)
|
4 | (4 | ) | - | - | - | - | |||||||||||||||||
|
|
||||||||||||||||||||||||
|
At September 30, 2014
|
(92,142 | ) | (180,247 | ) | (51,844 | ) | - | (16,468 | ) | (340,701 | ) | |||||||||||||
|
|
||||||||||||||||||||||||
|
At December 31, 2013
|
366,821 | 205,266 | 394,480 | 284,262 | 21,081 | 1,271,910 | ||||||||||||||||||
|
At September 30, 2014
|
410,800 | 296,576 | 389,600 | 242,258 | 21,578 | 1,360,812 | ||||||||||||||||||
|
|
||||||||||||||||||||||||
|
(i) Refer to intangible transfers due to the capitalization of these assets.
|
||||||||||||||||||||||||
Capitalization of borrowing costs
Capitalized borrowing costs for the nine month ended September 30, 2014, amounted to R$ 4,837 (September 30, 2013 R$ 3,741). The weighted average interest rate used to capitalize interest on the balance of construction in progress, was 8.49% p.a. for the nine month ended September 30, 2014 (5,83% p.a. for the nine month ended September 30, 2013).
31
Cosan Limited
Notes to the consolidated interim financial statements
For the nine month period ended September 30, 2014 and 2013
(Amounts in thousands of Brazilian Reais – R$, unless otherwise stated)
|
12
|
Intangible assets
|
|
|
Goodwill
|
Concession intangible asset-COMGÁS
|
Improvements in public concessions and operation licenses
|
Trademark
|
Related customer relationships
|
Other
|
Total
|
|||||||||||||||||||||
|
Cost
|
|
|
|
|
|
|
|
|||||||||||||||||||||
|
At December 31, 2013
|
703,956 | 8,307,282 | 751,555 | 252,474 | 719,186 | 200,825 | 10,935,278 | |||||||||||||||||||||
|
Additions
|
- | 377,377 | - | - | 108,372 | 14,226 | 499,975 | |||||||||||||||||||||
|
Disposals
|
- | (14,833 | ) | - | - | (5,783 | ) | 11 | (20,605 | ) | ||||||||||||||||||
|
Transfers(1)
|
- | 4 | 109,740 | - | (4 | ) | 3,728 | 113,468 | ||||||||||||||||||||
|
|
||||||||||||||||||||||||||||
|
At September 30, 2014
|
703,956 | 8,669,830 | 861,295 | 252,474 | 821,771 | 218,790 | 11,528,116 | |||||||||||||||||||||
|
|
||||||||||||||||||||||||||||
|
Amortization
|
||||||||||||||||||||||||||||
|
At December 31, 2013
|
- | (306,437 | ) | (102,119 | ) | (114,132 | ) | (273,120 | ) | (61,430 | ) | (857,238 | ) | |||||||||||||||
|
Additions
|
- | (253,768 | ) | (28,808 | ) | (17,123 | ) | (115,914 | ) | (36,159 | ) | (451,772 | ) | |||||||||||||||
|
Disposals
|
- | 11,274 | - | - | 2,954 | (108 | ) | 14,120 | ||||||||||||||||||||
|
|
||||||||||||||||||||||||||||
|
At September 30, 2014
|
- | (548,931 | ) | (130,927 | ) | (131,255 | ) | (386,080 | ) | (97,697 | ) | (1,294,890 | ) | |||||||||||||||
|
|
||||||||||||||||||||||||||||
|
At December 31, 2013
|
703,956 | 8,000,845 | 649,436 | 138,342 | 446,066 | 139,395 | 10,078,040 | |||||||||||||||||||||
|
At September 30, 2014
|
703,956 | 8,120,899 | 730,368 | 121,219 | 435,691 | 121,093 | 10,233,226 | |||||||||||||||||||||
|
|
||||||||||||||||||||||||||||
|
(i) Refer to intangible transfers due to the capitalization of these assets.
|
||||||||||||||||||||||||||||
Capitalization of borrowing costs
Capitalized borrowing costs for the nine month ended September 30, 2014, amounted to R$ 15,787 (September 30, 2013 R $ 16,832). The weighted average interest rate used to capitalize borrowing costs on the balance of construction in progress, was 9.04% p.a. for the nine month ended September 30, 2014 (7.94% p.a. for the nine month ended September 30, 2013).
32
Cosan Limited
Notes to the consolidated interim financial statements
For the nine month period ended September 30, 2014 and 2013
(Amounts in thousands of Brazilian Reais – R$, unless otherwise stated)
|
Intangible assets (excluding goodwill)
|
Annual rate of amortization - %
|
September 30, 2014
|
December 31, 2013
|
|||||||||
|
Concession intangible asset - COMGÁS(a)
|
Over the concession term
|
8,120,899 | 8,000,845 | |||||||||
|
|
|
|||||||||||
|
Improvements in public grants(b)
|
Over the concession term
|
476,983 | 387,245 | |||||||||
|
Operating license for port terminal(c)
|
4.00 | 253,385 | 262,190 | |||||||||
|
|
730,368 | 649,435 | ||||||||||
|
Trademarks
|
||||||||||||
|
Mobil
|
10.00 | 97,015 | 114,138 | |||||||||
|
Comma
|
- | 24,204 | 24,204 | |||||||||
|
|
121,219 | 138,342 | ||||||||||
|
Relationship with customers
|
||||||||||||
|
COMGÁS
|
3.00 | 373,803 | 375,184 | |||||||||
|
Lubricants
|
6.00 | 61,888 | 70,883 | |||||||||
|
|
435,691 | 446,067 | ||||||||||
|
Other
|
||||||||||||
|
Software licenses
|
20.00 | 81,507 | 91,695 | |||||||||
|
Other
|
39,586 | 47,700 | ||||||||||
|
|
121,093 | 139,395 | ||||||||||
|
|
||||||||||||
|
|
9,529,270 | 9,374,084 | ||||||||||
|
|
a)
|
Refers to the concession intangible asset for the public gas distribution service, which represents the right to charge users for the supply of gas and is comprised of: (i) the concession rights recognized in the business combination and (ii) concession assets as disclosed;
|
|
|
b)
|
Refers to improvements made to the federal railways in relation to the transportation agreement entered by Rumo;
|
|
|
c)
|
License port operations and customer relationships of Rumo, recognized as a result of business combinations.
