Biosev S A : 3Q21 Financial Statements

February 12, 2021 at 03:36 am EST

(Convenience Translation into English from the Original Previously Issued in Portuguese)

Biosev S.A.

Individual and Consolidated Interim Financial Statements

For the Nine-month Period Ended December 31, 2020

Interim Financial Statements

December 31, 2020

CONTENTS

INDEPENDENT AUDITOR'S REVIEW REPORT ON THE INTERIM FINANCIAL INFORMATION……… ........ . 04

BALANCE SHEET ................................................................................................................................................ 06

STATEMENT OF OPERATIONS ......................................................................................................................... 07

STATEMENT OF COMPREHENSIVE INCOME (LOSS) ..................................................................................... 08

STATEMENT OF CHANGES IN EQUITY ............................................................................................................ 09

STATEMENT OF CASH FLOWS ......................................................................................................................... 10

STATEMENT OF VALUE ADDED ........................................................................................................................ 11

NOTES

Tel.: +55 11 3848 5880	Rua Major Quedinho 90
Fax: + 55 11 3045 7363	Consolação - São Paulo, SP - Brasil
www.bdo.com.br	01050-030

(Convenience Translation into English fromthe Original Previously Issued in Portuguese)

INDEPENDENT AUDITOR'S REVIEW REPORT ON THE INTERIM FINANCIAL INFORMATION

To the

Board of Directors and Shareholders Biosev S.A.

São Paulo - SP

Introduction

We have reviewed the accompanying individual and consolidated interim financial information of Biosev S.A. (the "Company"), contained in the Quarterly Information Form (ITR) for the quarter ended December 31, 2020, which comprises the statement of financial position as of December 31, 2020, and the respective statements of profit or loss and other comprehensive income for the three and nine-month periods then ended and changes in equity and cash flows for the nine-month period then ended, including the explanatory notes.

The Company´s management is responsible for the preparation of the individual and consolidated interim financial information in accordance with Technical Pronouncement CPC 21 (R1) - Interim Financial Reporting and IAS 34 - Interim Financial Reporting, issued by International Accounting Standards Board (IASB), as well for the presentation of this information in accordance with standards issued by the Brazilian Securities and Exchange Commission, applicable to the preparation of Quarterly Information - ITR. Our responsibility is to express a conclusion on this interim financial information based on our review.

Scope of review

We conducted our review in accordance with the Brazilian and International standards on review engagements of interim financial information (NBC TR 2410 - Review of Interim Financial Information Performed by the Independent Auditor of the Entity and ISRE 2410 - Review of Interim Financial Information Performed by the Independent Auditor of the Entity, respectively). A review of interim financial information consists of making inquiries, primarily of persons responsible for the financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with the audit standards and, consequently, does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

Conclusion on the interim financial information

Based on our review, nothing has come to our attention that causes us to believe that the accompanying individual and consolidated interim financial information included in the Quarterly Information referred to above has not been prepared, in all material respects, in accordance with Technical Pronouncement CPC 21 (R1) and IAS 34, issued by IASB, applicable to the preparation of Quarterly Information - ITR, and presented in accordance with standards issued by the Brazilian Securities and Exchange Commission.

Emphasis of matter

Transactions with related parties

The Company and its subsidiaries have carried out significant transactions with related parties of the Louis Dreyfus Company Group. The effects on results of these transactions and the corresponding assets and liabilities are disclosed in note 20. Our conclusion is not modified with respect to this matter.

Other matters

Statements of Value Added

The quarterly information referred to above includes the individual and consolidated statements of value added for the nine-month period ended December 31, 2020. These statements are the responsibility of the Company's management and are presented as supplementary information under IAS 34. These statements have been subjected to review procedures performed together with the review of the interim accounting information for the purpose of concluding whether they are reconciled with the interim accounting information and accounting records, as applicable, and if their form and content are in accordance with the criteria defined in the accounting standard CPC 09 - "Statement of Value Added". Based on our review, nothing has come to our attention that causes us to believe that these statements of value added have not been properly prepared, in all material respects, in accordance with the criteria established in this accounting standard, and consistent with the individual and consolidated interim accounting information taken as a whole.

The accompanying individual and consolidated interim financial information has been translated into English for the convenience of readers outside Brazil.

São Paulo, February 11, 2021.

BDO RCS Auditores Independentes SS

CRC 2 SP 013846/O-1

Franc isc o de Paula dos Reis Júnior AccountantCRC 1 SP 139268/O-6

Biosev S.A.

(Convenience Translation into English from the Original Previously Issued in Portuguese)

BALANCE SHEET

AS AT DECEMBER 31, 2020

(In thousands of Brazilian reais - R$)

Com pany

Cons olidate d

Com pany

Cons olidate d

ASSETS	Note	12.31.20	03.31.20	12.31.20	03.31.20	LIABILITIES AND EQUITY	Note	12.31.20	03.31.20	12.31.20	03.31.20
CURRENT ASSETS	CURRENT LIABILITIES
Cash and cash equivalents	3	141,536	396,124	484,178	1,174,943	Borrow ings and financing	16	1,318,124	2,935,559	3,058,308	7,225,234
Short-term investments	4	71,453	42,052	119,732	52,245	Lease liabilities	12.2	207,270	215,257	561,217	498,932
Derivative financial instruments	26	92,157	225,787	105,423	225,787	Advances from domestic customers	16,977	7,611	21,311	28,128
Trade receivables	5	158,455	210,771	265,477	202,050	Advances from foreign customers	270,497	968,764	462,881	2,585,641
Inventories	6	426,221	1,105,650	864,170	2,948,633	Trade payables	17	287,643	309,104	663,105	798,903
Biological assets	7	691,173	303,621	1,275,757	663,908	Accrued payroll and related taxes	48,704	47,218	93,903	90,483
Recoverable taxes	8	56,357	50,274	144,704	158,777	Taxes payable	18	13,891	21,314	57,000	75,152
Other receivables	47,456	44,364	95,235	88,170	Derivative financial instruments	26	120,108	575,188	231,324	586,843
1,684,808	2,378,643	3,354,676	5,514,513	Other payables	51,840	80,594	94,961	118,051
Assets held for sale	10	26,674	45,165	26,674	45,165	Total current liabilities	2,335,054	5,160,609	5,244,010	12,007,367
Total current assets	1,711,482	2,423,808	3,381,350	5,559,678
NON-CURRENT ASSETS
Long-term receivables
Long-term investments	4	-	-	8,217	-	NON-CURRENT LIABILITIES
Advances to suppliers	41,221	34,719	65,055	56,602	Borrow ings and financing	16	1,696,519	67,484	3,856,252	96,191
Escrow deposits	9	130,360	192,166	284,956	385,413	Lease liabilities	12.2	629,008	516,857	1,574,048	1,182,337
Recoverable taxes	8	10,788	11,502	80,409	57,529	Advances from foreign customers	20	500,153	802,505	-	626,116
Derivative financial instruments	26	-	-	-	55,885	Trade payables	17	4,286	5,733	4,529	5,965
Deferred income tax and social contribution	11.1	78,609	418,029	389,423	872,971	Deferred income tax and social contribution	11.1	-	-	35,384	36,883
Other receivables	304,196	335,939	305,606	320,012	Derivative financial instruments	26	-	-	10,594	16,596
Lease asset use right	12.1	786,610	700,306	1,983,844	1,577,379	Provision for tax, labor, civil and enviromental contingencies	19	106,912	108,081	290,927	294,668
Investments	13	1,253,961	1,240,462	154,547	160,393	Taxes payable	18	18,324	18,501	18,324	18,501
Property, plant and equipment	14	1,509,156	1,635,433	3,142,165	3,477,391	Other payables	72,576	86,047	149,070	167,247
Intangible assets	15	7,998	11,856	917,460	921,964	Provision for investment loss	13	947,760	1,251,234	-	-
Total non-current assets	4,122,899	4,580,412	7,331,682	7,885,539	Total non-current liabilities	3,975,538	2,856,442	5,939,128	2,444,504
EQUITY
Capital	6,077,674	6,077,674	6,077,674	6,077,674
Capital reserve	1,353,937	1,353,937	1,353,937	1,353,937
Accumulated losses	(8,167,310)	(8,167,310)	(8,167,310)	(8,167,310)
Profit for the period	453,998	-	453,998	-
Other comprehensive loss	(194,510)	(277,132)	(194,510)	(277,132)
Total equity attributable to the Company's owners	(476,211)	(1,012,831)	(476,211)	(1,012,831)
Non-controlling interests	-	-	6,105	6,177
Total equity	(476,211)	(1,012,831)	(470,106)	(1,006,654)
TOTAL ASSETS	5,834,381	7,004,220	10,713,032	13,445,217	TOTAL LIABILITIES AND EQUITY	5,834,381	7,004,220	10,713,032	13,445,217

The accompanying notes are an integral part of these interim financial statements.

Biosev S.A.

(Convenience Translation into English from the Original Previously Issued in Portuguese)

STATEMENT OF OPERATIONS FORTHETHREE-ANDNINE-MONTHPERIODSENDEDDECEMBER31,2020

(In thousands of Brazilian reais - R$)

Com pany

Cons olidate d

Three-month period	Nine-month period	Three-month period	Nine-month period
ended	ended	ended	ended

Note	12.31.20	12.31.19	12.31.20	12.31.19	12.31.20	12.31.19	12.31.20	12.31.19
NET REVENUE	21	874,886	657,388	3,108,597	2,478,884	2,868,662	1,389,546	8,522,891	4,660,369
Cost of sales and services	21 and 22	(629,331)	(588,450)	(2,038,416)	(2,003,833)	(2,238,320)	(1,217,363)	(6,464,952)	(3,995,806)
GROSS PROFIT	245,555	68,938	1,070,181	475,051	630,342	172,183	2,057,939	664,563
OPERATING INCOME (EXPENSES)	35,918	(47,634)	132,122	(503,667)	(282,992)	(122,550)	(661,760)	(374,478)
General, administrative and selling expenses	22	(56,281)	(64,319)	(165,330)	(171,333)	(175,405)	(128,028)	(505,624)	(388,863)
Equity in subsidiaries	13	146,131	(10,922)	364,304	(394,203)	(2,816)	(3,412)	(6,724)	(10,054)
Other operating income	24	7,406	7,098	19,210	88,657	19,292	14,621	36,463	187,254
Other operating expenses	24	(61,338)	20,509	(86,062)	(26,788)	(124,063)	(5,731)	(185,875)	(162,815)
OPERATINGINCOME(LOSS) BEFOREFINANCEINCOME(COSTS)	281,473	21,304	1,202,303	(28,616)	347,350	49,633	1,396,179	290,085
Finance income	23	4,962	7,276	14,709	20,557	2,616	10,302	18,181	32,000
Finance costs	23	(74,081)	(68,318)	(235,046)	(281,328)	(141,361)	(143,179)	(454,872)	(519,203)
Derivatives	23	(42,148)	38,814	(293,354)	20,620	(130,494)	1,403	(37,393)	(47,420)
Exchange rate changes	23	289,271	77,816	10,199	(105,750)	559,660	180,321	(33,699)	(206,126)
INCOME (LOSS) BEFORE TAXES	459,477	76,892	698,811	(374,517)	637,771	98,480	888,396	(450,664)
INCOME TAX AND SOCIAL CONTRIBUTION	11.2	(147,863)	(73,935)	(244,813)	(95,600)	(326,154)	(95,623)	(434,496)	(19,708)
PROFIT (LOSS) FOR THE PERIOD	311,614	2,957	453,998	(470,117)	311,617	2,857	453,900	(470,372)
Attributable to:
Company's ow ners	25	311,614	2,957	453,998	(470,117)	311,614	2,957	453,998	(470,117)
Non-controlling interests	-	-	-	-	3	(100)	(98)	(255)
EARNINGS (LOSS) PER SHARE - R$
Basic	25	0.60186	0.06718	0.89105	(1.08402)	0.60186	0.06718	0.89105	(1.08402)
Diluted	25	0.60186	0.06718	0.89105	(1.08402)	0.60186	0.06718	0.89105	(1.08402)
The accompanying notes are an integral part of these interim financial statements.

Biosev S.A.

(Convenience Translation into English from the Original Previously Issued in Portuguese)

STATEMENT OF COMPREHENSIVE INCOME (LOSS)

FOR THE THREE- AND NINE-MONTH PERIODS ENDED DECEMBER 31, 2020 (In thousands of Brazilian reais - R$)

Com pany

Cons olidate d

Three-month	Nine-month period	Three-month	Nine-month period
period ended	ended	period ended	ended

Note	12.31.20	12.31.19	12.31.20	12.31.19	12.31.20	12.31.19	12.31.20	12.31.19
PROFIT (LOSS) FOR THE PERIOD	311,614	2,957	453,998	(470,117)	311,617	2,857	453,900	(470,372)
OTHER COMPREHENSIVE INCOME (LOSS)
Items subsequently reclassified to profit or loss:
Financial instruments - hedge accounting of futures	26	(89,295)	(72,120)	(253,925)	(39,323)	(89,295)	(72,120)	(253,925)	(39,323)
Financial instruments - hedge accounting of Libor sw ap	26	3,919	2,455	5,363	(5,191)	3,919	2,455	5,363	(5,191)
Financial instruments - hedge accounting of Non-Deliverable Forw ard (NDF)	26	159,961	50,420	293,309	29,844	159,961	50,420	293,309	29,844
Financial instruments - hedge accounting of exchange differences	26	-	32,764	79,173	266,201	-	32,764	79,173	266,201
Deferred income tax and social contribution related to components of other
comprehensive income (loss)	11.3	(25,359)	(4,597)	(42,133)	(85,521)	(25,359)	(4,597)	(42,133)	(85,521)
Equity in investees - other comprehensive income (loss)	835	(552)	835	(552)	835	(552)	835	(552)
50,061	8,370	82,622	165,458	50,061	8,370	82,622	165,458
COMPREHENSIVE INCOME (LOSS) FOR THE PERIOD	361,675	11,327	536,620	(304,659)	361,678	11,227	536,522	(304,914)
Attributable to:
Company's ow ners	361,675	11,327	536,620	(304,659)	361,675	11,327	536,620	(304,659)
Non-controlling interests	-	-	-	-	3	(100)	(98)	(255)
The accompanying notes are an integral part of these interim financial statements.

Biosev S.A.

