Report in American Dollars
The exchange rate used to convert Argentine pesos to US dollars is the reference exchange rate (Communication "A" 3500) communicated by the Central Bank for US dollars at the end of each quarter. The figures for the last twelve months are the sum of the quarterly results converted into dollars at the exchange rate of each period.
Adjusted EBITDA
In this presentation, adjusted EBITDA, a non-IFRS financial measure, is defined as the net profit for the period, plus financial expenses, less financial income, less the share of profits (losses) of associated companies, plus (less) net monetary position losses (gains), plus income tax expense, plus depreciation and amortization, minus net results of discontinued operations, excluding impairment of property, plant and equipment, the difference exchange rate and interest related to FONI's commercial credits and variations in the fair value of the biological asset.
Adjusted EBITDA may not be useful in predicting the Company's results of operations in the future.
Adjusted EBITDA is considered to provide useful additional information to investors about the Company and its results. Adjusted EBITDA is one of the measures used by the company's management team to evaluate financial and operational performance and make daily financial and operational decisions. Additionally, Adjusted EBITDA is frequently used by Equity Research analysts, investors and other parties to evaluate companies in the sector. Adjusted EBITDA is considered useful to investors because it provides additional information on trends in core operating performance before considering the impact of capital structure, depreciation, amortization and taxes on results.
Adjusted EBITDA should not be considered in isolation or as a substitute for other measures of financial performance reported in accordance with IFRS. Adjusted EBITDA has limitations as an analytical tool, including:
• Adjusted EBITDA does not reflect changes in, including cash needs for, our working capital needs or contractual commitments;
• Adjusted EBITDA does not reflect our financial expenses, nor the treasury needs to meet interest payments or the principal of our debt, nor interest income or other financial income;
• Adjusted EBITDA does not reflect our income tax expense or treasury needs to pay our income taxes;
• Although depreciation and amortization are non-cash expenses, assets that are depreciated or amortized will often have to be replaced in the future, and Adjusted EBITDA does not reflect cash needs for these replacements;
• Although participation in the profits of associated companies is a non-cash expense, adjusted EBITDA does not take into account the possible receipt of dividends;
• Other companies may calculate Adjusted EBITDA differently, limiting its usefulness as a comparative measure.
The Company offsets the inherent limitations associated with the use of Adjusted EBITDA by disclosing these limitations, presenting the Company's consolidated financial statements in accordance with IFRS and reconciling Adjusted EBITDA to the most directly comparable IFRS measure, the result net.
Rounding of amounts and percentages:
Certain amounts and percentages included on this website have been rounded for ease of presentation. The percentage figures included in this presentation have not in all cases been calculated on the basis of such rounded figures, but rather on the basis of such amounts before rounding. For this reason, some percentage figures appearing in this presentation may differ from those that would be obtained by performing the same calculations with the figures in the financial statements. Additionally, some other amounts appearing in this presentation may not add up due to rounding. This presentation contains certain metrics, including per-share information, operating information and others, that do not have standardized meanings or standard methods of calculation and, therefore, such measures may not be comparable to similar measures used by other companies. Such measures have been included here to provide readers with additional measures to evaluate the company's performance; However, such measures are not reliable indicators of the company's future performance and future performance may not compare to performance in prior periods.