|
Impairment testing of cash-generating units containing goodwill.
Analyses of impairment test are performed annually. During the period ended September 30, 2014, no impairment indicator was identified that would require the performance of an impairment test.
33
Cosan Limited
Notes to the consolidated interim financial statements
For the nine month period ended September 30, 2014 and 2013
(Amounts in thousands of Brazilian Reais – R$, unless otherwise stated)
|
13
|
Loans and borrowings
|
|
|
Interest
|
|
|
|
||||||||||||||
|
Description(a)
|
Index(b)
|
Interest rate(c) (%)
|
September 30, 2014
|
December 31, 2013
|
Maturity date
|
|||||||||||||
|
Senior Notes Due 2018
|
Fixed
|
9.50 | 853,583 | 873,589 |
may-18
|
|||||||||||||
|
Senior Notes Due 2023
|
Dollar (US$)
|
5.00 | 1,212,136 | 1,086,716 |
may-23
|
|||||||||||||
|
BNDES
|
TJLP
|
7.77 | 349,231 | 526,716 |
oct-18
|
|||||||||||||
|
BNDES
|
SELIC
|
12.90 | 238,366 | 159,894 |
oct-20
|
|||||||||||||
|
BNDES
|
TJ462
|
7.80 | 736,511 | 525,636 |
oct-20
|
|||||||||||||
|
Perpetual notes
|
Dollar (US$)
|
8.25 | 1,241,139 | 1,186,221 | - | |||||||||||||
|
Working capital
|
Dollar (US$) + LIBOR
|
4.18 | 122,483 | 262,796 |
sep-16
|
|||||||||||||
|
Working capital
|
Dollar (US$)
|
2.09 | 98,114 | - |
oct-16
|
|||||||||||||
|
Working capital
|
CDI 1,43% per year
|
12.39 | 83,023 | - |
sep-16
|
|||||||||||||
|
Credit notes
|
110% CDI
|
- | - | 393,646 | - | |||||||||||||
|
FINAME
|
Fixed
|
4.19 | 250,925 | 277,298 |
nov-22
|
|||||||||||||
|
FINAME
|
URTJLP
|
6.94 | 454,892 | 428,916 |
may-22
|
|||||||||||||
|
Finem
|
Fixed
|
3.50 | 2,120 | - |
jan-24
|
|||||||||||||
|
Finem
|
URTJLP
|
6.66 | 7,999 | - |
jan-22
|
|||||||||||||
|
Loan 4131
|
Dollar (US$)
|
1.18 | 26,990 | - |
aug-15
|
|||||||||||||
|
Leasing
|
CDI
|
10.81 | 141 | 1,068 |
oct-14
|
|||||||||||||
|
Foreign loans
|
LIBOR UK semiannual
|
4.34 | 217,349 | 209,340 |
jun-17
|
|||||||||||||
|
EIB
|
Dollar (US$) + LIBOR
|
2.12 | 665,794 | 633,223 |
sep-21
|
|||||||||||||
|
Resolution 4131
|
Dollar (US$) + LIBOR
|
2.71 | 432,548 | 413,477 |
feb-18
|
|||||||||||||
|
Debentures
|
CDI
|
- | - | 1,443,941 |
oct-20
|
|||||||||||||
|
Non-convertible debentures
|
CDI
|
11.81 | 127,284 | 164,144 |
sep-19
|
|||||||||||||
|
Debentures
|
Fixed rate+IPCA
|
11.89 | 434,295 | 417,231 |
sep-20
|
|||||||||||||
|
FINEP
|
Fixed
|
5.00 | 89,175 | 89,104 |
jan-21
|
|||||||||||||
|
|
|
7,644,098 | 9,092,956 | |||||||||||||||
|
|
|
|||||||||||||||||
|
Current
|
|
814,637 | 1,050,862 | |||||||||||||||
|
Non-current
|
|
6,829,461 | 8,042,094 | |||||||||||||||
|
|
a)
|
Loans and borrowings are guaranteed by promissory notes and endorsements of the Company and its jointly-controlled entities and controlling shareholders, besides other guarantees, such as: (i) credit rights originated from the expansion contracts of the logistic segment and gas distribution (BNDES); (ii) underlying assets (property, plant and equipment and intangible assets) being financed (FINAME);
|
|
|
b)
|
TJLP and URTJLP are long-term interest rates set on loans by the BNDES, the National Bank for Economic and Social Development. SELIC is the benchmark interest rate set by the Central Bank of Brazil. CDI is a benchmark interbank lending rate in Brazil. IPCA is the benchmark consumer price index used by the Central Bank of Brazil to set monetary policy;
|
|
|
c)
|
As at September 30, 2014, except where otherwise indicated.