(Convenience Translation into English from the Original Previously Issued in Portuguese)

STATEMENT OF CHANGES IN EQUITY

FOR THE NINE-MONTH PERIOD ENDED DECEMBER 31, 2020 (In thousands of Brazilian reais - R$)

Assessable capital	Total consolidated
Capital	s tock	Capital reserve	Accumulated losses	Company's equity	e quity
BALANCES AS AT MARCH 31, 2019	6,077,674	1,353,937	(287,906)	(6,617,139)	526,566	6,280	532,846
Loss for the period	-	-	-	(470,117)	(470,117)	(255)	(470,372)
Adjusted derivatives (hedge accounting), net of taxes	-	-	165,458	-	165,458	-	165,458
Comprehensive income (loss) for the period	-	-	165,458	(470,117)	(304,659)	(255)	(304,914)
Non-controlling interest	-	55	55
Dissolution of indirect subsidiary	-	-	-	919	919	-	919
BALANCES AS AT DECEMBER 31, 2019	6,077,674	1,353,937	(122,448)	(7,086,337)	222,826	6,080	228,906
BALANCES AS AT MARCH 31, 2020	6,077,674	1,353,937	(277,132)	(8,167,310)	(1,012,831)	6,177	(1,006,654)
Profit (loss) for the period	-	-	-	453,998	453,998	(98)	453,900
Other comprehensive income	-	-	82,622	-	82,622	-	82,622
Comprehensive income (loss) for the period	-	-	82,622	453,998	536,620	(98)	536,522
Non-controlling interest	-	-	-	-	-	26	26
BALANCES AS AT DECEMBER 31, 2020	6,077,674	1,353,937	(194,510)	(7,713,312)	(476,211)	6,105	(470,106)
The accompanying notes are an integral part of these interim financial statements.
8

Non-controlling inte r e s ts

(Convenience Translation into English from the Original Previously Issued in Portuguese)

STATEMENT OF CASH FLOWS

FOR THE NINE-MONTH PERIOD ENDED DECEMBER 31, 2020 (In thousands of Brazilian reais - R$)

Com pany Nine-month period ended

NoteCons olidate dNine-month period ended

12.31.20

12.31.19

12.31.20

12.31.19

CASH FLOW FROM OPERATING ACTIVITIES Profit (loss) for the period

Non-cash transactions:

Depreciation and amortization

Income (loss) from sale of property, plant and equipment Investments sold

Equity in subsidiaries

Interest, exchange rate changes and inflation adjustments, net Exchange, interest rate and commodities risk management

Recognition of provision for tax, labor, civil and enviromental contingencies Recognition (reversal) of estimated losses on doubtful accounts Derecognition of intangible assets

Reversal of impairment loss Impairment of assets held for sale

Provision for other losses

Recognition (reversal) of allow ance for negative margin and

realization of storeroom inventories

Gains on changes in fair value less estimated costs to sell biological assets Deferred income tax and social contribution

Hedge operations

Derecognition of operating leases Dissolution of indirect subsidiary

Decrease (increase) in assets:

Trade receivables Inventories

Derivative financial instruments Escrow deposits

Recoverable taxes Advances to suppliers Other receivables

Increase (decrease) in liabilities:

Trade payables

Advances from foreign customers Accrued payroll and related taxes Taxes payable

Advances from domestic customers

Payments of labor, civil, tax and environmental contingencies Derivative financial instruments

Other payables

Cash used in operating activities, net interest Interest on borrow ings and financing

Cash provided by operating activities

CASH FLOW FROM INVESTING ACTIVITIES

Decrease (increase) in short- and long-term investments

Decrease (increase) in investments (provision for investment loss) Additions to lease agreements

Increase in property, plant and equipment Additions to biological assets

Additions to intangible assets

Cash provided by investing activities

CASH FLOW FROM FINANCING ACTIVITIES

Additions to lease operations Shareholders' contributions Borrow ings and financing

Payment of borrow ings and financing

Cash provided by (used in) financing activities

DECREASE IN CASH AND CASH EQUIVALENTS

Cash and cash equivalents at the beginning of the period Cash and cash equivalents at the end of the period

Non-cash items

Transfer of depreciation and amortization to inventories

Transfer of assets and liabilities to held for sale - Estivas plant Acquisition of financed property, plant and equipment

The accompanying notes are an integral part of these interim financial statements.

453,998 (470,117)

22 24

453,900

814,314

719,307 1,654,121

(470,372)

1,419,049

7,403 -(407)

5,025 (6,436)

62,418

- 62,418

(363,469)

393,651

7,559 9,502

168,044

252,455

392,396 573,361

81,679

138,744

(29,660) 144,629
- 9,795 (25,829)
5
47,361 14,761
(30)
747 (466) 1,002
15
264 (3,518)
-
374
-
24
(555) 773 (1,976)
10
- (119) (53,374)
24 6
(119) (53,374)
39 730
168
13,937 59,702

(5,932)

(4,937) (18,097)
21 and 22 11.2
(594,047)
(152,114)
(927,443) (247,305)

5,715 - 1,002,006

251,354

169,854

176,664

95,600

5,898

439,916 20,291 123,920 251,531 11,584 6,908

919 1,138,243

26 2,188,267

974 1,766,568

52,827 833,353 133,630 61,806

(52,194)

(62,282)

(15,016) 2,316,646

(61,690)

(1,011,400)

(47,955) (22,108)

176,249 (53,061)
9
100,457 (63,378)
8
- (5,369) 33,004
(6,502) 28,612
- (8,807) 6,715

(2,006) (24,343)

(8,453) (20,037)
(6,596) (38,248)

1,098,357

(130,618) 2,507,214
(1,241,099)
17
(22,830)
(88,411) (137,104)
(1,000,619)
(23,095) (2,748,876)

1,486

(171,458) 583,667

(3,446)

3,420 (3,475)

(7,600)

(9,603)

(18,329) (15,668)
9,366
1,964
(6,817) 22,606
19 26.1
(10,964)
(3,826)
(51,102) (15,517)
(536,759)
(267,416)
(331,861) (267,503)
- (42,225) 2,389
(41,267) 10,592

(1,610,145)

490,218 (95,921) 394,297

(391,444)

616,181 (130,362) 485,819

(3,331,936) 143,244 1,363,545 668,713

(230,924)

(293,838)

1,132,621 374,875

(29,233)

(17,603)

(75,146) 74,458

47,331

(149,694)

(878) 569

(249,065)

(765,422)

(791,394) (1,814,492)
14
(231,167)
(161,792)
(436,119) (348,736)
7
(236,191)
(218,502)
(412,222) (376,651)

(482)

(8,829)

(929) (9,836)

(698,807)

(1,321,842)

(1,716,688)

(2,474,688)

12 12 16 16

197,275 (123,926) 655,621 (679,048)

(1,070,400)

766,207 (166,631) 809,392

792,379 (436,432) 1,227,667 (1,690,312)

1,815,411 (394,816) 2,176,427 (2,483,462)

49,922

338,568

(106,698) 1,113,560
(254,588)
(497,455)
(690,765) (986,253)

3 3

396,124 141,536

577,523 1,174,943

1,189,112

80,068

484,178 202,859

(27,424)

5,533

(24,633) 177,966
18,609 -
(3,473) 24,271
18,609 (6,978)
6,160 51,235

(Convenience Translation into English from the Original Previously Issued in Portuguese)

STATEMENT OF VALUE ADDED

FOR THE NINE-MONTH PERIOD ENDED DECEMBER 30, 2020

(In thousands of Brazilian reais - R$)

Com pany	Cons olidate d
Nine-month period	Nine-month period
ended	ended

Note
1 - REVENUE
1.1) Sales	21
1.2) Reversal of estimated losses on doubtful accounts	24
1.3) Other operating income	24
2 - INPUTS PURCHASED FROM THIRD PARTIES
2.1) Cost of sales and services
2.2) Materials, electric pow er, external services and other
2.3) Gains on changes in fair value of biological assets and other
3 - GROSS VALUE ADDEED (1-2)
4 - DEPRECIATION AND AMORTIZATION	22	(814,314)	(719,307)
5 - VALUE ADDED CREATED BY THE ENTITY (3-4)	1,260,660	889,705
6 - VALUE ADDED RECEIVED IN TRANSFER	379,013	(373,646)
6.1) Equity in subsidiaries	13	364,304	(394,203)
6.2) Finance income	14,709	20,557
7 - VALUE ADDED FOR DISTRIBUTION (5+6)	1,639,673	516,059
8 - DISTRIBUTION OF VALUE ADDED	1,639,673	516,059
8.1) Personnel and payroll taxes	22	198,205	220,743
Direct compensation	140,062	158,165
Benef its	43,581	43,993
Severance pay fund (FGTS)	14,562	18,585
8.2) Taxes, rates and contributions	330,415	257,432
Federal	268,440	151,988
State	61,883	105,442
Municipal	92	2
8.3) Third-party capital use	657,054	508,001
Rentals	138,853	141,543
Interest and exchange rate changes	518,201	366,458
8.4) Equity capital	453,998	(470,117)
Pofit (loss) for the period	453,998	(470,117)
The accompanying notes are an integral part of these interim financial statements.

12.31.20	12.31.19
8,748,960	5,201,730
8,712,031	5,015,478
466	(1,002)
36,463	187,254
(4,677,665)	(2,366,554)
(237,518) (167,510)	(1,249,785)	(894,947)
(1,483,906) (1,099,313)	(4,355,322)	(1,718,911)
594,049 152,113	927,442	247,304
2,074,974 1,609,012	4,071,295	2,835,176
(1,654,121)	(1,419,049)
2,417,174	1,416,127
11,457	21,946
(6,724)	(10,054)
18,181	32,000
2,428,631	1,438,073
2,428,631	1,438,073
481,534	450,951
345,121	311,051
104,603	99,939
31,810	39,961
635,109	379,609
537,600	192,535
97,330	186,917
179	157
858,088	1,077,885
332,124	305,136
525,964	772,749
453,900	(470,372)
453,900	(470,372)

12.31.20

12.31.19

3,202,349 2,723,722
3,183,109 2,635,812

30 19,210

(747) 88,657

(1,127,375) (1,114,710)

Biosev S.A.

Notes to the Interim Financial Statements

For the Nine-month Period Ended December 31, 2020 (Amounts in thousands of Brazilian reais, unless otherw ise stated)

GENERAL INFORMATION

Biosev S.A. ("Company"), a publicly-held company headquartered at Avenida Brigadeiro Faria Lima, 1355, 11º andar,

Pinheiros, São Paulo, SP, and its subsidiaries (hereinafter referred to as, collectively, "Group") are mainly engaged in the production, processing and sale of agricultural products, primarily sugarcane and its by-products; the agricultural operations inCompany-ownedorthird-partyland;theexport,importandsaleofpetroleumby-products,lubricants,fuel,greaseand hydrated ethyl alcohol; the purchase, sale, import and export of agricultural products and its by-products; and the generation and sale of electricity and its by-products.

The Group comprises the activities of Biosev S.A. and Biosev Bioenergia S.A. ("Biosev Bioenergia"), based in Brazil, and Biosev Bioenergia International S.A. ("Biosev Bioenergia International"), based in Sw itzerland. Additionally, the Group consists of the subsidiaries of such companies, including Biosev Comercializadora S.A., a special-purpose entity established to sell ethanol by-products, sugar and electric pow er arising from the cogeneration assets of the Santa Elisa and Passa Tempo units, located in the State of São Paulo and State of Mato Grosso do Sul, respectively.

The Group is organized in industrial clusters, composed as follow s, w ith their corresponding branches:

• North Ribeirão Preto Agri-Industrial Cluster: Continental (located in the State of São Paulo) and Lagoa da Prata (located in the State of Minas Gerais) plants;
• South Ribeirão Preto Agri-Industrial Cluster: Santa Elisa, Leme, Vale do Rosário and MB (Morro Agudo) (located in the State of São Paulo) plants;
• Mato Grosso do Sul Agri-Industrial Cluster: Passa Tempo and Rio Brilhante (located in the State of Mato Grosso do Sul) plants;

The Company is a subsidiary of the Louis Dreyfus Company Group, directly controlled by Hédera Investimentos e Participações Ltda., w hich holds 79.43% of its shares.

The Company's Management had adopted measures to adjust the debt profile. Specifically, the Company has maintained its strategy to maximize the use of its assets, aligned w ith strict financial discipline, in order to increase the operationa l efficiency and the generation of positive free cash flow .

The Company recorded net profit of R$453,998 in the nine-month period ended December 31, 2020. The Company's capacity to continue as a going concern depends on the obtaining of additional capital, renew al and extension of the credit facilities and, finally, generation of profitable transactions, similarly to this period to reverse the historical losses incurred over the last years. Specifically, the Company's and its subsidiaries' debt levels may significantly impact the business, inclusive in relation to w orking capital financing and recurring capital disbursements, taking into account the necessary funds to pay the debt service.

Although there is no guarantee that the Company willbe able to generate sufficientcash flow tofinance the transactions and pay its debt, Management continues to implement actions to improve the operational activities and reduce costs and expenses, in addition to the negotiations in progress w ith the financial institutions that historically have supported the

Company's activities. The Company's Management expects that the improvement actions, current cash balances, favorable liquidity developments and available credit facilities, and results from operations are sufficient to meet the w orking capital, capital expenses, debt service and other needs for the next year.

Should the Company is not able to generate sufficient cash to conduct the transactions in progress, the Company may need to seek for additional debt financing. The Company may fully or partially refinance its debt, w hich may be more costly, in addition to all other impacts.

Covid-19 effects

InconnectionwiththefinancialstatementsasatMarch31,2020,theCompanycontinuestocomplywithallguidelinesto prevent Covid-19 disclosed by the proper health bodies and maintain the measures to mitigate the risk of transmission of Covid-19 in workplaces.

Although the pandemic has not been fully eradicated, the Brazilian authorities began to loosen the restrictions, and the Company believes that the pandemic effects in the global economy has begun to be mitigated. As of the date, the Company has not identified significant effects on its operations; therefore, the Company has maintained the estimated production, sales and delivery of products. The agro industrial sector is deemed an essential activity by virtue of the essential supplies

Biosev S.A.

Notes to the Interim Financial Statements

For the Nine-month Period Ended December 31, 2020 (Amounts in thousands of Brazilian reais, unless otherw ise stated)

produced to the population, relating to the meal and transportation segments. In addition, there w as no change in the measurement of the economic and financial impacts from Covid-19, as disclosed in the financial statements as at March 31, 2020.

2. SUMMARY OF SIGNIFICANT ACCOUNTING PRACTICES

2.1 Statement of compliance and basis of preparation

The individual and consolidated interim financial statements have been prepared and is presented in accordance w ith CPC 21 (R1) - Interim Financial Reporting and IAS 34 - Interim Financial Reporting issued by the International Accounting Standards Board (IASB).

These interim financial statements are presented in accordance w ith the standards issued by the Brazilian Securities and Exchange Commission (CVM), applicable to the preparation of Interim Financial Information (ITR).

The preparation of the individual and consolidated financial statements under CPC 21 (R1) and IAS 34 requires the use of certain critical accounting estimates by the Company's Management. The interim financial statements have been prepared based on the historical cost, except for certain financial instruments, held-for-sale assets and biological assets measured at their fair values. The historical cost is generally based on the fair value of the consideration paid in exchange for assets on the transaction date.

Management undertakes that all relevant information related to the interim financial statements, and only such information, is being highlighted and corresponds to the information used by Management in its management.

The accounting practices and the methods for calculation of estimates used in the preparation of these interim financial statements are the same accounting practices and methods used in the preparation of the Company's financial statements as at March 31, 2020, filed w ith CVM and, therefore, must be read jointly.

2.1.1 New and revised standards and interpretations

Leases - CPC 06 (R2)/IFRS 16

Such pronouncement has been changed by virtue of the benefits granted relating to COVID-10 to the lessees in connection w ith the lease agreements. The Company analyzed the contents of this pronouncements and has not identified impacts, as the clauses of the lease agreements in forceremained unchanged.

CASH AND CASH EQUIVALENTS

Com pany

Cons olidate d

12.31.20	03.31.20	12.31.20	03.31.20
Cash and banks	31,743	21,625	354,623	364,024
Short-term investments	2,973	3,004	22,735	41,792
Debentures	106,820	371,495	106,820	769,127
141,536	396,124	484,178	1,174,943

Short- and long-term investments refer to floating rate Certificates of Bank Deposit (CDBs) and/or CDBs indexed at rates ranging from 95% to 100% of the Interbank Deposit Rate (CDI) as at December 31, 2020 (95% to 96% as at March 31, 2020). The CDBs investments are subject to repurchase commitments by the financial institutions issuers and/or custodians.

Debentures not subject to Tax on Financial Transactions (IOF) are issued from local prime financial institutions indexed at 73% of the CDI rate as at December 31, 2020 (73% to 80% as at March 31, 2020).

Biosev S.A.

