Bioceres reports sharp revenue and profit declines in 2025 fiscal year amid Argentina’s downturn

Bioceres Crop Solutions (NASDAQ: BIOX) reported a steep decline in revenue and earnings for its fiscal fourth quarter and full year ended June 30, 2025, as weak demand in Argentina and lower HB4-related sales weighed on performance.

Fourth-quarter revenue dropped 40% year-on-year to $74.7 million, while gross profit fell 47% to $25.2 million. The company posted an operating loss of $14.9 million and a net loss of $48 million for the quarter. Adjusted EBITDA was negative $4.5 million, compared with a positive $19.9 million a year earlier.

For the full year, revenue fell 28% to $335.3 million and gross profit decreased 29% to $131.7 million. The company swung from a $7.3 million profit in fiscal 2024 to a net loss of $55.2 million. Adjusted EBITDA fell 65% to $28.3 million.

Segment results reflected broad weakness in Argentina, one of Bioceres’ key markets. Crop protection sales fell 20% to $181.9 million, crop nutrition declined 37% to $89.5 million, and seed and integrated products dropped 34% to $63.9 million.

Chief Executive Federico Trucco said the results were hurt by the company’s transition in its seed business, persistent weakness in Argentina and higher-than-normal impairments. He described fiscal 2025 as “an extremely challenging year” but said many of the pressures were temporary.

Bioceres has initiated cost-cutting measures, targeting operating expense reductions of 10-12% and halving its incremental capital expenditures and R&D investments for fiscal 2026 and 2027. Trucco said the company does not expect these cuts to hinder near-term growth, citing existing registrations and manufacturing capacity.

Despite the decline in profitability, Bioceres generated $53 million in operating cash flow during fiscal 2025, up 27% from the prior year, due to tighter working capital management.

The company also amended its financing arrangements, extending convertible note maturities, and is making changes to its leadership team following the departure of Chief Financial Officer Enrique Lopez Lecube. A search is underway for his successor, alongside a restructured chief commercial officer role.