|
34
Cosan Limited
Notes to the consolidated interim financial statements
For the nine month period ended September 30, 2014 and 2013
(Amounts in thousands of Brazilian Reais – R$, unless otherwise stated)
|
The fair value of loans and borrowings are as follows:
|
||||||||||||||||
|
|
|
|
|
|
||||||||||||
|
|
Carrying amount
|
Fair value
|
||||||||||||||
|
|
September 30, 2014
|
December 31, 2013
|
September 30, 2014
|
December 31, 2013
|
||||||||||||
|
Senior / perpetual notes
|
3,306,858 | 3,174,894 | 3,217,249 | 2,977,658 | ||||||||||||
|
Financing
|
4,337,240 | 5,918,062 | 4,337,467 | 5,918,062 | ||||||||||||
|
|
||||||||||||||||
|
Total
|
7,644,098 | 9,092,956 | 7,554,716 | 8,895,720 | ||||||||||||
|
14
|
Trade payables
|
|
|
September 30, 2014
|
December 31, 2013
|
||||||
|
Natural gas suppliers
|
655,771 | 590,168 | ||||||
|
Materials and services suppliers
|
340,922 | 272,261 | ||||||
|
|
||||||||
|
|
996,693 | 862,429 | ||||||
|
15
|
Other taxes payable
|
|
|
September 30, 2014
|
December 31, 2013
|
||||||
|
ICMS – State VAT
|
78,109 | 77,466 | ||||||
|
INSS - Social security
|
2,440 | 2,842 | ||||||
|
PIS - Revenue tax
|
2,094 | 5,170 | ||||||
|
COFINS- Revenue tax
|
16,265 | 30,470 | ||||||
|
Recovery program – REFIS
|
1,097,668 | 1,075,019 | ||||||
|
Other
|
5,457 | 18,856 | ||||||
|
|
1,202,033 | 1,209,823 | ||||||
|
|
||||||||
|
Current
|
188,791 | 199,056 | ||||||
|
Non-current
|
1,013,242 | 1,010,767 | ||||||
35
Cosan Limited
Notes to the consolidated interim financial statements
For the nine month period ended September 30, 2014 and 2013
(Amounts in thousands of Brazilian Reais – R$, unless otherwise stated)
|
16
|
Income tax and social contribution
|
|
|
a)
|
Reconciliation of income and social contribution tax expenses
|
|
|
July 1, 2014 to September 30, 2014
|
January 1, 2014 to September 30, 2014
|
July 1, 2013 to September 30, 2013
|
January 1, 2013 to September 30, 2013
|
||||||||||||
|
Profit before taxes
|
90,881 | 605,146 | 422,292 | 603,739 | ||||||||||||
|
Income tax and social contribution at
|
(30,900 | ) | (205,750 | ) | (143,579 | ) | (205,271 | ) | ||||||||
|
nominal rate (34%)
|
||||||||||||||||
|
|
||||||||||||||||
|
Adjustments to reconcile to effective tax rate
|
||||||||||||||||
|
Equity method investments (non taxable income)
|
25,772 | 157,057 | 64,947 | 85,432 | ||||||||||||
|
Permanent differences (donations, gifts, etc.)
|
(1,335 | ) | (4,882 | ) | (979 | ) | (3,393 | ) | ||||||||
|
Stock options
|
(871 | ) | (2,614 | ) | (732 | ) | (2,594 | ) | ||||||||
|
Interest on capital
|
- | (6,970 | ) | - | (6,800 | ) | ||||||||||
|
Tax loss
|
(1,085 | ) | (2,490 | ) | (47,071 | ) | (186,273 | ) | ||||||||
|
Gains or losses from offshore companies
|
7,068 | 6,368 | 11,124 | (5,205 | ) | |||||||||||
|
Tax basis differences related to entities taxed
|
8,046 | 28,652 | 14,053 | 32,910 | ||||||||||||
|
on the Brazilian presumed profits method
|
||||||||||||||||
|
Foreign exchange effects of foreign subsidiaries
|
5,831 | (10,264 | ) | (3,346 | ) | (20,049 | ) | |||||||||
|
Judicial demands
|
- | 13,839 | - | - | ||||||||||||
|
Disposal tax benefit on goodwill
|
- | - | (14,597 | ) | (14,597 | ) | ||||||||||
|
Tax effect of unrealized gain on
|
||||||||||||||||
|
investment in Joint Venture(i)
|
- | - | - | 120,554 | ||||||||||||
|
Other
|
3,334 | 1,170 | 2,361 | (8,222 | ) | |||||||||||
|
|
||||||||||||||||
|
Income tax and social contribution
|
||||||||||||||||
|
expense (current and deferred)
|
15,860 | (25,884 | ) | (117,819 | ) | (213,508 | ) | |||||||||
|
|
||||||||||||||||
|
Effective rate - %
|
-17.45 | 4.28 | 27.90 | 35.36 | ||||||||||||
(i) Tax benefit created related to a downstream reverse merger in Raízen that resulted in a gain to Cosan’s statement of profit or loss. The gain is not taxable income and so appears in the tax reconciliation.