Notes to the Interim Financial Statements

For the Nine-month Period Ended December 31, 2020 (Amounts in thousands of Brazilian reais, unless otherw ise stated)

SHORT- AND LONG-TERM INVESTMENTS

Com pany

Cons olidate d

12.31.20	03.31.20	12.31.20	03.31.20
Short-term investments	71,453	42,052	127,949	52,245
Current assets	71,453	42,052	119,732	52,245
Non-current assets	-	-	8,217	-

Short- and long-term investments refer to restricted deposits and are operations represented by (i) floating rate Certificates of Bank Deposit (CDBs) and/or CDBs indexed at rates ranging from 95% to 100% of the Interbank Deposit Rate (CDI) as at December 31, 2020 (95% to 96% as at March 31, 2020); (ii) margin deposits in derivative transactions; and (iii) foreign currency-denominated deposits related to prepayments of exports indexed at average rate of 0.10% p.a. performed by subsidiary Biosev Bioenergia Internacional S.A. These deposits may be considered, together with future agricultural production and sugar and ethanol inventories, for purposes of calculation of the indices set forth in the prepaid export agreements.

TRADE RECEIVABLES

Com pany

Cons olidate d

12.31.20	03.31.20
Related parties (Note 20)
In Brazil	8,463	7,498	-	-
Abroad	83,852	133,503	4,613	2,505
92,315	141,001	4,613	2,505
Third parties
In Brazil	66,731	67,955	181,466	191,167
Abroad	145	2,581	93,124	22,570
66,876	70,536	274,590	213,737
159,191	211,537	279,203	216,242
(-) Estimated loss for doubtful accounts	(736)	(766)	(13,726)	(14,192)
158,455	210,771	265,477	202,050

12.31.20

03.31.20

The aging list of overdue receivables is as follow s:

Com pany

Cons olidate d

12.31.20	03.31.20	12.31.20	03.31.20
Overdue
Up to 30 days	1,981	24,648	67,905	3,457
31 to 60 days	18,403	2,083	148	6,462
61 to 90 days	5	20,887	44	452
91 to 180 days	1	20,455	33	325
Over 180 days	876	17,001	16,242	16,874
21,266	85,074	84,372	27,570

The change in the estimated loss for doubtful accounts is as follow s:

Com pany

Cons olidate d

12.31.20	03.31.20	12.31.20	03.31.20
At the beginning of the	(766)	(175)	(14,192)	(13,395)
Reversal (recognition) of
30	(591)	466	(797)
estimated loss for doubtful
(736)	(766)	(13,726)	(14,192)

Biosev S.A.

Notes to the Interim Financial Statements

For the Nine-month Period Ended December 31, 2020 (Amounts in thousands of Brazilian reais, unless otherw ise stated)

INVENTORIES

Com pany

Cons olidate d

12.31.20	03.31.20	12.31.20	03.31.20
Finished products
Sugar	42,458	4,218	91,040	14,838
Ethanol	236,075	20,676	491,359	79,839
Sugar syrup	959	317	3,258	1,241
Other	98	247	277	331
Allow ance for negative inventory margin	(2,093)	(3,298)	(8,733)	(18,985)
277,497	22,160	577,201	77,264
Raw materials and packaging materials	1,239	1,033	1,298	1,166
Storeroom supplies	47,021	37,492	96,308	76,476
Allow ance for realization of storeroom
(6,054)	(4,119)	(12,412)	(7,097)
inventories
Advances to suppliers (*)	106,518	1,049,084	201,775	2,800,824
148,724	1,083,490	286,969	2,871,369
426,221	1,105,650	864,170	2,948,633

(**) Out of the total amount as at December 31, 2020, R$94,890, in Company, and R$185,821 in Consolidated (R$105,192 and R$223,699 as at March 31, 2020, respectively), refer to advances to sugarcane suppliers that are adjusted on a monthly basis according to the specific conditions and indices set forth in the agreements, and R$11,628, in Company, and R$15,954 in Consolidated (R$943,892, in Company, and R$2,577,125, in Consolidated, as at March 31, 2020), refer to advances to export of commodities, as described in Note 20.

Thechangesintheallowancefornegativeinventorymarginandrealizationofstoreroominventoriesarebrokendownas follow s:

Com pany

Cons olidate d

12.31.20	03.31.20	12.31.20	03.31.20
Negative inventory margin
Opening balance	(3,298)	(7,410)	(18,985)	(25,793)
A dditions	(2,093)	(3,298)	(8,733)	(18,985)
Reversals	3,298	7,410	18,985	25,793
(2,093)	(3,298)	(8,733)	(18,985)
Realization of storeroom inventories
Opening balance	(4,119)	(3,568)	(7,097)	(5,818)
A dditions	(6,054)	(4,119)	(12,412)	(7,097)
Reversals	4,119	3,568	7,097	5,818
(6,054)	(4,119)	(12,412)	(7,097)

The allow ance for negative inventory margin is calculated by analyzing the average production cost of finished products as compared to their realizable value in the market, less costs to sell.

Theallowanceforrealizationofstoreroominventories,consideringobsoleteandslow-movingitems,isrecognizedona quarterly basis based on inventory management procedure of storeroom inventories duly approved by the Company.

Biosev S.A.

Notes to the Interim Financial Statements

For the Nine-month Period Ended December 31, 2020 (Amounts in thousands of Brazilian reais, unless otherw ise stated)

BIOLOGICAL ASSETS

Com pany

Cons olidate d

12.31.20

03.31.20

12.31.20

03.31.20

Opening balance

663,908 501,124
Increases arising from expenses on sugarcane crops and crop treatments
- 695,077 1,518,981
  1,412,868
- 303,621 405,015 708,636
  264,480 430,597

855,073 911,744

120,821 927,443

222,448

Gains on changes in fair value less estimated costs to sell Transfer to assets held for sale

(490,374) (1,169,750) (945,620)

Sugarcane harvest at fair value in the year/period Wr ite- of f

594,047 904 (612,414)

(13,682)

904 (13,682)

(1,821) (12,106)

1,275,757

663,908

- 691,173

(8,221) 303,621

The follow ing assumptions w ere used to determine the fair value:

Com pany

Cons olidate d

Estimated harvest area (in hectares)

Expected yields (in ton of sugarcane per hectare)

Total volume of recoverable sugar (in kilogram per ton of sugarcane)

Value of a kilogram of total recoverable sugar (in R$) - CONSECANA Discount rate

12.31.20	03.31.20	12.31.20	03.31.20
126,956	123,816	223,958	222,421
88.50	85.88	90.14	89.07
129.56	126.29	132.15	129.90
0.87	0.66	0.87	0.66
8.57%	10.21%	8.57%	10.21%

As at December 31, 2020, the Company provided as guarantee for the export prepayment 158,608 hectares (158,608 hectares as at March 31, 2020), equivalent to approximately 14,296,164 tons of sugarcane (14,127,348 as at March 31, 2020), at fair value of R$903,496 (R$473,432 as at March 31, 2020). Such prepayment falls due betw een March 2023 and April 2023.

RECOVERABLE TAXES

Com pany

Cons olidate d

prepayments

Tax on manufactured products (IPI) and other taxes

Current assets

Non-current assets

12.31.20	03.31.20	12.31.20	03.31.20
State VAT (ICMS)	53,746	39,859	79,466	60,952
Taxes on revenue (PIS and COFINS) (a)	3,409	16,166	55,468	75,050
Witholding Income Tax (IRRF) on short-term investments and
7,112	2,978	62,954	55,466
2,878	2,773	27,225	24,838
67,145	61,776	225,113	216,306
56,357	50,274	144,704	158,777
10,788	11,502	80,409	57,529

(a) Refers to taxes on revenues (PIS and COFINS) relating to: (i) Law 10637/02; (ii) Law 10833/03; (iii) Law 11774/200; and (iv) Law 13043/14.

Biosev S.A.

Notes to the Interim Financial Statements

For the Nine-month Period Ended December 31, 2020 (Amounts in thousands of Brazilian reais, unless otherw ise stated)

The changes in the Company's escrow deposits are as follow s:

Com pany

Cons olidate d

ESCROW DEPOSITS
12.31.20	03.31.20	12.31.20	03.31.20
Civil	2,244	3,500	4,007	7,365
Environmental	2,284	2,442	7,133	7,548
4,528	5,942	11,140	14,913
Tax
Tax on manufactured products (IPI)	-	-	18,799	18,673
Income tax (IRPJ) and social contribution (CSLL)	16,335	16,235	33,388	33,262
ICMS, PIS and COFINS	9,889	9,758	40,074	46,344
Social security contributions	21,633	21,738	27,353	27,419
Other	-	-	3,047	3,054
47,857	47,731	122,661	128,752
Tax
Labor appeals	77,975	138,493	151,155	241,748
77,975	138,493	151,155	241,748
130,360	192,166	284,956	385,413
Cons olidate d

Com pany


Opening balance
Additions
Of f sets/redemptions

10.	ASSETS AND LIABILITIES HELD FOR SALE

12.31.20	03.31.20	12.31.20	03.31.20
192,166	210,108	385,413	367,388
8,594	31,563	15,729	81,534
(70,400)	(49,505)	(116,186)	(63,509)
130,360	192,166	284,956	385,413

Com pany

Consolidated

12.31.20 26,674 26,674

03.31.20 45,165 45,165

12.31.20

03.31.20

Assets held for sale

26,674 45,165

26,674 45,165

The breakdow n of assets and liabilities classified as held for sale is as follow s:

MaracajuNoteplant

12.31.20

03.31.20

14 (74,735)Com pany Assets Biological assets Fixed assets Impairment losses Total assets
7 14
- 101,409
- 101,408 (74,734)
904 119,114 (74,853)
26,674

26,674

45,165

Biosev S.A.

Notes to the Interim Financial Statements

For the Nine-month Period Ended December 31, 2020 (Amounts in thousands of Brazilian reais, unless otherw ise stated)

11. CURRENT AND DEFERRED INCOME TAX AND SOCIAL CONTRIBUTION

11.1 Deferred income tax and social contribution assets and liabilities disclosed in balance sheet

Com pany

Cons olidate d

12.31.20	03.31.20	12.31.20	03.31.20
Deferred income tax and social contribution assets	78,609	418,029	389,423	872,971
Deferred income tax and social contribution liabilities	-	-	(35,384)	(36,883)
78,609	418,029	354,039	836,088

11.2

Income tax and social contribution recognized in profit or loss for the period

Com panyThree-month period endedNine-month period ended

12.31.20

12.31.19

Results from current income tax and social contribution

Results from deferred income tax and social contribution related to the origin and reversal of temporary differences and tax loss carryforw ards

12.31.20
-	-	6,541	-
(147,863)	(73,935)	(251,354)	(95,600)
(147,863)	(73,935)	(244,813)	(95,600)

Cons olidate dThree-month period endedNine-month period ended

12.31.20

12.31.19

12.31.20

12.31.19

Results from current income tax and social contribution

1,581

602

5,421

583

Results from deferred income tax and social contribution related to the origin and reversal of temporary differences and tax loss carryforw ards

(327,735) (96,225) (439,917) (20,291)

(326,154) (95,623) (434,496) (19,708)

11.3 Income tax and social contribution recognized in other comprehensive income (loss)

Com panyThree-month period endedNine-month period ended

12.31.20	12.31.19	12.31.20	12.31.19
Results from deferred income tax and social contribution recognized in other
comprehensive income (loss):
Financial instruments - hedge accounting of futures	11,660	16,416	33,816	14,709
Financial instruments - hedge accounting of Non-Deliverable Forw ard (NDF)	(14,035)	(4,544)	(121,883)	(2,309)
Financial instruments - hedge accounting of exchange differences	-	(11,141)	-	(23,054)
(2,375)	731	(88,067)	(10,654)
Effects on subsidiaries	(22,984)	(5,328)	45,934	(74,867)
(25,359)	(4,597)	(42,133)	(85,521)

Biosev S.A.

Notes to the Interim Financial Statements

For the Nine-month Period Ended December 31, 2020 (Amounts in thousands of Brazilian reais, unless otherw ise stated)

Cons olidate dThree-month period endedNine-month period ended

12.31.20	12.31.19	12.31.20	12.31.19
Results from deferred income tax and social contribution recognized in other
comprehensive income (loss):
Financial instruments - hedge accounting of futures	30,360	24,521	86,334	13,370
Financial instruments - hedge accounting of Sw ap Libor	(1,332)	(835)	(1,823)	1,765
Financial instruments - hedge accounting of Non-Deliverable Forw ard (NDF)	(54,387)	(17,143)	(99,725)	(10,147)
Financial instruments - hedge accounting of exchange differences	-	(11,140)	(26,919)	(90,509)
(25,359)	(4,597)	(42,133)	(85,521)

11.4 Reconciliation of income tax and social contribution expenses at statutory and effective rates

Com panyThree-month period endedNine-month period ended

Results before taxation Statutory rate

Income (loss) from income tax and social contribution at statutory rate Equity in subsidiaries

Unrecognized deferred income tax and social contribution credits Tax revenue (grants)

Accrued income (foreign subsidiary) Subcapitalization rules

Loss from income tax and social contribution at effective rate

Othere

12.31.20	12.31.19	12.31.20	12.31.19
459,477	76,892	698,811	(374,517)
34%	34%	34%	34%
(156,222)	(26,143)	(237,595)	127,336
49,684	(3,713)	123,863	(134,029)
(17,302)	(31,467)	(100,658)	(82,061)
7,708	4,990	20,571	25,058
(27,930)	(7,508)	(27,930)	(7,508)
(6,973)	(6,298)	(22,326)	(18,108)
3,172	(3,796)	(737)	(6,288)
(147,863)	(73,935)	(244,812)	(95,600)

Cons olidate dThree-month period endedNine-month period ended

12.31.20

12.31.19

12.31.20

12.31.19

Results before taxation Statutory rate

637,771 34%

98,480 34%

888,396 34%

(450,664)

34%

(216,842)

(33,483)

(302,054) 153,226

Income (loss) from income tax and social contribution at statutory rate Equity in subsidiaries

(957)

(1,160)

(2,286) (3,418)

(60,964)

(41,923)

(73,443) (145,899)

Unrecognized deferred income tax and social contribution credits Tax revenue (grants)

7,708

4,990

20,571 25,058

(10,979)

101

(945) 5,805

(11,361)

(11,846)

(38,077) (39,801)

Difference rate - foreign subsidiary Accrued income (foreign subsidiary) Subcapitalization rules

(27,930)

(7,508)

(27,930) (7,508)

Other

(4,829)

(4,794)

(10,332) (7,171)

Loss from income tax and social contribution at effective rate

(326,154)

(95,623)

(434,496) (19,708)

Biosev S.A.

