Cresud S.A.C.I.F. y A.

CRESY Industrials Conglomerates

Cresud S.A.C.I.F. y A.’s revenue for fiscal 2025 (year ended June 2025) was $914.2 million, down 35.7% from fiscal 2024. In the quarter to March 2026, revenue fell 1.49%, EPS fell 69.0%, free cash flow fell 461.4% and total debt rose 21.3%, each against the same quarter a year earlier. Insiders bought in the last twelve months.

11.52 0.13 +1.14%
Market cap
$807.9M
P/E
4.9×
Fwd P/E
—
Dividend yield
5.33%
F-score
5/9
Altman Z
0.53
Beneish M
−2.50
Dividend safety
34/100

Cresud S.A.C.I.F. y A. (CRESY) Business Profile

Updated before January 2025

Company Overview

Cresud S.A.C.I.F. y A. (CRESY) is a leading agricultural company based in Argentina, with a rich history dating back to its founding in 1936. The company is headquartered in Buenos Aires and has established itself as a prominent player in the agribusiness sector, not only in Argentina but also across Latin America. Cresud operates as a diversified agricultural company, focusing on the production of crops, livestock, and real estate development. The company is publicly traded on the NASDAQ under the ticker symbol CRESY.

Cresud’s leadership team is composed of experienced professionals who bring a wealth of expertise to the organization. The company is led by its Chairman, Eduardo Elsztain, a prominent figure in the Argentine business community, and its CEO, Alejandro Elsztain. Together, they have steered Cresud toward sustainable growth and expansion, leveraging the company’s extensive land portfolio and operational capabilities.

Core Business Segments

Cresud operates through three primary business segments, each contributing significantly to its overall revenue and market presence:

1. Agricultural Production

Cresud is deeply involved in the production of a variety of crops, including soybeans, corn, wheat, and sunflower. These crops are cultivated across its vast landholdings in Argentina, Brazil, Bolivia, and Paraguay. The company employs advanced agricultural techniques and technologies to maximize yield and ensure sustainable farming practices.

In addition to crop production, Cresud is a major player in the livestock industry. The company raises cattle for beef production, focusing on high-quality breeds and efficient farming methods. Livestock operations are integrated with its crop production activities, utilizing crop residues as feed and optimizing land use.

2. Real Estate Development

Cresud has a significant presence in the real estate sector through its subsidiary, IRSA Inversiones y Representaciones Sociedad Anónima (IRSA). This segment involves the acquisition, development, and management of urban and rural properties. IRSA is one of the largest real estate companies in Argentina, with a portfolio that includes shopping malls, office buildings, and residential properties.

3. Land Transformation and Sales

Cresud is actively involved in the transformation of underutilized or undeveloped land into productive agricultural assets. The company acquires land with high potential, invests in its development, and either integrates it into its operations or sells it at a profit. This business model allows Cresud to unlock value from its extensive land portfolio.

Business Model

Cresud’s business model is centered on leveraging its vast landholdings and expertise in agriculture and real estate to generate revenue and create value for shareholders. The company integrates its agricultural production with its real estate activities, creating synergies that enhance operational efficiency and profitability.

Revenue generation is diversified across its core business segments. Agricultural production contributes to revenue through the sale of crops and livestock, while the real estate segment generates income from property sales, rentals, and management fees. The land transformation and sales segment provides an additional revenue stream by capitalizing on the appreciation of land values.

Cresud’s approach to sustainability is a key component of its business model. The company is committed to implementing environmentally friendly practices, such as precision agriculture, crop rotation, and water conservation, to ensure the long-term viability of its operations.

Strategic Direction

Cresud has outlined a clear strategic direction aimed at driving growth and enhancing its competitive position. Key elements of its strategy include:

  • Expansion of Agricultural Operations: Cresud plans to increase its agricultural production capacity by acquiring and developing additional land in Latin America. The company aims to capitalize on the growing global demand for food and agricultural products.

  • Sustainability Initiatives: Cresud is committed to reducing its environmental footprint and promoting sustainable farming practices. The company is investing in renewable energy projects, such as solar and wind power, to support its operations.

  • Real Estate Growth: Through its subsidiary IRSA, Cresud intends to expand its real estate portfolio by developing new properties and enhancing existing assets. The company is also exploring opportunities in the hospitality and tourism sectors.

  • Technological Innovation: Cresud is leveraging advanced technologies, such as precision agriculture, data analytics, and automation, to improve operational efficiency and productivity.

Competitive Landscape

Cresud operates in a highly competitive environment, facing competition from both domestic and international players. Key competitors in the agricultural sector include:

  • Adecoagro S.A.: A leading agribusiness company in South America, specializing in crop production, dairy, and sugarcane.
  • Los Grobo: An Argentine agribusiness group with a strong presence in crop production and agricultural services.
  • El Tejar: A multinational agricultural company with operations in Argentina, Brazil, and Uruguay.

In the real estate sector, Cresud competes with other major developers and property managers in Argentina, such as Consultatio and TGLT.

Risk Factors

Cresud faces several risks that could impact its operations and financial performance:

  • Market Volatility: Fluctuations in commodity prices, such as soybeans and corn, can significantly affect the company’s revenue.
  • Climate Change: Adverse weather conditions, such as droughts and floods, pose a risk to agricultural production.
  • Regulatory Environment: Changes in government policies, such as export restrictions and tax regulations, can impact Cresud’s operations.
  • Currency Risk: As an Argentine company, Cresud is exposed to currency fluctuations and economic instability in the region.
  • Supply Chain Disruptions: Disruptions in the supply chain, such as transportation delays and input shortages, can affect production and delivery.

Recent Developments

Cresud has recently implemented several initiatives to strengthen its market position and drive growth:

  • Sustainability Projects: The company has launched renewable energy projects, including solar and wind farms, to reduce its carbon footprint.
  • Technological Upgrades: Cresud has invested in precision agriculture technologies to enhance productivity and reduce costs.
  • Real Estate Expansion: IRSA has announced new developments in the residential and commercial property sectors, including luxury apartments and office spaces.

Global developments, such as the COVID-19 pandemic and geopolitical tensions, have also impacted Cresud’s operations. The company has adapted by implementing safety measures and diversifying its supply chain.

Investment Considerations

Investors considering Cresud as a potential investment should weigh the following factors:

Strengths:

  • Diversified revenue streams across agriculture and real estate.
  • Extensive land portfolio with significant growth potential.
  • Commitment to sustainability and technological innovation.
  • Strong leadership team with a proven track record.

Risks:

  • Exposure to commodity price volatility and economic instability.
  • Dependence on favorable weather conditions for agricultural production.
  • Regulatory and currency risks in Argentina and other markets.

Conclusion

Cresud S.A.C.I.F. y A. is a leading player in the agribusiness and real estate sectors, with a strong presence in Latin America. The company’s diversified business model, extensive land portfolio, and commitment to sustainability position it for long-term growth. While Cresud faces risks related to market volatility and regulatory changes, its strategic initiatives and focus on innovation provide a solid foundation for future success. Investors seeking exposure to the agricultural and real estate sectors in Latin America may find Cresud an attractive opportunity.