36
Cosan Limited
Notes to the consolidated interim financial statements
For the nine month period ended September 30, 2014 and 2013
(Amounts in thousands of Brazilian Reais – R$, unless otherwise stated)
|
|
b)
|
Deferred income tax assets and liabilities
|
|
|
September 30, 2014
|
December 31, 2013
|
||||||||||||||||||
|
|
Basis
|
Income taxes (25%)
|
Social contribution (9%)
|
Total income taxes (34%)
|
Total income taxes (34%)
|
|||||||||||||||
|
Tax loss carryforwards
|
|
|
|
|
|
|||||||||||||||
|
Income tax loss carryforwards
|
1,909,549 | 477,387 | - | 477,387 | 282,656 | |||||||||||||||
|
Social contribution tax loss carryforwards
|
1,916,840 | - | 172,516 | 172,516 | 102,410 | |||||||||||||||
|
|
||||||||||||||||||||
|
Temporary differences
|
||||||||||||||||||||
|
Foreign currency receivables and payables
|
611,902 | 152,976 | 55,071 | 208,047 | 11,603 | |||||||||||||||
|
Tax deductible goodwill
|
1,029,588 | 257,397 | 92,663 | 350,060 | 514,893 | |||||||||||||||
|
Provision for judicial demands
|
539,335 | 134,834 | 48,540 | 183,374 | 194,985 | |||||||||||||||
|
Allowance for doubtful accounts
|
157,693 | 39,423 | 14,192 | 53,615 | 54,258 | |||||||||||||||
|
Profit sharing
|
26,581 | 6,645 | 2,392 | 9,037 | 67,057 | |||||||||||||||
|
Derivatives instruments unrealized gains
|
(262,678 | ) | (65,670 | ) | (23,641 | ) | (89,311 | ) | 107,489 | |||||||||||
|
Unrealized gain on sale of investments
|
(90,864 | ) | (22,716 | ) | (8,178 | ) | (30,894 | ) | (30,894 | ) | ||||||||||
|
Other temporary differences
|
(100,601 | ) | (25,150 | ) | (9,054 | ) | (34,204 | ) | (38,895 | ) | ||||||||||
|
Property, plant and equipment
|
(105,261 | ) | (26,315 | ) | (9,474 | ) | (35,789 | ) | (28,017 | ) | ||||||||||
|
Gain on formation of Joint Ventures
|
(3,338,342 | ) | (834,586 | ) | (300,451 | ) | (1,135,037 | ) | (1,135,043 | ) | ||||||||||
|
Unrealized gains on investment property
|
(2,167,221 | ) | (43,344 | ) | (23,406 | ) | (66,750 | ) | (70,309 | ) | ||||||||||
|
Assets held for sale
|
(436,800 | ) | (8,736 | ) | (4,717 | ) | (13,453 | ) | (9,636 | ) | ||||||||||
|
Concession contract
|
35,258 | 8,814 | 3,173 | 11,987 | 11,579 | |||||||||||||||
|
Regulatory asset
|
209,075 | 52,269 | 18,817 | 71,086 | 118,228 | |||||||||||||||
|
Gains or losses on actuarial liabilities
|
305,449 | 76,362 | 27,490 | 103,852 | 41,593 | |||||||||||||||
|
Business combination - Property,
|
||||||||||||||||||||
|
plant and equipment
|
(108,657 | ) | (27,164 | ) | (9,779 | ) | (36,943 | ) | (38,097 | ) | ||||||||||
|
Business combination - Intangible assets
|
(4,128,326 | ) | (1,032,082 | ) | (371,549 | ) | (1,403,631 | ) | (1,441,910 | ) | ||||||||||
|
Business combination - Other
|
||||||||||||||||||||
|
fair value adjustments
|
(51,366 | ) | (12,841 | ) | (4,623 | ) | (17,464 | ) | (17,706 | ) | ||||||||||
|
Other
|
(377,065 | ) | (94,266 | ) | (33,935 | ) | (128,201 | ) | (162,678 | ) | ||||||||||
|
Total
|
(986,763 | ) | (363,953 | ) | (1,350,716 | ) | (1,466,434 | ) | ||||||||||||
|
|
||||||||||||||||||||
|
Deferred income tax – Assets
|
270,017 | 232,188 | ||||||||||||||||||
|
Deferred income tax - Liabilities
|
(1,620,733 | ) | (1,698,622 | ) | ||||||||||||||||
|
|
||||||||||||||||||||
|
Total net deferred taxes
|
(1,350,716 | ) | (1,466,434 | ) | ||||||||||||||||
|
|
||||||||||||||||||||
|
|
c)
|
Changes in deferred income taxes, net:
|
|
|
|
|||
|
At December 31, 2013 - Net deferred tax liability
|
(1,466,434 | ) | ||
|
Income
|
95,386 | |||
|
Other comprehensive income
|
1,399 | |||
|
Acquisition cost of the preferred shares
|
18,450 | |||
|
Other
|
483 | |||
|
|
||||
|
At September 30, 2014
|
(1,350,716 | ) | ||
On May 2014, the Federal Government published Law No. 12.973, which converted into law the Provisional Measure No. 627 of November 11, 2013. This law brings profound changes in tax legislation, in particular regarding the appropriateness of tax rules to the new rules accounting introduced by Law No. 11.638 of December 28, 2007 and 11.941/2008, whose main objective was to converge the former Brazilian accounting rules with IFRS.
The Company is assessing Law No. 12.973 and so far no impact was identified in the financial statements.