Notes to the Interim Financial Statements

For the Nine-month Period Ended December 31, 2020 (Amounts in thousands of Brazilian reais, unless otherw ise stated)

11.5 Balances of deferred income tax and social contribution assets and liabilities

Ope ning	in profit or	Clos ing
balance as at	loss for the	balance as at
Com pany	03.31.20	period	12.31.20
Temporary differences:
Provision for tax, labor, civil and environmental contingencies	37,028	(398)	-	36,630
Adjustment at fair value of biological assets	(16,585)	(152,576)	-	(169,161)
Other receivables (AVP)	14,162	(3,284)	-	10,878
Hedge accounting of Libor sw ap, NDF and exchange rate changes	63,527	74,677	(88,067)	50,137
Unrealized exchange rate changes	412,077	(57,989)	-	354,088
Amortization of tax goodw ill	(245,277)	-	-	(245,277)
Accelerated depreciation	(39,048)	(21,566)	-	(60,614)
Impairment of fixed assets	65,310	(1,237)	-	64,073
Mark-to-market of derivatives	2,363	(94,096)	-	(91,733)
Impairment of assets held for sales	10,859	6,028	-	16,887
Other	11,661	(912)	-	10,749
316,077	(251,353)	(88,067)	(23,343)
Unutilized tax losses and credits
Tax loss carryforw ards	74,616	-	-	74,616
Social contribution tax loss carryforw ards	27,336	-	-	27,336
418,029	(251,353)	(88,067)	78,609
Re cognize d	Recognized in
Ope ning	in profit or	other	Clos ing
balance as at	loss for the	com pr e he ns ive	balance as at
Com pany	03.31.19	period	income (loss)	12.31.19
Temporary differences:
Provision for tax, labor, civil and environmental contingencies	47,227	(10,083)	37,144
Adjustment at fair value of biological assets	(15,389)	(24,355)	(39,744)
Other receivables (AVP)	1,795	17,136	18,931
Hedge accounting of Libor sw ap, NDF and exchange rate changes	7,817	(9,176)	(12,013)
Unrealized exchange rate changes	209,867	(653)	209,214
Amortization of tax goodw ill	(245,277)	-	(245,277)
Accelerated depreciation	(25,179)	(10,040)	(35,219)
Impairment	65,746	(266)	65,480
Mark-to-market of derivatives	(16,095)	(39,883)	(55,978)
Impairment of assets held for sales	18,003	(18,003)	-
Other	26,074	(277)	25,797
74,589	(95,600)	(31,665)
Unutilized tax losses and credits
Tax loss carryforw ards	74,616	-	74,616
Social contribution tax loss carryforw ards	27,336	-	27,336
176,541	(95,600)	70,287
19

- - - (10,654)

- - - - - - - (10,654)

- - (10,654)

Biosev S.A.

Notes to the Interim Financial Statements

For the Nine-month Period Ended December 31, 2020 (Amounts in thousands of Brazilian reais, unless otherw ise stated)

Re cognize d
in profit or	Clos ing
loss for the	balance as at
Cons olidate d	03.31.20	period	12.31.20
Temporary differences:
Provision for tax, labor, civil and environmental contingencies	100,468	(1,272)	-	99,196
Adjustment at fair value of biological assets	(71,630)	(245,616)	-	(317,246)
Other receivables (AVP)	14,162	(3,284)	-	10,878
Hedge accounting of Libor sw ap, NDF and exchange rate changes	159,955	-	(42,133)	117,822
Unrealized exchange rate changes	827,139	(124,331)	-	702,808
Amortization of tax goodw ill	(245,277)	-	-	(245,277)
Accelerated depreciation	(39,048)	(54,075)	-	(93,123)
Mark-to-market of derivatives	(10,244)	(19,335)	-	(29,579)
Impairment of property, plant and equipment	76,443	(1,258)	-	75,185
Appreciation of acquired assets	(231,020)	18,822	-	(212,198)
Impairment of fixed assets	906	(906)	-	-
Fair value of financial debts	1,161	(1,161)	-	-
Leases	35,367	16,116	-	51,483
Other	60,563	(27,148)	-	33,415
678,945	(443,448)	(42,133)	193,364
Unutilized tax losses and credits
Tax loss carryforw ards	115,532	2,597	-	118,129
Social contribution tax loss carryforw ards	41,611	935	-	42,546
836,088	(439,916)	(42,133)	354,039
Re cognize d
Ope ning	in profit or	Recognizd in other	Clos ing
balance as at	loss for the	com pr e he ns ive	balance as at
Cons olidate d	03.31.19	period	income (loss)	12.31.19
Temporary differences:
Provision for tax, labor, civil and environmental contingencies	97,941	(257)	97,684
Adjustment at fair value of biological assets	(32,728)	(68,505)	(101,233)
Other receivables (AVP)	1,795	17,913	19,708
Hedge accounting of Libor sw ap, NDF and exchange rate changes	165,790	-	80,269
Unrealized exchange rate changes	439,388	(19,168)	420,220
Amortization of tax goodw ill	(245,277)	-	(245,277)
Accelerated depreciation	(25,179)	(10,040)	(35,219)
Mark-to-market of derivatives	(82,228)	25,395	(56,833)
Impairment of property, plant and equipment	77,177	(541)	76,636
Appreciation of acquired assets	(253,050)	16,256	(236,794)
Impairment of fixed assets	18,896	(17,990)	906
Fair value of financial debts	1,161	-	1,161
Other	50,545	36,646	87,191
214,231	(20,291)	108,419
Unutilized tax losses and credits
Tax loss carryforw ards	109,760	-	109,760
Social contribution tax loss carryforw ards	40,819	-	40,819
364,810	(20,291)	258,998

- - (85,521)

- - - (85,521)

- - - - - - - - - (85,521)

As at December 31, 2020, the Company has tax loss carryforwards in the amount of R$3,411,588, in Company, and R$6,585,822 in Consolidated (R$3,115,535 and R$6,369,813 as at March 31, 2020, respectively) for w hich no deferred income tax and social contribution assets have been recognized.

Biosev S.A.

Notes to the Interim Financial Statements

For the Nine-month Period Ended December 31, 2020 (Amounts in thousands of Brazilian reais, unless otherw ise stated)

12. LEASES

12.1 Asset use right in leases

This line item includes the amounts that correspond to the right to use the current agreements; the amount is equivalent to thepresentvalueoftheobligationsassumedwiththecounterparties.Theseagreementsarepayableontherespective maturity dates (betw een 1 and 13 years).

The changes for the period are broken dow n as follow s:

Com pany

AgriculturalEquipm e nt

Land

BuildingsV e hicle spartnershipsTotal

03.31.20

440,009 700,306

Additions/adjustments Derecognition Amortization

12.31.20

549,299

786,610

121,329 20,569 (3,816) (42,279) 95,803

134,947 24,753 - (21,813) 137,887

1,533 - - (767) 766

2,488 3,817 (1,899) (1,551) 2,855

199,926 249,065

- (5,715)

(90,636) (157,046)Com panyEquipm e nt

Land

BuildingsV e hicle sAgricultural partnershipsTotal

03.31.19

143,509 249,375

Initial adoption on April 1, 2019 Additions/adjustments Derecognition Amortization

142,669 55,367 (19,991) (56,716) 121,329

112,768 50,499 - (28,320) 134,947

2,554 - - (1,021)

4,845 - - (2,357)

393,697 656,533

- (19,991)

(97,197) (185,611)

03.31.20

1,533

2,488

440,009

700,306

Cons olidate dEquipm e nt

Land

BuildingsV e hicle sAgricultural partnershipsTotal

03.31.20

Additions/adjustments Derecognition Amortization

254,249 57,309 (7,593)

137,257 27,366 - (23,510) 141,113

1,533 - - (767) 766

5,174 8,028 (3,991) (3,113) 6,098

1,179,166 698,693

1,577,379 791,396

- (11,584)

(90,412) 213,553

(255,545) (373,347)

12.31.20

1,622,314

1,983,844

Cons olidate dEquipm e nt

Land

BuildingsV e hicle sAgricultural partnershipsTotal

03.31.19

(314,849) (477,197)

Initial adoption on April 1, 2019 Additions/adjustments Derecognition Amortization

03.31.20

296,896 118,960 (34,675) (126,932)

254,249

115,195 51,556 - (29,494) 137,257

2,554 - - (1,021)

10,075 - - (4,901)

1,068,666 425,349

1,493,386 595,865

- (34,675)

1,533

5,174

1,179,166

1,577,379

Biosev S.A.

Notes to the Interim Financial Statements

For the Nine-month Period Ended December 31, 2020 (Amounts in thousands of Brazilian reais, unless otherw ise stated)

12.2 Lease liabilities

Lease liabilities refer to future payments stated to present value at the discount rate, subject to possible effects from recoverable taxes (PIS and COFINS).

The incremental interest rate of the lease liability varies betw een 5.10% and 11.25% per year.

The changes for the period are broken dow n as follow s:

Com pany

Cons olidate d

Present value of liability

Clas s ification:

Current Non-current

Total

12.31.20	03.31.20	12.31.20	03.31.20
836,278	732,114	2,135,265	1,681,269
836,278	732,114	2,135,265	1,681,269
207,270	215,257	561,217	498,932
629,008	516,857	1,574,048	1,182,337
836,278	732,114	2,135,265	1,681,269

Com pany

Cons olidate d

13. INVESTMENTS (PROVISION FOR INVESTMENT
12.31.20	12.31.20	03.31.20
Investments in subsidiaries and jointly-controlled subsidiaries	1,251,459	1,237,960	152,044	157,891
Other investments	2,502	2,502	2,503	2,502
Inve s tm e nts	1,253,961	1,240,462	154,547	160,393
Provision for investment loss	(947,760)	(1,251,234)	-	-
22

12.31.20	03.31.20	12.31.20	03.31.20
732,114	656,533	1,681,269	1,493,386
197,274	249,605	792,379	596,011
-	(4,065)	-	(6,065)
(123,924)	(221,208)	(436,432)	(521,309)
30,814	51,249	98,049	119,246
836,278	732,114	2,135,265	1,681,269
Cons olidate d

Com pany 03.31.20

Opening balance A dditions Derecognition Payments Financial charges

Closing balance

The future payments are broken dow n as follow s:

Com pany

Cons olidate d

12.31.20

03.31.20

12.31.20

03.31.20

207,270

215,257

561,217 498,932
129,873
109,793
338,263 260,574
118,862
86,462
267,565 193,298
Up to 1 year Up to 2 years Up to 3 years Up to 4 years Up to 5 years Above 5 years
165,501
111,148
2,135,265
1,681,269
103,624 836,278
161,243
87,311
72,048 732,114

416,773 365,273
282,806 210,009
268,641 153,183

LOSS)

Biosev S.A.

Notes to the Interim Financial Statements

For the Nine-month Period Ended December 31, 2020 (Amounts in thousands of Brazilian reais, unless otherw ise stated)

a) Interest in subsidiaries and jointly-controlled entities

Cons olidate d
Bios e v
Biosev	Bioe ne r gia
Bioenergia S.A.	International S.A.	TEAG
Capital	2,985,044	175	14,365	44,701
Profit (loss) for the period	391,792	(10,016)	(17,467)	(849)
Equity	(946,644)	315,981	30,033	39,517
Elimination of gains on the sale of property, plant and equipment w ith related parties	(1,111)	-	-	-
Shareholding interest	100%	100%	100%	50%
Value of investments in subsidiaries under equity method	(947,755)	315,981	30,033	19,759
Goodw ill/realization of concession value, net	494,079	-	-	132,285
Elimination of gains on the sale of property, plant and equipment w ith related parties	(5)	-	-	-
Inve s tm e nts	(453,681)	315,981	30,033	152,044
Provision for investment loss	(947,760)	-	-	-
Equity pick up in subsidiaries	391,787	(10,016)	(17,467)	(425)

Com pany

Biosev Com ercializadora

S.A.

b) Changes in investments in subsidiaries, jointly-controlled entities and non-controlled entities

Com pany

Goodw illBios e v ComercializadoraTavares de

S.A.

Melo (*)Ampla (*)

Bios e v
Biosev	Bioe ne r gia
Bioenergia S.A.	International S.A.	Othe r	12.31.20	03.31.20
Opening balance	(1,251,233)	326,014	6,500	-	-	2,502	(916,217)	(85,938)
Capital increase	-	-	41,000	-	-	-	41,000	4,000
Equity pick up in subsidiaries	391,787	(10,016)	(17,467)	-	-	-	364,304	(1,109,447)
Other comprehensive income (loss)	(88,314)	(17)	-	-	-	(88,331)	274,249
Other	-	-	-	-	-	-	-	920
Value of investments in subsidiaries under equity method	(947,760)	315,981	30,033	-	-	2,502	(599,244)	(916,216)
Goodw ill	494,079	-	-	407,675	3,691	-	905,445	905,446
Value of investments	494,079	315,981	30,033	407,675	3,691	2,502	1,253,961	1,240,462
Provision for investment loss	(947,760)	-	-	-	-	-	(947,760)	(1,251,233)
(*) Companies merged in prior years.
TEAG
23

Cons olidate dOthe r

12.31.20

03.31.20

Opening balance

157,890

160,393

Equity pick up in subsidiaries

Loss

Realization of concession value, net

Other

Value of investments

878 152,044

(6,724)

2,503 - - - - 2,503

(425)

169,913

(6,724)

(425)

(6,299)

(8,952)

(553)

(6,299)

878

(8,399)

(568)

154,547

160,393

Biosev S.A.

Notes to the Interim Financial Statements

For the Nine-month Period Ended December 31, 2020 (Amounts in thousands of Brazilian reais, unless otherw ise stated)

c) Investments in direct subsidiaries

• Biosev Comercializadora S.A. ("Biosev Comercializadora") - Direct subsidiary

On September 30, 2020, Biosev Comercializadora S.A. entered into the Private Agreement for Future Capital Increase, on an irrevocable and unconditional basis, w ith parent company Biosev S.A., in the amount of R$41,000, w hich w ill be fully convertible into the Company's registered common shares, w ithout par value.

d) Investments in jointly-controlled entities

The balances of the balance sheet and statement of operations of the company are broken dow n as follow s:

TEAG

12.31.20

03.31.20

Balance sheet Assets

Total current assets

39,374 47,820

Long-term receivables

3,534 3,032

Property, plant and equipment and intangible assets

126,339 124,014

Total non-current assets

129,873 127,046

Total assets

169,247

174,866

L iab ilit ie s

Total current liabilities

17,520 18,286

Total non-current liabilities Equity

112,210 117,970

Total equity

39,517 38,610

Total liabilities and equity

169,247

174,866

TEAG

12.31.20

03.31.20

Statement of operations Net revenue

50,204

52,971

Operating expenses

General, administrative and selling expenses

(45,586) (51,652)

Other operating income

(1,465) 4,541

Operating income (loss) before finance income (costs)

3,153 5,860

Finance income (costs), net

(4,473) (7,529)

Loss before taxation

(1,320) (1,669)

Income tax and social contribution Loss for the period

471 (849)

563 (1,106)

Biosev S.A.

Notes to the Interim Financial Statements

For the Nine-month Period Ended December 31, 2020 (Amounts in thousands of Brazilian reais, unless otherw ise stated)

14. PROPERTY, PLANT AND EQUIPMENT

Com pany

12.31.20
Accum ulate d
Cos t	de pr e ciation
Land	15,095	-
Buildings	261,196	(95,920)
Improvements	25,623	(14,129)
Facilities	358,086	(217,463)
Furniture and fixtures	12,397	(8,594)
IT equipment	31,287	(29,257)
Machinery and equipment (*)	2,326,957	(1,537,951)
Vehicles	8,222	(6,565)
Agricultural machinery and implements (**)	961,109	(863,733)
Bearer plant	1,727,704	(1,461,734)
5,727,676	(4,235,346)
Construction in progress (Note 14.1)	16,826	-
5,744,502	(4,235,346)
12.31.20
Accum ulate d
Cos t	de pr e ciation	Net	Cos t
Land	20,702	-	20,702	21,084
Buildings	479,283	(197,458)	281,825	475,559
Improvements	128,627	(62,958)	65,669	128,777
Facilities	560,585	(338,427)	222,158	545,312
Furniture and fixtures	21,331	(15,076)	6,255	20,731
IT equipment	62,163	(55,222)	6,941	60,607
Machinery and equipment (*)	5,753,067	(4,003,342)	1,749,725	5,595,046
Vehicles	29,558	(29,413)	145	35,459
Agricultural machinery and inputs (**)	1,747,559	(1,555,507)	192,052	1,734,333
Bearer plant	3,136,884	(2,596,187)	540,697	2,966,966
11,939,759	(8,853,590)	3,086,169	11,583,874
Construction in progress (Note 14.1)	55,996	-	55,996	72,993
11,995,755	(8,853,590)	3,142,165	11,656,867
(*) Includes deferred manufacturing costs.
(**) Includes deferred agricultural costs.

