Louis Dreyfus' Brazil cane group Biosev posts smaller net loss
SAO PAULO Feb 10 (Reuters) - Brazilian sugar and ethanol producer Biosev SA reported a 86.2 million real ($30.5 million) net loss for the October-to-December quarter on Tuesday, compared with a 203.7-million-real loss a year earlier.
The Louis Dreyfus-controlled company has struggled to fully utilize industrial capacity at its dozen mills in recent years due to droughts and frosts on the cane farms that supply its mills.
Biosev said adjusted earnings before interest, taxes, depreciation and amortization (EBITDA), rose 29 percent to 334.4 million reais in its third financial quarter following the beginning of the cane season in April.
The company said high prices and strong demand helped drive a 23 percent increase in generation of surplus electricity, which it sold on the spot market. The 11 cogeneration plants it runs posted net revenues from energy sales of 78.6 million reais, 15 percent higher than a year earlier.
Sao Martinho, another large cane milling group, reported a 66 percent increase in third-quarter net profit on Monday night. Sao Martinho also benefited from improved conditions in the spot energy market. (Reporting by Reese Ewing; Editing by Peter Galloway)
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