37
Cosan Limited
Notes to the consolidated interim financial statements
For the nine month period ended September 30, 2014 and 2013
(Amounts in thousands of Brazilian Reais – R$, unless otherwise stated)
|
17
|
Provision for legal proceedings
|
|
September 30, 2014
|
December 31, 2013
|
|
|
|||||||||||||
|
Tax
|
338,019 | 410,890 |
|
|
||||||||||||
|
Civil and environmental
|
135,735 | 146,011 | ||||||||||||||
|
Labor
|
177,368 | 165,557 | ||||||||||||||
|
|
||||||||||||||||
|
|
651,122 | 722,458 | ||||||||||||||
Judicial deposits as at September 30, 2014, and December 31, 2013, are as follow:
|
|
September 30, 2014
|
December 31, 2013
|
|
|
||||||||||||
|
Tax
|
305,193 | 294,991 |
|
|
||||||||||||
|
Civil and environmental
|
47,585 | 33,659 |
|
|
||||||||||||
|
Labor
|
45,702 | 32,904 |
|
|
||||||||||||
|
|
|
|
||||||||||||||
|
|
398,480 | 361,554 |
|
|
||||||||||||
|
|
|
|
||||||||||||||
|
Changes in provision for judicial demands:
|
||||||||||||||||
|
|
|
|
||||||||||||||
|
|
Tax
|
Civil
|
Labor
|
Total
|
||||||||||||
|
At December 31, 2013
|
410,890 | 146,011 | 165,557 | 722,458 | ||||||||||||
|
Increases
|
9,214 | 13,997 | 69,839 | 93,050 | ||||||||||||
|
Settlement or Write-Offs
|
(98,751 | ) | (45,415 | ) | (95,719 | ) | (239,885 | ) | ||||||||
|
Reclassified
|
1,849 | (2,061 | ) | 212 | - | |||||||||||
|
Monetary variation
|
14,817 | 23,203 | 37,479 | 75,499 | ||||||||||||
|
|
||||||||||||||||
|
At September 30, 2014
|
338,019 | 135,735 | 177,368 | 651,122 | ||||||||||||
Judicial claims deemed to be probable losses, accrued
|
|
a)
|
Tax claims
|
Legal proceedings in relation to tax payments, as at September 30, 2014 and December 31, 2013, are as follow:
38
Cosan Limited
Notes to the consolidated interim financial statements
For the nine month period ended September 30, 2014 and 2013
(Amounts in thousands of Brazilian Reais – R$, unless otherwise stated)
|
|
September 30, 2014
|
December 31, 2013
|
||||||
|
Compensation with FINSOCIAL
|
238,832 | 230,775 | ||||||
|
IPC - 89(i)
|
- | 74,879 | ||||||
|
INSS
|
45,970 | 46,291 | ||||||
|
ICMS credits
|
23,819 | 20,114 | ||||||
|
PIS and COFINS
|
5,712 | 6,541 | ||||||
|
IPI
|
1,011 | 993 | ||||||
|
IRPJ and CSLL
|
329 | 329 | ||||||
|
Other
|
22,346 | 30,968 | ||||||
|
|
||||||||
|
|
338,019 | 410,890 | ||||||
|
|
(i)
|
In 1993, Cosan Lubrificantes e Especialidades ("Cosan CLE") filed a lawsuit to challenge the balance sheet inflation accounting index (“IPC”) established by the Federal Government in 1989, considering that this index did not reflect the actual rate of inflation. The use of this index led the Company to overpay income and social contribution taxes. Cosan CLE obtained a favorable preliminary court ruling that allowed it to recalculate its financial position, using indices that better reflected the actual inflation over the period. In doing so the Company adjusted the amounts of income and social contribution taxes payable and offset the overpayments in subsequent years until 1997. Despite the favorable court rulings, the tax authorities issued a notice of infringement to the Company challenging all of the taxes that were offset. The judicial demand has been reclassified to remote loss and therefore the provision of the R$ 75,144 was reversed and R$ 13,839 recorded under income tax expense for previous years and interest of the R$ 61,305 for judicial demands.
|
|
|
b)
|
Civil and environmental
|
The Company and its subsidiaries are parties to a number of civil legal claims related to (i) indemnification for material and moral damages, (ii) public civil claims related to burning of sugarcane stubble, and (iii) environmental matters.
The Company and its subsidiaries are also parties to a number of labor claims filed by former employees and service providers challenging, among other things, unpaid overtime, night shift premiums and risk premiums, employment guarantees, and the reimbursement of withholdings from payroll such as social contributions and trade union charges, among other.
Judicial claims deemed as possible losses, and therefore not accrued
|
|
a)
|
Tax claims
|
Tax claims for which an unfavorable outcome is deemed possible and, therefore, not provisioned are as follow:
39
Cosan Limited
Notes to the consolidated interim financial statements
For the nine month period ended September 30, 2014 and 2013
(Amounts in thousands of Brazilian Reais – R$, unless otherwise stated)
|
|
September 30, 2014
|
December 31, 2013
|
||||||
|
ICMS - State VAT(i)
|
1,538,863 | 1,291,685 | ||||||
|
IRRF
|
643,293 | 637,130 | ||||||
|
IRPJ/CSLL
|
755,956 | 726,815 | ||||||
|
Other
|
617,647 | 637,619 | ||||||
|
INSS - social security and other
|
514,930 | 508,053 | ||||||
|
IPI credit - NT
|
439,053 | 430,981 | ||||||
|
PIS and COFINS
|
552,126 | 506,813 | ||||||
|
Compensation with IPI - IN 67/98
|
117,846 | 115,004 | ||||||
|
|
||||||||
|
|
5,179,714 | 4,854,100 | ||||||
|
|
(i)
|
ICMS (State VAT): Refers mainly to (i) Tax assessments filed against the Company for alleged unpaid ICMS and non-compliance with regulations, in connection with the partnership and manufacturing upon demand, with Central Paulista Açúcar e Álcool Ltda., between May to December 2006 and May to December 2007, (ii) ICMS levied on the remittances for the export of crystallized sugar, which the Company understands are tax exempted. However, the tax authorities classify crystallized sugar as a semi-finished product therefore, subject to ICMS taxation and (iii), ICMS with holdings rate differences on the sale of ethanol to companies located in other states, which subsequently had their tax registrations revoked, (iv) disallowance of ICMS tax credits in the sale of diesel fuel to customers engaged in the agroindustrial business. The State Tax Administration understands that because the diesel fuel sold is for agricultural use, which is not the Company’s core business, ICMS cannot be offset, (e) ICMS payments on inventory differences arising from erroneous calculations by the State Tax Administration and (f) requirement resulting from disallowance of ICMS credits arising from purchases of goods from companies that, after operations, had their tax registrations revoked. It happens that the State Treasury.