Net

15,095

165,276

11,494

140,623

3,803

2,030

789,006

1,657

97,376

265,970 1,492,330 16,826 1,509,156

03.31.20
Accum ulate d
de pr e ciation	Net
15,095	-	15,095
259,775	(92,431)	167,344
25,587	(13,501)	12,086
351,848	(208,192)	143,656
12,186	(8,193)	3,993
30,927	(28,672)	2,255
2,246,767	(1,388,282)	858,485
10,615	(8,567)	2,048
960,728	(805,016)	155,712
1,627,300	(1,366,804)	260,496
5,540,828	(3,919,658)	1,621,170
14,263	-	14,263
5,555,091	(3,919,658)	1,635,433
03.31.20
Accum ulate d
de pr e ciation	Net
-	21,084
(184,730)	290,829
(60,118)	68,659
(320,850)	224,462
(14,443)	6,288
(53,128)	7,479
(3,657,614)	1,937,432
(34,121)	1,338
(1,426,694)	307,639
(2,427,778)	539,188
(8,179,476)	3,404,398
-	72,993
(8,179,476)	3,477,391
25

Cos t

Biosev S.A.

Notes to the Interim Financial Statements

For the Nine-month Period Ended December 31, 2020 (Amounts in thousands of Brazilian reais, unless otherw ise stated)

The changes in the net value of property, plant and equipment are as follow s:

Com pany

Cons olidate d

12.31.20	03.31.20	12.31.20	03.31.20
Opening balance	1,635,433	1,697,433	3,477,391	3,641,525
Acquisitions and additions	225,586	378,970	435,769	793,991
Residual value of w rite-offs	(8,832)	(53,726)	(13,686)	(58,913)
Transfer to assets held for sale	17,706	19,312	17,706	22,818
Reversal of allow ance for impairment losses (*)	3,377	706	(1,024)	522
Depreciation for the period/year	(364,114)	(407,262)	(773,991)	(922,552)
1,509,156	1,635,433	3,142,165	3,477,391
(*) See Note 14.3.
14.1 Construction in progress

Construction in progress is broken dow n by plant as follow s:

Com pany

Cons olidate d

Plant	12.31.20	03.31.20	12.31.20	03.31.20
Leme	3,878	7,959	3,878	7,959
Passatempo	5,402	2,497	5,402	2,497
Lagoa da Prata	3,699	2,294	3,699	2,294
Rio Brilhante	3,843	1,513	3,844	1,513
Santa Elisa	-	-	16,679	16,295
Vale do Rosário	-	-	11,027	18,635
MB	-	-	6,344	7,647
Continental	-	-	5,119	16,153
Corporativo	4	-	4	-
16,826	14,263	55,996	72,993

The balance of construction in progress refers basically to the adaptation of industrial facilities, increase in sugar production and refurbishment of administrative facilities.

14.2 Fixed assets given in guarantee and commitments for acquisition of fixed assets

As at December 31, 2020, the Company had agreements with suppliers for acquisition of fixed assets, amounting to R$136,067 (R$21,607 as at March 31, 2020), and total fixed assets given in guarantee in the amount of R$1,064,124 (R$809,362 as at March 31, 2020).

14.3 Impairment

As at December 31, 2020, the reversal/impairment totaled R$3,377, in Company, and (R$1,024) in Consolidated (R$706, in Company, and R$522, in Consolidated, as at March 31, 2020), due the sales and/or transfers of fixed assets betw een industrial clusters of the Group.

As at December 31, 2020, the accumulated balance of impairment is R$58,115, in Company, and R$191,985 in Consolidated (R$61,492 and R$190,961 as at March 31, 2020, respectively).

The main impaired assets comprise land, buildings, furniture and fixtures, computers, machinery and equipment, vehicles, and agricultural machinery and implements.

Biosev S.A.

Notes to the Interim Financial Statements

For the Nine-month Period Ended December 31, 2020 (Amounts in thousands of Brazilian reais, unless otherw ise stated)

15.

INTANGIBLE ASSETS

Com pany

Cons olidate d

12.31.20	03.31.20
Goodw ill
Biosev Bioenergia	-	-	494,079	494,079
Usinas Tavares de Melo	-	-	407,675	407,675
A mpla	-	-	3,691	3,691
-	-	905,445	905,445
Softw are
Licences	7,998	11,856	9,189	12,997
7,998	11,856	9,189	12,997
Other	-	-	2,826	3,522
-	-	2,826	3,522
7,998	11,856	917,460	921,964
Com pany

03.31.20

12.31.20

03.31.20

The changes in intangible assets are as follow s:

AdditionsSoftw are Licences

11,856 11,856

483 483

Write-off

(264)

(264)Am ortization

(4,218)

(4,218)Reversal impairment

141 7,998

Com pany

03.31.19

Softw are LicencesAdditions

(5,090) 12,865

Goodw ill

Biosev Bioenergia

9,126 9,126

8,829 8,829

Am ortization

12.31.19

(5,090) 12,865

Cons olidate d

12.31.20

141

7,998

03.31.20

AdditionsWrite-offAm ortizationReversal impairment

12.31.20

Usinas Tavares de Melo

A mpla

494,079 407,675

- -- -- -- 494,079 - 407,675

3,691 - - - - 3,691

Softw are

Licences Othe r Other

12,997

3,522 921,964

929

- 929

(374)

- (374)

(4,614)

(696)

(5,310)

251 9,189

- 2,826 251 917,460

Biosev S.A.

Notes to the Interim Financial Statements

For the Nine-month Period Ended December 31, 2020 (Amounts in thousands of Brazilian reais, unless otherw ise stated)

Cons olidate d

03.31.19	Additions	Am ortization	12.31.19
Biosev Bioenergia	494,079	-	-	494,079
Usinas Tavares de Melo	407,675	-	-	407,675
A mpla	3,691	-	-	3,691
Softw are
Licences	9,726	9,836	(5,893)	13,669
Othe r
Other	4,489	-	(526)	3,963
919,660	9,836	(6,419)	923,077

Goodw ill

16.

BORROWINGS AND FINANCING

De s cr iption

CurrencyWeighted average financial charges

Com panyMaturity (*)

Collaterals

12.31.20

03.31.20

Advance on Foreign Exchange Contract (ACC) (a)US$

Exchange rate change plus average interest rate of 5.37% p.a.

As at 03.31.23

Guarantee and promissory note

1,681,902

1,625,953

Export Prepayment - PPE (a)

US$

Exchange rate change plus Libor plus average interest rate of 4% p.a.

As at 03.25.23

Promissory note, receivables and collateral
687,669 680,727
Constitutional Fund to Finance the the Midw est - FCO
R$
Interest of 10% p.a.
Average interest rate of 9.38% p.a. From 04.17.23
Finame
R$
and TLP + 4.92% p.a.
to 04.15.25
guarantee and promissory 30,374 38,370 note
Export Credit Note and Bill - NCE
R$
CDI plus average interest rate of 2%
As at 12.01.23

Guarantee, conditional sale and receivables Conditional sale,
As at 04.29.22
Guarantee, promissory note and collateral
41,505 51,868
181,108 181,212
Exchange rate change plus Libor
Mortgage, credit rightsOffshore Loan (a)
US$
plus average interest rate of 5.75% As at 10.15.27 p.a.
244,099 285,479
and collateralBank Credit Note - CCB
CDI plus average interest rate of
R$
2%As at 03.30.23
Collection and assignment of receivables
147,986 139,434

3,014,643 3,003,043

(*) Refers to the last maturity date of the agreements.

Current liabilities Non-current liabilities

1,318,124 2,935,559

1,696,519

67,484

Biosev S.A.

Notes to the Interim Financial Statements

For the Nine-month Period Ended December 31, 2020 (Amounts in thousands of Brazilian reais, unless otherw ise stated)

Cons olidate dDe s cr iption

CurrencyWeighted average financial charges

Maturity (*)

Collaterals

12.31.20

03.31.20

Restructured debt (ex-Debentures) - R$

CDI plus 1.72% p.a.

As at 07.10.24

Guarantee, receivables, mortgage and shares

68,994

99,771

Exchange rate change plus Libor

Restructured debt - US$

US$

plus average interest rate of 2.47% As at 07.10.23 p.a.

Guarantee, receivables, mortgage and shares

510,533

741,176

Restructured debt (debenture) - R$ (a)

CDI plus 1.72% p.a.

As at 07.10.24

Guarantee, receivables, mortgage and shares

104,040

140,590

Advance on Foreign Exchange Contract - ACC (a)US$

Exchange rate change plus average interest rate of 5.40% p.a.

As at 03.31.23

Guarantee and promissory note

3,527,147 3,642,512

Exchange rate change plus Libor

From

Export Prepayment - PPE (a)/(b)

US$

plus average interest rate of 5.64% 03.25.2023 toGuarantee, promissory note,receivables and collateral 2,007,966 1,962,581

p.a.

04.30.23

Constitutional Fund to Finance the Midw est - FCO

Interest of 10% p.a.

As at 12.01.23 Guarantee, conditional sale and receivables 41,505 51,868
Average interest rate of 9.55% p.a. From 04.15.21
Finame
R$

Conditional sale, guarantee and promissory note 65,966 76,802
and TLP + 4.92% p.a.
to 04.15.25
Export Credit Note and Bill - NCE
R$
CDI plus average interest rate of 2.% p.a.
As at 04.29.22
Guarantee, promissory note and collateral 181,108 181,212
Exchange rate change plus Libor
Offshore Loan (a)
US$
plus average interest rate of 5.75% As at 10.15.27 p.a.
Mortgage, credit rights and collateral 244,099 285,479
CDI plus average interest rate of
Bank Credit Note - CCB
R$
As at 03.30.23
Collection and assignment of receivables
2% p.a. 163,202 139,434

6,914,560

7,321,425

Current liabilitiesNon-current liabilities

3,058,308 3,856,252

7,225,234 96,191

(*) Refers to the last maturity date of the agreements.

(a) Net of commission costs and deferred expenses, in the amount of R$2,531, in Company, and R$7,517, in Consolidated, as at December 31, 2020 (R$2,755, in Company, and R$8,843, in Consolidated, as at March 31, 2020), monthly recorded in profit or loss through the maturity of such transaction.
(b) Include export prepayments, contracted on January 9, 2015, by subsidiary Biosev Bioenergia International S.A. withthe trade union of foreign financial institutions, in the amount of R$1,148,393 as at December 31, 2020 (R$1,150,301 as at March 31, 2020). These operations are collateralized by a set of assets for settlement. As at December 31, 2020, the foreign currency-denominated deposits comprise, together w ith the agricultural production (sugarcane) of specific units and sugar and ethanol inventories, the ratio of 142.70% of the obligations.

Non-current liabilities mature as follow s (crop year):

Com pany	Cons olidate d
12.31.20	12.31.20
January 2022 to March 2022	100,171	309,008
April 2022 to March 2023	1,399,112	3,026,750
April 2023 to March 2024	51,200	361,988
April 2024 to March 2025	40,128	48,620
April 2025 to October 2027	105,908	109,886
1,696,519	3,856,252

The verification of compliance w ith the restrictive covenants occurs annually, at the close of Company's year. As at March 31,2020,theCompanyhasnotachievedsomefinancialcovenants.However,theCompanyobtainedthecreditors'waiver, that is, the Company is not obligated to comply w ith the financial covenants not performed on the balance sheet date and, therefore, the original maturity dates have been maintained.

Biosev S.A.

Notes to the Interim Financial Statements

For the Nine-month Period Ended December 31, 2020 (Amounts in thousands of Brazilian reais, unless otherw ise stated)

16.1 Changes in borrowings and financing

Com pany

Cons olidate d

17.

18.

Related parties (Note 20)

667,634 804,868

12.31.20	03.31.20	12.31.20	03.31.20
Opening balance	3,003,043	2,508,176	7,321,425	5,979,328
A dditions	655,622	1,840,335	1,233,828	4,459,444
Payment of principal	(686,058)	(1,961,531)	(1,705,482)	(4,733,209)
Interest, exchange rate changes and inflation
136,838	825,313	293,591	2,080,661
adjustments and adjustment to fair value of loans, net
Payment of interest	(94,802)	(209,250)	(228,802)	(464,799)
Closing balance	3,014,643	3,003,043	6,914,560	7,321,425
Cons olidate d
Cons olidate d

Com pany

TRADE PAYABLES

In Brazil

Abroad

Third parties

In Brazil Abroad

Current liabilities Non-current liabilities

TAXES PAYABLE

12.31.20

03.31.20

12.31.20

03.31.20

8,975 62,043 71,018

6,068 89,808 95,876

8,181 8,001 5,680 4,494 13,861 12,495

218,256 2,655 220,911 291,929 287,643 4,286

215,843 664,037 662,534 3,118 (10,264) 129,839 218,961 653,773 792,373

314,837 309,104 5,733

663,105 798,903 4,529 5,965

Com pany

03.31.20	12.31.20	03.31.20
Payment in installments	-	125	2,026	2,137
Tax on Manufactured Products (IPI)	-	-	598	1,027
State VAT (ICMS)	1,683	6,916	1,683	8,152
Taxes on revenue (PIS and COFINS)	2,074	314	7,598	4,979
Social Security Tax (INSS)	4,007	3,867	7,393	11,083
Income tax (IRPJ) and social contribution (CSLL)	299	3,378	31,873	40,299
Withholding Income Tax (IRPF)	12,660	12,660	12,660	12,660
Other	11,492	12,555	11,493	13,316
32,215	39,815	75,324	93,653
Current liabilities	13,891	21,314	57,000	75,152
Non-current liabilities	18,324	18,501	18,324	18,501
30

12.31.20

Biosev S.A.

Notes to the Interim Financial Statements

For the Nine-month Period Ended December 31, 2020 (Amounts in thousands of Brazilian reais, unless otherw ise stated)

19.

PROVISION FOR TAX, LABOR, CIVILAND ENVIRONMENTAL CONTINGENCIES

The Company is a party to various ongoing law suits involving tax, labor, civil and environmental matters arising in the norma l course of business.

Tax

Income tax (IRPJ) and social contribution (CSLL)

Com pany

Re cognition

(reversal) of

Labor Environmental Civil

Criminal

Tax

Income tax (IRPJ) and social contribution (CSLL)


03.31.20
79
79
84,919
1,696
20,782
605
108,002
108,081

inflation	Inflation
adjus tm e nts	adjus tm e nts	Additions
-	-	-
-	-	-
(5,701)	14,693	(10,616)
(646)	1,018	(263)
(228)	1,062	(301)
(132)	-	(495)
(6,707)	16,773	(11,675)
(6,707)	16,773	(11,675)
Com pany

Wr itte n-off r e ve r s alsWr itte n-off paym e nts

12.31.20

7,758 680 2,944 22 11,404 11,404

03.31.19

Re cognition (reversal) of inflation adjus tm e nts

Additions

-	79
-	79
(10,964)	80,089
-	2,485
-	24,259
-	-
(10,964)	106,833
(10,964)	106,912
Wr itte n-off	Wr itte n-off
reversals	paym e nts	12.31.19

76 76

2 2

- -- -- -

Labor Environmental Civil

128,197 1,468 8,338 - 138,003 138,079

(6,165)

32,771 3 9,510 202 42,486 42,486

(66,896)

257 5,021 99 (788) (786)

(3,826)

84,081

(73) (560)

- - -

1,655

22,309

Criminal

- (67,529) (67,529)

108,346
108,424
12.31.20
-	-	17,856
-	-	3,406
-	-	2,853
-	-	16
-	-	24,131
(16,322)	(51,102)	219,771
(406)	-	14,767
(1,691)	-	32,258
(495)	-	-
(18,914)	(51,102)	266,796
(18,914)	(51,102)	290,927
31

301

(3,826) (3,826)

Labor Environmental Civil

227,868 11,354 30,782 605 270,609 294,668

21,276 2,751 4,023 22 28,072 28,144

(18,322) 56,373

(997) 2,065

(2,346) 1,490

Criminal

(21,797) (21,797)

(132)

- 59,928 59,928

Biosev S.A.

