Vittia Posts 22.6% Annual Profit Decline Despite Strong Q4 Recovery

Vittia, a leading Brazilian manufacturer of biological and nutritional agricultural inputs, announced financial results showing mixed performance for 2024.

The company reported a net profit of R$ 75.3 million ($12.55 million) for the full year, marking a 22.6% decrease compared to 2023. The agricultural inputs producer achieved a more positive outcome in the fourth quarter, with profits reaching R$ 46.4 million ($7.73 million).

This represented a 12.4% increase over the same period last year. Fourth quarter adjusted EBITDA grew significantly by 36.9% to R$ 61.3 million ($10.22 million), with margins expanding 5.6 percentage points to 24%.

Annual revenue bucked the downward trend, growing 4% to R$ 786.6 million ($131.1 million) despite challenging market conditions. Full-year adjusted EBITDA fell 6% to R$ 133.3 million ($22.22 million), with margins contracting 1.8 percentage points to 16.9%.

Vittia’s CEO Wilson Romanini emphasized the company maintained its financial stability throughout market turbulence. “We demonstrated confidence in our strategies by repurchasing 4.3% of our capital during 2024,” Romanini stated.

Vittia Posts 22.6% Annual Profit Decline Despite Strong Q4 Recovery. (Photo Internet reproduction)

The company ended the year with a leverage ratio of 1.09 times EBITDA, which executives described as “very comfortable.” The fertilizers and industrial products segment performed strongly with 10.6% annual revenue growth, reaching R$ 388.5 million ($64.75 million).

Biological products saw a 2.5% annual revenue decline to R$ 214 million ($35.67 million) but rebounded sharply in Q4 with 25.3% growth. CFO Alexandre Frizzo offered an optimistic outlook for 2025, citing more favorable market fundamentals.

“The 2024/25 harvest shows satisfactory development, exchange rates benefit producer profitability, and input prices remain near historical lows in real terms,” Frizzo explained.

Vittia’s results reflect broader challenges in Brazil’s agricultural sector during 2024. Severe drought conditions delayed planting schedules and triggered fires, while commodity price fluctuations pressured farmers’ purchasing decisions. The overall fertilizer market in Brazil contracted slightly, with deliveries falling 0.5% in 2024 according to industry data.