|
|
|
b)
|
Civil and labor
|
The main civil and labor claims for which unfavorable outcomes are deemed possible are as follow:
|
|
September 30, 2014
|
December 31, 2013
|
||||||
|
Civil
|
891,291 | 832,311 | ||||||
|
Labor
|
393,840 | 502,697 | ||||||
|
|
||||||||
|
|
1,285,131 | 1,335,008 | ||||||
40
Cosan Limited
Notes to the consolidated interim financial statements
For the nine month period ended September 30, 2014 and 2013
(Amounts in thousands of Brazilian Reais – R$, unless otherwise stated)
|
18
|
Preferred shareholders payable in subsidiaries
|
At June 27, 2014, Cosan transferred all its common shares issued by Raízen Energia S.A. and Raízen Combustíveis S.A. and debts, net of cash, totaling nearly R$1,979,519, represented by debentures and a working capital facility, to its subsidiary Cosan Investimentos e Participações S.A..
On June 27, 2014, Cosan executed an Investment and Other Terms Agreement with Fundo de Investimentos em Participações Multisetorial Plus II (“FIP Multisetorial Plus II”), and with Razac Fundo de Investimentos em Participações (“FIP Razac”). Therewith, FIP Multisetorial and FIP Razac subscribed non-voting preferred shares issued by Cosan Investimentos e Participações S.A. for the amount of R$2,000,000, recorded as financial liabilities in these financial statements.
The financial liability shall be measured taking into account as the "outstanding balance" the value of the initial investment plus the updated CDI deducted from dividends paid (also updated by CDI). The Company has the obligation to make payment to the Investors if the updated value of the contribution is not paid until April 30, 2021.
|
19
|
Stockholders’ Equity
|
|
|
a)
|
Share capital
|
As of September 30, 2014 Cosan Limited’s share capital is comprised of the following:
|
Shareholders
|
Class A and / or BDRs
|
%
|
Class B1 shares
|
%
|
||||||||||||
|
Queluz Holding Limited
|
5,241,111 | 3.01 | 66,321,766 | 68.85 | ||||||||||||
|
Usina Costa Pinto S.A. Açúcar e Álcool
|
- | - | 30,010,278 | 31.15 | ||||||||||||
|
Gávea Funds
|
22,298,230 | 12.79 | - | - | ||||||||||||
|
Blackrock Inc.
|
9,522,224 | 5.46 | - | - | ||||||||||||
|
MSOR Participações S.A.
|
1,811,250 | 1.04 | - | - | ||||||||||||
|
Usina Bom Jesus S.A.
|
255,000 | 0.15 | - | - | ||||||||||||
|
Treasury shares
|
5,996,502 | 3.44 | - | - | ||||||||||||
|
Other
|
129,231,024 | 74.12 | - | - | ||||||||||||
|
|
||||||||||||||||
|
Total
|
174,355,341 | 100.00 | 96,332,044 | 100.00 | ||||||||||||
Class B1 shares entitle the holder to 10 votes per share and Class A share are entitled to one vote per share.
|
|
b)
|
Treasury shares
|
On September 16, 2011, the Board of Directors approved the repurchase of the Company’s own shares to be held in treasury, canceled or sold. The deadline for completion of the transaction was 365 days and the maximum repurchase price was US$ 100 million. The Company holds 5,996,502 treasury shares as of September 30, 2014 (5,996,502 shares on December 31, 2013) with a market value of R$ 26.37 as at September 30, 2014 (R$ 32.14 on December 31, 2013).
41
Cosan Limited
Notes to the consolidated interim financial statements
For the nine month period ended September 30, 2014 and 2013
(Amounts in thousands of Brazilian Reais – R$, unless otherwise stated)
|
|
c)
|
Other comprehensive income
|
|
|
December 31, 2013
|
Comprehensive income
|
September 30, 2014
|
|||||||||
|
Foreign currency translation differences
|
(223,038 | ) | (33,397 | ) | (256,435 | ) | ||||||
|
Gain (loss) on cash flow hedge in
|
||||||||||||
|
jointly controlled entity
|
43,384 | (27,610 | ) | 15,774 | ||||||||
|
Revaluation of investment property reclassified
|
||||||||||||
|
from property, plant and equipment
|
190,735 | - | 190,735 | |||||||||
|
Actuarial gain on defined benefit plan
|
16,092 | 1,999 | 18,091 | |||||||||
|
Changes in value of available
|
||||||||||||
|
for sale financial assets
|
(7,480 | ) | 41 | (7,439 | ) | |||||||
|
|
||||||||||||
|
Total
|
19,693 | (58,967 | ) | (39,274 | ) | |||||||
|
|
||||||||||||
|
Attributable to:
|
||||||||||||
|
Owners of the Company
|
(84,887 | ) | (44,902 | ) | (129,789 | ) | ||||||
|
Non-controlling interests
|
104,580 | (14,065 | ) | 90,515 | ||||||||
|
20
|
Earnings per share
|
Earnings per share is calculated by dividing net income by the weighted average number of capital shares in outstanding during the year. Diluted earnings per share is calculated by adjusting average shares outstanding for the conversion of all potentially dilutive options.