Notes to the Interim Financial Statements

For the Nine-month Period Ended December 31, 2020 (Amounts in thousands of Brazilian reais, unless otherw ise stated)

Cons olidate d

03.31.19	adjus tm e nts	12.31.19
Tax
IPI levied on sugar sales
17,584	162	-	-	-	17,746
PIS and COFINS	3,406	-	-	-	-	3,406
Income tax (IRPJ) and social contribution (CSLL)	2,850	2	-	-	-	2,852
Other	16	-	-	-	-	16
23,856	164	-	-	-	24,020
Labor	236,368	(1,706)	90,867	(91,076)	(15,517)	218,936
Environmental	7,611	2,584	1,367	(474)	-	11,088
Civil	19,402	3,850	10,426	(1,542)	-	32,136
Criminal	-	99	202	-	-	301
263,381	4,827	102,862	(93,092)	(15,517)	262,461
287,237	4,991	102,862	(93,092)	(15,517)	286,481

Contingencies - court or out-of-court claims classified as possible losses and not accrued

Tax

The tax claims (court and out-of-court) as at December 31, 2020, w ith an acknow ledged possible likelihood of loss and not accrued are show n in the table below :

Com pany

Cons olidate d

Tax

12.31.20	03.31.20	12.31.20	03.31.20
674,573	725,832	1,579,820	1,652,707
674,573	725,832	1,579,820	1,652,707

Among the contingencies for w hich a provision has not been recognized and that have been assessed as possible loss is the collection of ICMS due to an alleged difference identified in inventories. Additionally, there is a discussion also involving ICMS on the reasonableness in levying ICMS on export of semi-finished products.

Civil, environmental and labor

The civil, environmental and labor claims (court and out-of-court) as at December 31, 2020, w ith an acknow ledged possible likelihood of loss and not accrued are show n in the table below :

Com pany

Cons olidate d

12.31.20	03.31.20	12.31.20	03.31.20
Civil	156,396	101,979	205,611	147,405
Environmental	34,716	12,278	76,545	74,433
Labor	73,270	76,297	127,033	126,742
264,382	190,554	409,189	348,580

AsatDecember31,2020,theGroupwasapartytolabor,environmentalandcivillawsuitswhoselikelihoodoflossis considered possible based on the opinion of Group's legal counsel.

Labor claims are substantially related to (i) working hours; (ii) time in transit; (iii) additional premiums; (iv) refund of deductions, such as trade union fees; (v) contractual exclusivity; (vi) jointly-liability w ith service providers; (vii) occupational accidents and/or hazards/diseases; (viii) organizational climate; (ix) validity of the collective bargaining agreement, and (x) compensation costs in relation to the items mentioned above.

Civil law suits basically refer to discussions involving contractual issues and occupational and/or traffic accidents, collection, possession issues and general indemnities.

Biosev S.A.

Notes to the Interim Financial Statements

For the Nine-month Period Ended December 31, 2020 (Amounts in thousands of Brazilian reais, unless otherw ise stated)

Environmental law suits are substantially related to: (i) burn of sugarcane straw ; and (ii) alleged non-authorized intervention or damages in an area considered by environmental authorities as a permanent preservation area.

20. RELATED PARTIES

The information on related-party transactions has not significantly changed compared to the information disclosed in the financial statements as at March 31, 2020.

The related-party transactions described in the tables below refer basically to: (i) sales in the domestic and international markets at the price agreed betw een the parties, based on the market quotation; (ii) loan transactions; (iii) apportionment of costs relating to the shared facilities; (iv) provision of brokerage services involving derivative transactions; (v) commodities export performance operations; and (vi) lifting and sugar storage services.

The tables below show the balances and transactions as at December 31, 2020 betw een the Company and its subsidiaries, w hich are consolidated in its balance sheet:

Com pany Assets

Trade

Subs idiar ie s

receivables

Loan

Total

Biosev Bioenergia International S.A. Biosev Bioenergia S.A.

Biosev Comercializadora S.A.

12.31.20

12,602

103,961

82,896 3,806 4,657 91,359

- 82,896

3,487 7,293

9,115 13,772

Subs idiar ie s

Biosev Bioenergia International S.A. Biosev Bioenergia S.A.

Biosev Comercializadora S.A.

03.31.20

26,736

166,723

132,489 4,164 3,334 139,987

- 132,489

26,736 30,900

- 3,334

Com pany L iab ilit ie s

Trade payablesSubs idiar ie s

(*)Advances from customers (**)Loan

Total

Biosev Bioenergia International S.A. Biosev Bioenergia S.A.

Biosev Comercializadora S.A.

Sociedade Operadora Portuária de São Paulo S.A. 12.31.20

68,244 3,051 3,154 - 74,449

759,044 - - - 759,044

- 827,288

- 3,051

- 3,154

14,315 14,315

14,315 847,808

Subs idiar ie s

Biosev Bioenergia International S.A. Biosev Bioenergia S.A.

Sociedade Operadora Portuária de São Paulo S.A. 03.31.20

95,932 4,134 - 100,066

814,736 - - 814,736

- 910,668

- 4,134

14,108 14,108

14,108 928,910

(*) As at December 31, 2020, the amount of R$3,061 (R$3,062 as at March 31, 2020) w as recorded in current liabilities, in line item "Other payables".

(**) As at December 31, 2020, the amounts of R$258,891 (R$12,232 as at March 31, 2020) and R$500,153 (R$802,505 as at March 31, 2020) w ere recorded in current liabilities and non-current liabilities, respectively.

Biosev S.A.

Notes to the Interim Financial Statements

For the Nine-month Period Ended December 31, 2020 (Amounts in thousands of Brazilian reais, unless otherw ise stated)

Com pany Profit (loss)

Expenses
Total
Subs idiar ie s	Sale s	Total	Pur chas e s	Inte r e s t	expenses
Biosev Bioenergia International S.A.	640,294	-	640,294	(511)	(46,038)	(46,549)
Biosev Bioenergia S.A.	44,424	5	44,429	(1,894)	-	(1,894)
Biosev Comercializadora S.A.	21,243	24	21,267	(8,817)	-	(8,817)
Sociedade Operadora Portuária de São Paulo S.A.	-	-	-	-	(385)	(385)
12.31.20	705,961	29	705,990	(11,222)	(46,423)	(57,645)
Subs idiar ie s
Biosev Bioenergia International S.A.	145,642	-	145,642	(325)	(50,151)	(50,476)
Biosev Bioenergia S.A.	13,447	2,243	15,690	(732)	-	(732)
Biosev Comercializadora S.A.	31,879	275	32,154	(907)	-	(907)
Sociedade Operadora Portuária de São Paulo S.A.	-	-	-	-	(556)	(556)
12.31.19	190,968	2,518	193,486	(1,964)	(50,707)	(52,671)

Incom e

Inte r e s t

The tables below show the balances and transactions as at December 31, 2020 betw een the Company and other related parties:

Com pany Assets

Advances to s upplie r sTotal

Companies under common control Louis Dreyfus Company Suisse S.A. Louis Dreyfus Company Brasil S.A. Term Commodities Inc.

12.31.20

Companies under common control Louis Dreyfus Company Suisse S.A. Louis Dreyfus Company Brasil S.A. Term Commodities Inc.

03.31.20

Companies under common control

Trade
Derivatives (*)	receivables
-	956	-	956
-	-	11,615	11,615
22,819	-	-	22,819
22,819	956	11,615	35,390
-	1,014	-	1,014
-	-	885,170	885,170
19,112	-	-	19,112
19,112	1,014	885,170	905,296

Cons olidate d

AssetsDerivatives (*)

Louis Dreyfus Company Brasil S.A.

LDC Ethanol Interior Merchandising Louis Dreyfus Company Suisse S.A. Term Commodities Inc.

12.31.20

Companies under common control Louis Dreyfus Company Brasil S.A. LDC Ethanol Interior Merchandising

- - - 22,819 22,819

19,112 261

Louis Dreyfus Company Suisse S.A. - 2,153

Term Commodities Inc. 03.31.20

- -

19,112 2,505

Trade	Advances to
receivables	s upplie r s	Total
11,615	11,615
-	90
-	4,360
-	22,982
11,615	39,047
2,506,685	2,506,685
-	91
-	2,153
-	19,373
2,506,685	2,528,302

- 90 4,360 163 4,613

- 91

(*) As at December 31, 2020, the amount of R$22,819 (R$19,112 as at March 31, 2020) w as recorded in line item "Short- term investments", relating to margin deposits in derivative transactions.

Biosev S.A.

Notes to the Interim Financial Statements

For the Nine-month Period Ended December 31, 2020 (Amounts in thousands of Brazilian reais, unless otherw ise stated)

Companies under common control Louis Dreyfus Company Brasil S.A. Term Commodities Inc.

- 1,160 - 1,160

Louis Dreyfus Company Suisse S.A.

1,239 - - 1,239

- 1,239

- 1,160

11,528 11,528

11,528 13,927

Jointly-controlled entity

TEAG - Terminal Exp. Açúcar Guarujá Ltda.

12.31.20

- - 1,160

1,531 1,531 2,770

- 1,531

11,528 15,458

Companies under common control Louis Dreyfus Company Brasil S.A. Louis Dreyfus Company Suisse S.A. Term Commodities Inc.

- - 6,585 6,585

185 - - 185

- 185

878,580 878,580

- 6,585

878,580 885,350

Jointly-controlled entity

TEAG - Terminal Exp. Açúcar Guarujá Ltda.

03.31.20

- - 6,585

1,749 1,749 1,934

- 1,749

878,580 887,099

Cons olidate d

L iab ilit ie sDe r ivat ive sTrade payable s

Advances from cus tom e r s

Total

- 1,363

1,160 - - 1,160

Companies under common control Louis Dreyfus Company Brasil S.A. Louis Dreyfus Company Suisse S.A. Term Commodities Inc.

LDC Trading and Services Co.S.A. Term Commodities Inc.

- -1,363 5,595

11,528 17,123

- - 1,160

- 85 7,043

- - 11,528

- 85 19,731

Jointly-controlled entity

TEAG - Terminal Exp. Açúcar Guarujá Ltda.

12.31.20

- - 1,160

6,818 6,818 13,861

- - 11,528

6,818 6,818 26,549

Companies under common control Louis Dreyfus Company Brasil S.A. Louis Dreyfus Company Suisse S.A. LDC Trading and Services Co. S.A. Term Commodities Inc.

- 289 - 6,585 6,874

309 4,251 243 - 4,803

- 2,486,605 - - 2,486,605

309

2,491,145

243

6,585

2,498,282

Jointly-controlled entity

TEAG - Terminal Exp. Açúcar Guarujá Ltda.

03.31.20

- - 6,874

7,692 7,692 12,495

- - 2,486,605

7,692 7,692 2,505,974

Biosev S.A.

Notes to the Interim Financial Statements

For the Nine-month Period Ended December 31, 2020 (Amounts in thousands of Brazilian reais, unless otherw ise stated)

- 1,350,168

(185) - (185)Companies under common control Louis Dreyfus Company Brasil S.A. Louis Dreyfus Company Suisse S.A.

Macrofértil Indústria e Comércio de Fertilizantes Ltda. Term Commodities Inc.

Jointly-controlled entity

Teag-Terminal Exp. Açúcar Guarujá Ltda.

- 1,350,168 - - 1,350,168

(1,145,910)

- (1,145,910)

- - -

- - 1,350,168

(105) - (105)

(1,161,761)

(15,561)

- -(15,561) (1,161,761)

- - 1,350,168

- -- -

(4,875)

- (4,875)

(4,875)

- (4,875)

12.31.20

-1,350,168

(1,166,636)

- (1,166,636)

Companies under common control

Louis Dreyfus Company Brasil S.A. Louis Dreyfus Company Suisse S.A. Term Commodities Inc.

3,009 1,025,424 - 1,028,433

7,769 - - 7,769

10,778 1,025,424 - 1,036,202

(1,003,279)

- (1,003,279)

(7,103) (7,103)

(7,023)

- (7,023)

(1,010,302)

(7,103)

(1,017,405)

(1,914)

- (1,914)

Jointly-controlled entity Teag-Terminal Exp. Açúcar Guarujá Ltda.

12.31.19

(1,012,216)

(7,103)

(1,019,319)

- - 1,028,433

- - 7,769

- 1,036,202

(1,914)

- (1,914)

Companies under common control LDC Trading and Services Co.S.A. Louis Dreyfus Company Brasil S.A. Louis Dreyfus Company Suisse S.A.

Louis Dreyfus Commodities Agroindustrial S.A. Macrofértil Indústria e Comércio de Fertilizantes Ltda. Term Commodities Inc.

Jointly-controlled entity Teag-Terminal Exp. Açúcar Guarujá Ltda.

- 731 4,761,728 - - - 4,762,459

- - 23,980 - -

- 731 4,785,708 - -

(864)

(2)

(866)

(2,812,831)

- - - -

(2,812,831)

(386,585)

(185)

15 23,995

15 4,786,454

(15,939)

(3,216,404)

(2)

(3,216,406)

- - 4,762,459

(21,452)

- (21,452)

- 23,995

- 4,786,454

(21,452) (3,237,856)

- (21,452)

12.31.20

(2)

(3,237,858)Companies under common control

Louis Dreyfus Company Ethanol Merchandising LLC LDC Trading and Services Co.S.A.

- 3,405 1,859,470 - - - 1,862,875

9 46,903

9 50,308

(564)

(1,177,190)

- (1,177,190)

Louis Dreyfus Company Brasil S.A. Louis Dreyfus Company Suisse S.A.

Macrofértil Indústria e Comércio de Fertilizantes Ltda. Term Commodities Inc.

Jointly-controlled entity Teag-Terminal Exp. Açúcar Guarujá Ltda.

- 1,859,470

(31,085)

(46,382)

(77,467)

3 - 1 46,916

(674)

- -

(674)

1 (7,414)

(7,414)

1,909,791

(1,216,927)

(46,382)

(1,263,309)

- - 1,862,875

8 8 46,924

8 8 1,909,799

(17,235)

- (17,235)

(17,235) (1,234,162)

- (17,235)

12.31.19

(46,382)

(1,280,544)

Biosev S.A.

Notes to the Interim Financial Statements

For the Nine-month Period Ended December 31, 2020 (Amounts in thousands of Brazilian reais, unless otherw ise stated)

a) Compensation of key management personnel

The compensation of officers and other key management personnel for the period is as follow s:

Company and Consolidated

12.31.20	12.31.19
Short-termbenefits	1,003	1,902	8,556	9,464
Long-term benef its	-	-	2,302	1,458
1,003	1,902	10,858	10,922

The short-term benefits of key management personnel comprise salaries, social security contributions, pension fund contributions, social charges, profit sharing and short-term performance bonus. Long-term benefits include performance bonus and deferred benefits that expired in each financial statements.

Biosev S.A.

Notes to the Interim Financial Statements

For the Nine-month Period Ended December 31, 2020 (Amounts in thousands of Brazilian reais, unless otherw ise stated)

21.

