CIEL AGRO

3

COUNTRIES

3

SUGAR FACTORIES

3

POWER PLANTS

5,858

EMPLOYEES
CLUSTER REVENUE

MUR 212M

2021: MUR 244M

EBITDA

MUR 3,606M

2021: MUR 3,525M

MARKET DYNAMICS
AND OUTLOOK

L. J. Jérôme De Chasteauneuf

CIEL Group Finance Director and Chairman of Alteo Group discusses performance and operating context.

PERFORMANCE & STRATEGY

  • Progress Report for FY22 Priorities for FY23
    • Mechanisation of Alteo’s agricultural activities is continuing at pace

    • 77,000 tonnes of special sugars were produced during the year under review, an increase of 15,000 tonnes compared to FY21

    • The Property cluster registered 9 serviced land plots sales and 2 sales of off-plan villas within Anahita for FY22, against 11 sales of serviced land in FY21
    • Derocking of ex-manual fields and mechanisation of agricultural activities to continue

    • The heatwave in Europe has significantly reduced yield expectations for beet refiners and beet producers, for whom processing costs remain at unprecedented high levels due to the high cost of energy. These costs are pushing prices up and should keep them at these levels for FY23

    • The final commercial phase of Anahita will be launched during FY23

    • The Property cluster’s most important project for the coming years will be Anahita Beau Champ, the smart city project adjoining the Anahita Integrated Resort Scheme
  • Progress Report for FY22 Priorities for FY23
    • Higher cane and sugar tonnage as well as a more attractive average price drove up revenue

    • Favourable FX movements against the Mauritian rupee also compounded the improvement in operational and bottomline results

    • Business also had to contend with a large rise in operating costs, especially so for field activities
    • Continuation of various agricultural development projects

    • Anticipated cost pressure on inputs

    • Early signs of a new record crop following last year’s excellent operational results
  • Progress Report for FY22 Priorities for FY23
    • Constant factory improvements have increased reliability and output, with less downtime

    • Increased sugar produced and sold drove up revenue and EBITDA

    • Operational profits from a loss-making position in the prior years
    • Diversification of revenue streams, investment in a briquetting plant

    • Improvement in factory performance will further enhance profit

ESG COMMITMENTS

Alteo Milling Ltd is Bonsucro certified for its chain of production, a certification that also encompasses part of Alteo Agri’s fields. Bonsucro is an international not-for-profit, multistakeholder governance group established in 2008 to promote sustainable sugar cane. Its stated aim is to reduce the environmental and social impacts of sugarcane production.

IDENTIFIED RISKS AND MITIGATION

STRATEGIC

• Global sugar market conditions and sugar price volatility affecting performance

• Unfavourable government policy decisions (market and industry regulation)

FINANCIAL

• Foreign exchange risk

OPERATIONAL

• Cost pressures impacting the sugar cluster’s performance as a going concern

• Underutilisation of milling capacities due to reduced supply of cane

COMPLIANCE – HEALTH & SAFETY

• Compliance with safety regulations and labour/environmental laws and regulations

OUR ASSOCIATED GROUP PRINCIPAL RISKS SHOW HOW WE MANAGE RISKS AND FIND OPPORTUNITIES

Previous Chapter
Download Interactive Report
Next Chapter

BRAND ONLINE BY NOVA INTERACTION LTD