The following table sets forth the calculation of earnings per share for the quarter ended on September 30, 2014, and 2013 (in thousands of Brazilian Reais, except per share amounts):
|
|
July 1, 2014 to September 30, 2014
|
January 1, 2014 to September 30, 2014
|
July 1, 2013 to September 30, 2013
|
January 1, 2013 to September 30, 2013
|
||||||||||||
|
Numerator
|
|
|
|
|
||||||||||||
|
Profit from continuing operations
|
|
|
|
|
||||||||||||
|
Basic
|
20,542 | 200,098 | 118,741 | 78,278 | ||||||||||||
|
Dilutive effect of subsidiary's
|
||||||||||||||||
|
stock option plan
|
(9,285 | ) | (59,492 | ) | (34,009 | ) | (30,991 | ) | ||||||||
|
Dilutive effect of put option
|
(15,601 | ) | (15,601 | ) | (15,601 | ) | (15,601 | ) | ||||||||
|
Diluted
|
(4,344 | ) | 125,005 | 69,131 | 31,686 | |||||||||||
|
Loss from discontinued operations
|
- | - | - | (3,369 | ) | |||||||||||
|
|
||||||||||||||||
|
Denominator
|
||||||||||||||||
|
Weighted average number
|
||||||||||||||||
|
of shares outstanding
|
264,690,883 | 264,690,883 | 264,690,883 | 264,690,883 | ||||||||||||
|
|
||||||||||||||||
|
Basic earnings per share
|
||||||||||||||||
|
Continuing operations
|
R$ | 0.08 | R$ | 0.76 | R$ | 0.45 | R$ | 0.29 | ||||||||
|
Discontinued operations
|
- | - | - | R$ | (0.01 | ) | ||||||||||
|
|
R$ | 0.08 | R$ | 0.76 | R$ | 0.45 | R$ | 0.28 | ||||||||
|
Diluted earnings per share
|
||||||||||||||||
|
Continuing operations
|
R$ | (0.02 | ) | R$ | 0.47 | R$ | 0.26 | R$ | 0.12 | |||||||
|
Discontinued operations
|
- | - | - | R$ | (0.01 | ) | ||||||||||
|
|
R$ | (0.02 | ) | R$ | 0.47 | R$ | 0.26 | R$ | 0.11 | |||||||
42
Cosan Limited
Notes to the consolidated interim financial statements
For the nine month period ended September 30, 2014 and 2013
(Amounts in thousands of Brazilian Reais – R$, unless otherwise stated)
|
21
|
Gross sales
|
|
|
July 1, 2014 to September 30, 2014
|
January 1, 2014 to September 30, 2014
|
July 1, 2013 to September 30, 2013
|
January 1, 2013 to September 30, 2013
|
||||||||||||
|
Taxable gross revenue from
|
|
|
|
|
||||||||||||
|
sales of products and services
|
2,789,716 | 7,996,404 | 2,812,226 | 7,723,664 | ||||||||||||
|
Construction revenue
|
126,237 | 361,341 | 204,425 | 513,736 | ||||||||||||
|
Indirect taxes and deductions
|
(553,703 | ) | (1,592,320 | ) | (582,140 | ) | (1,587,741 | ) | ||||||||
|
|
||||||||||||||||
|
|
||||||||||||||||
|
Net sales
|
2,362,250 | 6,765,425 | 2,434,511 | 6,649,659 | ||||||||||||
|
22
|
Financial results
|
|
|
July 1, 2014 to September 30, 2014
|
January 1, 2014 to September 30, 2014
|
July 1, 2013 to September 30, 2013
|
January 1, 2013 to September 30, 2013
|
||||||||||||
|
Financial expense
|
|
|
|
|
||||||||||||
|
Interest expense
|
(233,088 | ) | (621,330 | ) | (247,349 | ) | (627,516 | ) | ||||||||
|
Indexation charges
|
(15,241 | ) | (45,871 | ) | (10,464 | ) | (22,643 | ) | ||||||||
|
Bank fees
|
(15,007 | ) | (103,593 | ) | (14,153 | ) | (71,422 | ) | ||||||||
|
|
(263,336 | ) | (770,794 | ) | (271,966 | ) | (721,581 | ) | ||||||||
|
Financial income
|
||||||||||||||||
|
Interest income
|
13,658 | 65,051 | 15,291 | 67,386 | ||||||||||||
|
Indexation credits
|
3,807 | 9,792 | 4,308 | 7,799 | ||||||||||||
|
Income from short term investments
|
33,939 | 98,330 | 29,001 | 90,686 | ||||||||||||
|
Other
|
- | 1,003 | - | - | ||||||||||||
|
|
51,404 | 174,176 | 48,600 | 165,871 | ||||||||||||
|
Foreign exchange effects, net(1)
|
||||||||||||||||
|
Foreign exchange effects, net
|
(200,171 | ) | (103,612 | ) | 87,046 | (222,862 | ) | |||||||||
|
|
(200,171 | ) | (103,612 | ) | 87,046 | (222,862 | ) | |||||||||
|
|
||||||||||||||||
|
Derivative income (losses)
|
||||||||||||||||
|
Exchange rate and interest rate derivatives
|
124,412 | 51,225 | (5,218 | ) | 139,395 | |||||||||||
|
|
124,412 | 51,225 | (5,218 | ) | 139,395 | |||||||||||
|
|
||||||||||||||||
|
|
(287,691 | ) | (649,005 | ) | (141,538 | ) | (639,177 | ) | ||||||||
|
|
||||||||||||||||
|
(1) Includes gains (and losses) on foreign exchange rates relating to assets and liabilities denominated in foreign currency.