NET REVENUE AND COST OF SALES AND SERVICES

Com pany

Cons olidate d

12.31.20

12.31.19

12.31.20

12.31.19

12.31.20

12.31.19

12.31.20

12.31.19

Three-month period	Nine-month period	Three-month period	Nine-month period
ended	ended	ended	ended

Gross revenue Domestic market

Sugar

520,988 1,139,980

874,305 1,992,677
Ethanol Energy Other
65,535 222,937 29,671 14,378 332,521
12,475 293,265 31,643 4,513 341,896
- 188,126 68,344
  146,290 17,401 872,805
  151,751 10,154 1,370,229
  86,311 346,681 221,735 25,103 679,830
  30,943 605,429 79,674 12,452 728,498

241,640 131,211
510,459 308,804
51,484 39,402

1,677,888 2,472,094

Foreign market

Sugar

252,805 99,166
32,184
-
- 1,083,794 244,611
- Ethanol Other (a)
287,819 259,441

823,366 81,570 1,408,931

228,378 1,032,043

1,128 1,037,869

529,371 707,183

426,477 11,200 336,818

2,860,306 1,093,006
3,104,033 1,209,025

572,808

358,607

2,313,867

1,267,375

2,268,597

774,495

7,048,133 2,546,642

905,329

700,503

3,186,672

2,637,604

2,948,427

1,502,993

8,726,021 5,018,736

(28,402) (42,648)

(74,512)

(156,928)

(76,823) (112,452)

(189,140) (355,109)Taxes (b) Sales rebates
Net revenue
1,389,546
8,522,891
4,660,369
(2,041) 874,886
(467) 657,388
(3,563) 3,108,597
(1,792) 2,478,884
(2,942) 2,868,662
(995) (13,990) (3,258)

Cost of sales and services (c) Domestic market

Sugar

(29,311) (201,774)
(97,864)
Ethanol Energy
(58,660) (149,101) (11,364)
Other
(847)
(14,380) (187,073) (11,492) (7,622)
(161,254) (391,124) (32,984) (7,958)
(62,041) (788,854) (40,948) (9,224)
(75,626) (233,459) (189,184)

(405,774) (646,134) (1,373,244)

(7,504)

(52,206) (14,683)

(334,853) (161,439)
(41,197) (33,200)

(219,972)

(220,567)

(593,320)

(901,067)

(505,773)

(501,974) (1,223,958) (1,665,747)Foreign market

Sugar (d)

(153,388) (111,414)
- (208,787) (787,466)
- Ethanol (d)
  (19,237)
  -(545,625) (53,212)
(3,576) (420,450)
Other (a)
(297,554) (258,737)

(1,440,306) (1,042,517) (717,530)

(470,179)

(370,151)

(2,039,143) (1,254,880) (1,925,446)

(421,289)	(2,218,420)	(1,091,418)
(6,976)	(824,648)	(269,363)
(339,067)	(3,125,369)	(1,216,583)

(767,332) (6,168,437) (2,577,364)

Gains on changes in fair value less estimated costs to sell biological assets

Sugar

33,905

912

Ethanol

26,915 1,356

60,820 (629,331)

2,268 (588,450)

379,208	29,909	105,083	26,006	580,466	79,487
214,839	122,205	87,816	25,937	346,977	167,818
594,047	152,114	192,899	51,943	927,443	247,305
(2,038,416)	(2,003,833)	(2,238,320)	(1,217,363)	(6,464,952)	(3,995,806)

(a) Amounts relating to the export of commodities.

(b)Includegovernmentgrants,whichreducedthetaxablebaseonsalesbyR$60,504,inCompany,intheperiodended December 31, 2020 (R$73,699 as at December 31, 2019).

(c) Include PIS and COFINS credits in the amount of R$10,226, in Company, and R$18,404, in Consolidated, in the period ended December 31, 2020 (R$12,552 and R$22,765, as at December 31, 2019, respectively), as prescribed by article 3, of Law 10637/02, whichaddresses the non-cumulativeness of PIS/PASEP; and article 3, of Law 10833/03, whichaddresses the non-cumulativeness of COFINS.

(d) Include REINTEGRA credits, in the amount of R$905, in Company, and R$3,414, in Consolidated, in the period ended December 31, 2020 (R$2,516 and R$3,535, as at December 31, 2019, respectively), as set forth in article 21, of Law 13043, of November 13, 2014, w hich addresses the REINTEGRA reintroducing.

Biosev S.A.

Notes to the Interim Financial Statements

For the Nine-month Period Ended December 31, 2020 (Amounts in thousands of Brazilian reais, unless otherw ise stated)

22.

EXPENSES BY NATURE

The information on the nature of cost of sales and services and general, administrative and selling expenses is as follow s:

Com pany

Cons olidate d

Three-month period	Nine-month period	Three-month period	Nine-month period
ended	ended	ended	ended

12.31.20	12.31.19	12.31.20	12.31.19	12.31.20	12.31.19	12.31.20	12.31.19
Cost of sales and services
Personnel (*)	(53,070)	(48,250)	(171,320)	(169,105)	(120,156)	(122,123)	(400,104)	(357,314)
Depreciation and amortization (**)	(269,792)	(201,726)	(806,410)	(710,420)	(559,540)	(422,078)	(1,637,969)	(1,401,291)
Raw materials and inputs, net of taxes:
Raw materials	(58,171)	(62,681)	(170,827)	(177,109)	(346,079)	(222,739)	(999,000)	(765,595)
Inputs and services	(1,571)	(6,023)	(24,037)	(17,263)	(19,128)	(22,584)	(91,467)	(81,314)
Products for resale	(307,547)	(272,038)	(1,459,869)	(1,082,050)	(1,386,316)	(479,782)	(4,263,855)	(1,637,597)
(367,289)	(340,742)	(1,654,733)	(1,276,422)	(1,751,523)	(725,105)	(5,354,322)	(2,484,506)
Gains on changes in fair value less estimated costs to sell biological assets	60,820	2,268	594,047	152,114	192,899	51,943	927,443	247,305
(629,331)	(588,450)	(2,038,416)	(2,003,833)	(2,238,320)	(1,217,363)	(6,464,952)	(3,995,806)
General, administrative and selling expenses
Personnel (*)	(11,942)	(15,304)	(32,221)	(57,801)	(29,520)	(30,245)	(93,401)	(106,337)
Depreciation	(2,496)	(3,110)	(7,904)	(8,887)	(5,429)	(5,935)	(16,152)	(17,758)
Freight	(21,084)	(9,175)	(71,261)	(28,080)	(77,888)	(30,858)	(221,419)	(115,217)
Services	(12,884)	(28,386)	(34,983)	(54,845)	(29,885)	(41,381)	(84,175)	(88,825)
Shipping expenses	(2,496)	(363)	(7,178)	(2,775)	(23,191)	(8,771)	(67,492)	(29,944)
Other	(5,379)	(7,981)	(11,783)	(18,945)	(9,492)	(10,838)	(22,985)	(30,782)
(56,281)	(64,319)	(165,330)	(171,333)	(175,405)	(128,028)	(505,624)	(388,863)

(*) As at December 31, 2020, the personnel expenses, in Company and Consolidated, comprise R$203,541 and R$493,505, respectively (R$226,906 and R$463,651 as at December 31, 2019), and R$5,336 and R$11,971 (R$6,163 and R$12,700 as at December 31, 2019) relating to INSS contribution, respectively.

(**) Includes biological asset and agricultural produce.

Biosev S.A.

Notes to the Interim Financial Statements

For the Nine-month Period Ended December 31, 2020 (Amounts in thousands of Brazilian reais, unless otherw ise stated)

23. FINANCE INCOME (EXPENSES)

Com pany

Cons olidate d

Three-month period	Nine-month period	Three-month period	Nine-month period
ended	ended	ended	ended

24. OTHER OPERATING INCOME (EXPENSES)

Finance income	12.31.20	12.31.19	12.31.20	12.31.19	12.31.20	12.31.19	12.31.20	12.31.19
Discounts obtained	320	22	1,005	373	603	50	1,649	987
Revenue from fixed income short-term investments	286	570	1,252	4,157	826	1,700	3,238	9,635
Interest	4,356	6,631	10,739	15,054	945	7,708	9,979	17,557
Other	-	53	1,713	973	242	844	3,315	3,821
4,962	7,276	14,709	20,557	2,616	10,302	18,181	32,000
Finance costs
Interest	(72,624)	(67,073)	(229,958)	(278,465)	(138,058)	(140,674)	(442,538)	(506,458)
Discounts granted	-	1	(1)	(36)	-	1	(8)	(36)
Tax on Financial Transactions (IOF)	(410)	(468)	(2,543)	(1,235)	(1,528)	(1,119)	(7,180)	(4,714)
Tax on Financial Transactions (IOF) - loan	-	-	-	(64)	(3)	(479)	(176)	(2,731)
Other	(446)	(485)	(1,558)	(730)	(1,072)	(436)	(3,560)	(3,822)
Taxes on revenue (PIS and COFINS) on finance income	(601)	(293)	(986)	(798)	(700)	(472)	(1,410)	(1,442)
(74,081)	(68,318)	(235,046)	(281,328)	(141,361)	(143,179)	(454,872)	(519,203)
De r ivat ive s
Commodities derivatives - Commercial transactions	35,068	52,544	(315,865)	75,302	(50,963)	15,491	(52,742)	8,292
Commodities derivatives - Financial transactions	(77,216)	(13,730)	22,511	(54,682)	(77,216)	(13,730)	22,511	(54,682)
Interest rate derivatives - Libor sw ap	-	-	-	-	(2,315)	(358)	(7,162)	(1,030)
(42,148)	38,814	(293,354)	20,620	(130,494)	1,403	(37,393)	(47,420)
Exchange rate changes
Foreign exchange assets	404,257	267,940	580,466	488,556	1,384,550	653,572	2,951,186	1,322,034
Foreign exchange liabilities	(114,986)	(190,124)	(570,267)	(594,306)	(824,890)	(473,251)	(2,984,885)	(1,528,160)
289,271	77,816	10,199	(105,750)	559,660	180,321	(33,699)	(206,126)
Finance income (costs)	178,004	55,588	(503,492)	(345,901)	290,421	48,847	(507,783)	(740,749)
Com pany

Cons olidate d

Three-month period	Nine-month period	Three-month period	Nine-month period
ended	ended	ended	ended

12.31.20	12.31.19	12.31.20	12.31.19	12.31.20	12.31.19	12.31.20	12.31.19
Recognition of provision for tax, labor, civil and environmental contingencies	4,136	31,205	5,866	28,869	16,985	25,775	10,088	5,747
Contratual fines and indemnities	(61,046)	(6,612)	(72,853)	(25,825)	(115,875)	(19,936)	(152,153)	(66,587)
Tax expenses	(844)	(3,673)	(3,099)	(6,696)	588	(5,885)	(1,196)	(11,636)
Reversal of impairment of fixed assets and Intangible assets	505	-	3,518	555	(4,951)	-	(773)	1,976
Gains (losses) on sale of property, plant and equipment	(2,309)	2	(7,403)	407	(1,384)	2	(5,025)	6,436
Investments sold	-	-	-	(3,767)	-	-	-	(3,767)
Impairment of assets held for sale	-	103	119	53,374	-	103	119	53,374
Reversal (recognition) of estimated losses on doubtful accounts	6	(488)	30	(747)	55	(545)	466	(1,002)
Law suit - Instituito do Acucar e do Alcool - IAA	-	-	-	(1,438)	-	-	-	31,660
Provision for other losses	(22)	(42)	(39)	(168)	(10,283)	1,890	(13,937)	(59,702)
Untimely PIS and COFINS credits	-	-	-	18,110	-	-	-	65,101
Other operating expenses, net	5,642	7,112	7,009	(805)	10,094	7,486	12,999	2,839
Total other operating income (expenses), net	(53,932)	27,607	(66,852)	61,869	(104,771)	8,890	(149,412)	24,439
Total other operating income	7,406	7,098	19,210	88,657	19,292	14,621	36,463	187,254
Total other operating expenses	(61,338)	20,509	(86,062)	(26,788)	(124,063)	(5,731)	(185,875)	(162,815)
40

Biosev S.A.

Notes to the Interim Financial Statements

For the Nine-month Period Ended December 31, 2020 (Amounts in thousands of Brazilian reais, unless otherw ise stated)

25.

LOSS PER SHARE

ThebasicanddilutedlosspersharewascalculatedbasedonthelossattributabletotheBiosev'sownersdividedbythe w eighted average number of outstanding common shares in the period.

Com pany

Cons olidate dNine-month period endedNine-month period ended

12.31.20

12.31.19

12.31.20

12.31.19

Profit (loss) for the period attributable to the Company's ow ners Weighted average number of shares used to calculate basic and diluted earnings per share

Total basic and diluted earnings (loss) per share

453,998 509,508,430 0.89105

(470,117)

433,678,306

(1.08402)

453,998 509,508,430 0.89105

(470,117)

433,678,306

(1.08402)

26. RISK MANAGEMENT AND FINANCIAL INSTRUMENTS

I - Risk management

The Company is exposed to certain risks arising from its operations, such as: market, credit, liquidity and capital risks.

In order to manage these risks, the Company timely implements the proper committee to discuss the following issues: i) monitoring and approval of the hedge percentages through financial instruments and respective sugar, ethanol and power price levels; ii) monitoring of the exposure and approval of the credit limit; iii) monitoring of the liquidity and definition of the strategic actions to meet the cash needs in the short, medium and long terms; and iii) monitoring of the claims in the

Company's operations and insurance coverage.

On a daily basis, the exposures are mapped and reported to the Company's management so that the n ecessary decisions are undertaken.

The definition of percentages and the contracting of hedges through derivative instruments guided by the Financial and Risk Management Policy approved and review ed by the Board of Directors on January 13, 2020. Additionally, the Company does not carry out transactions w ith any type of leverage, as w ell as does not have transactions w ith exotic derivatives.

The risk management policies, practices and instruments are oversight by the Executive Committee and the Strategic

Committee (the body that supports the Company's Board of Directors).

26.1 Market risk

The Company is mainly exposed to risks related to foreign exchange, agricultural commodity price fluctuations, pow er price and interest rates. In order to hedge against these market risks, the Company contracts the follow ing derivative instruments:

Foreign exchange	Price	Interest
Futures and options-B3 (DDI/DI1/DOL); Forwards - OTC	1) Sugar futures - NY11/Ethanol futures - B3; 2) Swap/Forwards- OTC (sugar); 3) Options- OTC (sugar).	Interest swap

Biosev S.A.

Notes to the Interim Financial Statements

For the Nine-month Period Ended December 31, 2020 (Amounts in thousands of Brazilian reais, unless otherw ise stated)

As at December 31, 2020, the assets and liabilities relating to the derivative transactions are broken dow n as follow s:

Com pany

Cons olidate d

12.31.20	03.31.20	12.31.20	03.31.20
Exchange risk management (Note 26.1.1)	(26,474)	(343,960)	(26,473)	(343,959)
Interest rate risk management (Note 26.1.2)	-	-	(25,130)	(27,963)
Agricultural commodity risk management (Note 26.1.3)	(1,478)	(5,441)	(84,892)	50,155
(27,951)	(349,401)	(136,495)	(321,767)
Current assets	92,157	225,787	105,423	225,787
Non-current assets	-	-	-	55,885
Current liabilities	(120,108)	(575,188)	(231,324)	(586,843)
Non-current liabilities	-	-	(10,594)	(16,596)

26.1.1

Foreign exchange risk management

Because the Company's functional currency is the Brazilian real (R$), the foreign currency-denominated operations are exposed to the foreign exchange risk. In order to reduce the changes in profit or loss and balance arising from net revenue flows, costs and debts denominated in US dollars, the Company held the following outstanding derivative positions as at December 31, 2020:

Company and Consolidated

Notional value

Average exchange rate

Foreign currency

Domestic currency (*)

Fair value

12.31.20

03.31.20

12.31.20

03.31.20

12.31.20

03.31.20

12.31.20

03.31.20

(Sale) purchase

(Sale) purchaseOutstanding forward contracts - NDF

US Dollar

Hedge Accounting - Cash Flow

Sale

Purchase

4.2685

1,776

-5.3425 5.1370

4.2685 (230,888)

(380,500)

(1,233,528)

(1,624,177)

33,007 (359,644)

34,714 (196,174)

- (380,500)

178,326 (1,055,202)

(1,624,177)

34,784 (359,644)

Non-hedge Acccounting

Sale

Purchase

425,000

2,012,401

(106,236) 205,822

5.4119 5.4396

4.6227 (213,858)
(314,500)
4.7351 445,032 231,174

(1,157,373) 2,420,785

(1,453,833)

45,012 (190,392)

110,500

1,263,412

558,568

(61,224) 15,430

Futures B3 - Non - Hedge Accounting

DOL - dollar futures

5.1967

5.1987

DDI - future exchange coupon DI - 1 day:

(66,750) 129,818 (218,412)

54,750 (85,160)

(346,880)

(155,344)

70,725 40,315

674,627 (1,135,022)

284,629 (442,721)

2,350 1,443

(2,448)

(1,511)

(807,275)

367,677 209,585

(33) (26,473)

322 254 (343,960)

(*) Convenience conversion.

