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Verde Agritech Ltd T.NPK

Alternate Symbol(s):  VNPKF

Verde AgriTech Ltd is an agricultural technology company that produces potash fertilizers. The principal activity of the Company is the production and sale of a multi-nutrient potassium fertilizer marketed in Brazil under the brands K Forte and BAKS, Silicio Forte, and internationally as Super Greensand (the Product). K Forte is a potash fertilizer that is a source of potassium, silicon, and magnesium and micronutrients. BAKS is a combination of K Forte plus three other nutrients that can be chosen by customers according to their crops’ needs. It mines and processes its main feedstock from its 100% owned mineral properties, then sells and distributes the Product. Its Cerrado Verde Project is in Minas Gerais state, Brazil, which is a potassium-rich deposit, from which it is producing solutions for crop nutrition, crop protection, soil improvement, and increased sustainability. Its technologies are Cambridge Tech, 3D Alliance, MicroS Technology, N Keeper, and Bio Revolution.


TSX:NPK - Post by User

Comment by 15Stanmoreon Nov 12, 2020 11:34pm
170 Views
Post# 31892916

RE:RE:Earnings

RE:RE:Earnings Hello Sugoioi,

If the 3Q reports only 120,000 of product sold, this would be a disappointment even though it would be a 100% increase over Q3 in 2019. The Q2 YOY increase was almost 3 times the prior year (71,183 tonnes versus 23,600 tonnes). Having ramped up to a 2,000 tonnes per day throughput, the 90 days of the highest demand quarter should have bumped up against this limit, generating 180,000 tonnes or more in sales (adding inventory from June 30th.)

I don't want to be overly gloomy ahead of the actual results, but if they are at this lower level, the Board and senior management need to do more than offer the usual platitudes about all the challenges that have gotten in the way of what should have been a great quarter. I don't buy the Covid 19 pandemic foiled our plans excuse in this situation - competent production managers get the job done. Food production is an essential service, spreading fertilizer by yourself on a hundred acre field is not exactly a high transmission vector, not like working in a crowded meat processing factory.

Or maybe I need to respect the honest words of our CEO as approved by him in the latest news letter - :don't join us on this journey unless you are prepared to lose all your money". Really? Is this why the Board pays you in Canadian dollars, so we can lose our money faster. Add what about him leading "a team that will be fast at making mistakes and learning from them" I have certainly witnessed a team that has made many financially harmful mistakes, I just have not yet seen a lot of evidence that there has been a whole lot of learning accomplished from them. How about recruiting and retaining competent staff who can actually deliver on the great plans you have laid out for us without demonstrating they are able to mistakes quickly? Then you, and the other owners of this Company, might actually convince our CEO and his Board to support the concept of investors actually being interested in avoiding losing all their money.

Here's hoping.


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