|
||||||||||||||||
43
Cosan Limited
Notes to the consolidated interim financial statements
For the nine month period ended September 30, 2014 and 2013
(Amounts in thousands of Brazilian Reais – R$, unless otherwise stated)
|
23
|
Other, net
|
|
|
July 1, 2014 to September 30, 2014
|
January 1, 2014 to September 30, 2014
|
July 1, 2013 to September 30, 2013
|
January 1, 2013 to September 30, 2013
|
||||||||||||
|
Profit (loss) on port operations
|
2,322 | 10,126 | 1,306 | (3,394 | ) | |||||||||||
|
Provisions for legal proceedings
|
(14,476 | ) | (40,706 | ) | (16,285 | ) | (65,028 | ) | ||||||||
|
(Loss) gain on disposal
|
||||||||||||||||
|
of non-current assets
|
(2,580 | ) | (7,387 | ) | (237 | ) | 9,522 | |||||||||
|
Costs to operation transactions(I)
|
(1,405 | ) | (125,617 | ) | - | - | ||||||||||
|
Rental income
|
288 | 635 | 205 | 559 | ||||||||||||
|
Changes in the fair value
|
||||||||||||||||
|
of investment property
|
18,745 | 63,728 | 45,450 | 105,868 | ||||||||||||
|
Allowance for doubtful accounts
|
- | 703 | (15,724 | ) | (15,986 | ) | ||||||||||
|
Tax installments
|
(5,059 | ) | (5,059 | ) | - | - | ||||||||||
|
Gain (loss) on corporate restructuring
|
(20 | ) | 4,459 | 8,071 | 8,071 | |||||||||||
|
Other
|
(2,307 | ) | (4,334 | ) | 4,545 | 39,951 | ||||||||||
|
|
||||||||||||||||
|
|
(4,492 | ) | (103,452 | ) | 27,331 | 79,563 | ||||||||||
(I) Costs with corporate restructuring in progress.
44
Cosan Limited
Notes to the consolidated interim financial statements
For the nine month period ended September 30, 2014 and 2013
(Amounts in thousands of Brazilian Reais – R$, unless otherwise stated)
|
24
|
Financial instruments
|
Financial risk management
Overview
The Company is exposed to the following risks related to the use of financial instruments:
|
|
·
|
Foreign exchange risk;
|
|
|
·
|
Interest rate risk;
|
|
|
·
|
Credit risk;
|
|
|
·
|
Liquidity risk.
|
This note presents information about the exposure of the Company and its subsidiaries to the above risks, as well as the objectives of the Company's risk management policies, these policy and processes for the assessment and management of risks.
Risk management structure
The risks inherent to each type of business market are managed and monitored by the Company and, where applicable, risk committees are convened to discuss and determine the hedging strategy of the Company in accordance with its policies and guidelines.
As at September 30, 2014 and December 31, 2013, the fair values relating to transactions involving derivative financial instruments to mitigate the Company’s risk exposure were measured at fair market value using observable inputs such as quoted prices in active markets, or discounted cash flows based on market curves, and are presented below:
|
|
Notional
|
Fair value
|
|
|||||||||||||||||
|
|
September 30, 2014
|
December 31, 2013
|
September 30, 2014
|
December 31, 2013
|
P&L(I)
|
|||||||||||||||
|
COMGÁS derivatives
|
|
|
|
|
|
|||||||||||||||
|
Exchange rate risk
|
|
|
|
|
|
|||||||||||||||
|
Exchange rate derivatives
|
|
|
|
|
|
|||||||||||||||
|
Swap agreements
|
828,442 | 828,442 | 259,233 | 209,532 | 259,233 | |||||||||||||||
|
|
828,442 | 828,442 | 259,233 | 209,532 | 259,233 | |||||||||||||||
|
|
||||||||||||||||||||
|
Other subsidiaries derivatives
|
||||||||||||||||||||
|
Exchange rate risk
|
||||||||||||||||||||
|
Exchange rate derivatives
|
||||||||||||||||||||
|
Term agreements
|
149,920 | 232,220 | 16,159 | 25,713 | 16,159 | |||||||||||||||
|
|
149,920 | 232,220 | 16,159 | 25,713 | 16,159 | |||||||||||||||
|
|
||||||||||||||||||||
|
Interest rate and exchange rate risk
|
||||||||||||||||||||
|
Lock exchange
|
37,351 | - | 1,895 | - | 1,895 | |||||||||||||||
|
Swap agreements (interest rate)
|
181,617 | 181,617 | (196 | ) | (13,573 | ) | (196 | ) | ||||||||||||
|
Swap agreements (interest and
|
||||||||||||||||||||
|
exchange rate)
|
1,687,652 | 1,662,806 | 96,814 | (39,078 | ) | 96,814 | ||||||||||||||
|
|
1,906,620 | 1,844,423 | 98,513 | (52,652 | ) | 98,513 | ||||||||||||||
|
|
||||||||||||||||||||
|
Total financial instruments contracted by Company
|
373,906 | 182,593 | 373,906 | |||||||||||||||||
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Assets
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643,296 | 513,934 | ||||||||||||||||||
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Liabilities
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(269,390 | ) | (331,341 | ) | ||||||||||||||||