Leverage • São Martinho

SMTO3

São Martinho S.A. is one of the largest sugar-energy groups in Brazil, operating in the agribusiness and bioenergy sectors. Its business model is based on the cultivation and processing of sugarcane on a large scale to produce three main products: sugar, ethanol and bioenergy. The company sells sugar for domestic and export markets, ethanol (anhydrous and hydrated) for the fuel market, and creates electricity from sugarcane bagasse for own consumption and sale of the surplus. In addition to sugar cane, the company also diversified its raw material by producing ethanol from corn. São Martinho operates several industrial units in Southeast Brazil and manages a large agricultural area. A strategic pillar of the company is the flexibility to direct cane milling to sugar or ethanol to maximize profitability according to the prices and demand of each market.