Biosev S.A.

Notes to the Interim Financial Statements

For the Nine-month Period Ended December 31, 2020 (Amounts in thousands of Brazilian reais, unless otherw ise stated)

26.1.2

Interest rate risk management

The Company is exposed to floating interest rates (Libor USD and CDI) arising from borrow ings and financing, advances from customers, cash and cash equivalents and short-term investments.

In order to hedge against variations that may impact its cash flow , the Company hedged a portion of its exposure (Debt indexed to the Libor USD) through derivative instruments (Cash Flow Sw ap) contracted w ith first class financial institutions, in order to exchange the exposure to the Libor USD for fixed interest rates.

These derivative instruments are broken dow n as follow s as at December 31, 2020:

Fixed averageCons olidate d Notional valueForeign currency

Domestic currency (*)

Fair value

Hedge Accounting

Outstanding position:

rate - %
12.31.20	12.31.20	03.31.20	12.31.20	03.31.20	12.31.20	03.31.20
Less than 1 year	3.1467%	39,967	39,967	207,695	207,775	(14,536)	(11,367)
1 to 2 years	3.1467%	39,967	39,967	207,695	207,775	(8,311)	(10,659)
2 to 5 years	3.1467%	16,035	56,002	83,329	291,136	(2,283)	(5,937)
95,968	135,936	498,718	706,686	(25,130)	(27,963)

(*) Convenience conversion.

26.1.3

Agricultural commodity risk management

The Company is exposed to the changes in sugar, ethanol and pow er prices that may impact its future income. In order to mitigate such market exposure, the Company's risk committee approves the volumes and price levels to be hedged as contracted by the Company's market intelligence desk.

As at December 31, 2020, the outstanding derivate instruments are broken dow n as follow s :

Com pany

Notional valueForeign currency

Domestic currency (*)

Fair valueSugar futures - ICE

Hedge Accounting - Cash Flow

Hedge Accounting - Fair Value Non-hedge Acccounting

Sugar options - ICE

Non-hedge Acccounting

Sugar options - OTC

Non-hedge Acccounting

NDF sugar - OTC

Non-hedge Acccounting

Ethanol futures - B3

Non-hedge Acccounting

(*) Convenience conversion.

12.31.20	03.31.20
(157,266)	(138,660)	(817,265)
99,870	132,652	518,993
8,177	(5,365)	42,492
(49,219)	(11,373)	(255,780)
(2)	2,359	(12)
(2)	2,359	(12)
(10,545)	-
(10,545)	-
(9,822)	-
(9,822)	-
(425)	128,623
(425)	128,623

- -

- -24,751 24,751

12.31.20	03.31.20	12.31.20	03.31.20
(720,852)	(8,308)	(2,026)
689,618	6,566	1,600
(27,889)	593	(6,159)
(59,123)	(1,149)	(6,585)
12,264	(12)	606
12,264	(12)	606
(54,820)	-	(836)
(54,820)	-	(836)
(51,062)	-	1,156
(51,062)	-	1,156
(2,211)	(317)	218
(2,211)	(317)	218
(1,478)	(5,441)
43

Biosev S.A.

Notes to the Interim Financial Statements

For the Nine-month Period Ended December 31, 2020 (Amounts in thousands of Brazilian reais, unless otherw ise stated)

Cons olidate d

Notional valueForeign currency

Domestic currency (*)

Fair value


Sugar futures - ICE
Hedge Accounting - Cash Flow
Hedge Accounting - Fair Value
Non-hedge Acccounting

Sugar Sales Agreements
Hedge Accounting - Fair Value

Sugar options - ICE
Non-hedge Acccounting

Sugar options - OTC
Non-hedge Acccounting	-
-
NDF sugar - OTC
Non-hedge Acccounting	-
-
Power Sales Agreements
Non-hedge Acccounting	19,279
19,279
Ethanol futures - B3
Non-hedge Acccounting	24,751
24,751

(*) Convenience conversion.

12.31.20	03.31.20
(157,266)	(138,660)	(817,265)
99,870	132,652	518,993
8,177	(5,365)	42,492
(49,219)	(11,373)	(255,780)
(99,870)	(132,652)	(518,993)
(99,870)	(132,652)	(518,993)
(2)	2,359	(12)
(2)	2,359	(12)
(14,035)	-
(14,035)	-
(9,822)	-
(9,822)	-
-	100,186
-	100,186
(425)	128,623
(425)	128,623

12.31.20	03.31.20	12.31.20	03.31.20
(720,852)	(8,308)	(2,026)
689,618	6,566	1,600
(27,889)	593	(6,159)
(59,123)	(1,149)	(6,585)
(689,618)	(82,298)	55,885
(689,618)	(82,298)	55,885
12,264	(12)	606
12,264	(12)	606
(72,964)	-	(1,125)
(72,964)	-	(1,125)
(51,062)	-	1,156
(51,062)	-	1,156
-	(1,117)	-
-	(1,117)	-
(2,211)	(317)	218
(2,211)	(317)	218
(84,892)	50,155

26.2

Credit risk

The credit risk is managed through the careful analysis of the customer portfolio, the definition of credit limits, and the ongoing control of outstanding positions. In conformity w ith the Company's credit policy, using a risk assessment methodology, the

Company adopted balanced scorecard techniques. The Company adopts hedging instruments, such as collaterals, pledges and guarantees, to mitigate potential credit exposures. Historically, the Company does not record significant losses in trade receivables.

26.3

Liquidity risk and capital management

Company monitors capital through financial leverage index analysis; these indexes include adjusted net debt to adjusted EBITDA ratio. In turn, the net debt corresponds to total borrow ings and financing (including short- and long-term borrow ings and financing), plus interest sw ap, less cash, cash equivalents, short-term investments and highly liquid inventory (ethanol, sugar and allow ance for negative inventory margin).

Moreover, the products manufactured by the Company are highly liquid and can be easily sold to generate cash or also be provided as a guarantee for financial transactions.

Biosev S.A.

Notes to the Interim Financial Statements

For the Nine-month Period Ended December 31, 2020 (Amounts in thousands of Brazilian reais, unless otherw ise stated)The contractual obligations and financial commitments that may impact the Company's liquidity are broken dow n below :

Com pany

Less than 1	1 to 5 years	Over 5 years	Total
As at December 31, 2020
Borrow ings and financing	1,318,124	1,590,611	105,908	3,014,643
Lease liability	207,270	525,384	103,624	836,278
Derivative financial instruments	120,108	-	-	120,108
Trade payables	287,643	4,286	-	291,929
Accrued payroll and related taxes	48,704	-	-	48,704
Taxes payable	13,891	18,324	-	32,215
Other payables	51,840	72,577	-	124,417
2,047,579	2,211,182	209,532	4,468,294
As at March 31, 2020
Borrow ings and financing	2,935,559	67,484	-	3,003,043
Lease liability	215,257	444,809	72,048	732,114
Derivative financial instruments	575,188	-	-	575,188
Trade payables	309,104	5,733	-	314,837
Accrued payroll and related taxes	47,218	-	-	47,218
Taxes payable	21,314	18,501	-	39,815
Other payables	80,594	86,047	-	166,641
4,184,234	622,574	72,048	4,878,856
Less than 1	Total
As at December 31, 2020
Borrow ings and financing	3,058,308	6,914,560
Lease liability	561,217	2,135,265
Derivative financial instruments	231,324	241,918
Trade payables	663,105	667,634
Accrued payroll and related taxes	93,903	93,903
Taxes payable	57,000	75,324
Other payables	94,961	244,031
4,759,819	10,372,635
As at March 31, 2020
Borrow ings and financing	7,225,234	7,321,425
Lease liability	498,932	1,681,269
Derivative financial instruments	586,843	603,439
Trade payables	798,903	804,868
Accrued payroll and related taxes	90,483	90,483
Taxes payable	75,152	93,653
Other payables	118,051	285,298
9,393,598	10,880,435

Cons olidate d

1 to 5 yearsOver 5 years

3,746,367 109,885

1,305,407 268,641

10,594

4,529 -

18,324

149,070 5,234,290

- - - - - 378,526

96,191

1,029,154

16,596

5,965 -

18,501

167,247 1,333,654

- 153,183 - - - - - 153,183

Biosev S.A.

Notes to the Interim Financial Statements

For the Nine-month Period Ended December 31, 2020 (Amounts in thousands of Brazilian reais, unless otherw ise stated)

26.4 Margin calls

Derivative transactions in commodity exchanges (ICE and B3) require an initial margin call in guarantee.

To trade on the ICE, the margin call required, as at December 31, 2020, is R$22,461 (R$7,376 as at March 31, 2020), fully deposited by the Company's in cash, through fiduciary agent Term Commodities Inc., a company under common control.

To trade on the B3, the margin call required, as at December 31, 2020, is R$43,312 (R$26,502 as at March 31, 2020), deposited in current account.

As at December 31, 2020, the Company's transactions in the over-the-counter market did not require an initial margin call in guarantee.

26.5

Categories of financial instruments

The financial instruments recognized in the balance sheet are stated at contractual value, as the characteristics of these financial instruments approximate their market value, except for derivative instruments and lease liabilities, w hich are stated at market value. The categories are described below :

Com pany

Cons olidate d

Clas s ification
CPC 48 / IFRS 9	12.31.20	03.31.20	12.31.20	03.31.20
Financial assets:
Cash and cash equivalents (Note 3)	Amortized cost	141,536	396,124	484,178	1,174,943
Short-term investments and debentures (Note 4)	Amortized cost	71,453	42,052	127,949	52,245
Trade receivables (Note 5)	Amortized cost	159,191	211,537	279,203	216,242
Other financial assets	Amortized cost	482,012	572,469	685,797	793,595
Derivatives designated as hedge accounting (Note 26)	VJR	51,775	225,676	65,041	281,561
Derivatives designated as cash flow hedge (Note 26)	V JORA	40,381	111	40,382	111
-	-
Financial liabilities:	-	-
Borrow ings and financing (Note 16)	Amortized cost	3,014,643	3,003,043	6,914,560	7,321,425
Lease liability (Note 12)	Amortized cost	836,278	732,114	2,135,265	1,681,269
Trade payables (Note 17)	Amortized cost	291,929	314,837	667,634	804,868
Other financial liabilities	Amortized cost	205,335	253,674	413,258	469,434
Derivatives designated as fair value hedge or not (Note 26)	VJR	106,203	361,781	202,883	389,743
Derivatives designated as cash flow hedge (Note 26)	V JORA	13,906	213,407	39,035	213,696

26.6

Measurement at fair value recognized in balance sheet

CPC 40 (R1) - Instrumentos Financeiros: Evidenciação/IFRS 7 - Financial Instruments: Disclosure defines fair value as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the primary or most advantageous market for the asset or liability in an orderly transaction betw een market participants on the measurement date. CPC 40 (R1)/IFRS 7 also establishes a three-level fair value hierarchy, which prioritizes inputs for fair value measurement by an entity in order to maximize the use of observable data and minimize the use of unobservable data. CPC 40 (R1)/IFRS 7 describes the three levels of inputs that should be used to measure fair value, w hich are the follow ing:

•

Level 1 - Quoted prices (unadjusted) in active markets for identical assets and liabilities.

•

Level 2 - Inputs other than the data included in Level 1, w here prices are quoted (unadjusted).

Fair value measurements of Level 2 are obtained based on other variables besides quoted prices included in Level 1, w hich are directly or indirectly observable for an asset or liability.

• Level 3 - Inputs for the asset or liability that are not based on observable market data (unobservable inputs) because market activity is insignificant or does not exist.

Biosev S.A.

Notes to the Interim Financial Statements

For the Nine-month Period Ended December 31, 2020 (Amounts in thousands of Brazilian reais, unless otherw ise stated)

The Company's financial assets and liabilities measured at fair value on a recurring basis and subject to disclosure as required by CPC 40 (R1)/IFRS 7, as at December 31, 2020, are as follow s:

Com pany 12.31.20

Level 1

Level 2

Total

Level 1

TotalCons olidate d 12.31.20 Level 2

92,156

-105,423

105,423

Financial assets at fair value through profit or loss Derivative financial assets

92,156

-105,423

105,423

(1,511)

(118,598)

(120,109)

(1,510)

(240,408) (241,918)

Financial liabilities at fair value through profit or loss Derivative financial liabilities

(1,511)

(118,598)

(120,109)

(1,510)

(240,408) (241,918)

Com pany 03.31.20

Cons olidate d 03.31.20

Level 1

Level 2

Total

Level 1

Level 2

TotalFinancial assets at fair value through profit or loss Derivative financial assets

15,885 15,885

209,902 209,902

225,787 225,787

15,886 15,886

265,786 265,786

281,672 281,672

(22,000)

(553,188)

(575,188)

(21,999)

(581,440) (603,439)

Financial liabilities at fair value through profit or loss Derivative financial liabilities

(22,000)

(553,188)

(575,188)

(21,999)

(581,440) (603,439)

26.7

Derivative and non-derivative financial instruments with the application of hedge accounting

InaccordancewithaccountingpracticesadoptedinBrazil,derivativefinancialinstrumentsareaccountedforatfairvalue through profit or loss, unless a derivative is designated for hedge accounting. A derivative only qualifies for hedge accounting whenalltheconditionssetoutbyCPC48/IFRS9aremet.Theadoptionofhedgeaccountingisoptionalandaimsat recognizing gains or losses on derivatives and debts only w hen the hedged item is realized on an accrual basis and, therefore, reducing the volatility of gains or losses from the mark-to-market of derivatives.

The Company applies hedge accounting to account for part of its derivative and non-derivative financial instruments.

26.7.1 Cash flow hedge

The cash flow hedge is in conformity w ith CPC 48/IFRS 9, items 6.3.3/9 6.2.2, and is described below :

• Recognized liability hedge - debts subject to the Libor rate: The Company entered into sw ap contracts subject to the Libor interest rate contracted to mitigate the effects from interest rate changes of the long-term debts, in w hich case the respective exposure is subject to a fixed interest rate.

• Highly probable transaction hedge - Revenue from sugar and ethanol exports in US dollar: The Company entered into i) sugar futures contracts for purposes of price risk hedge; and ii) currency forw ard contracts (NDF) and US dollar-denominated debts (Natural HACC), both contracted to protect against exchange rate changes in the revenue from exports.

• Highly probable transaction hedge - Cost related to the future purchase of agricultural inputs in US dollar: Effective on July 22, 2021, the Company enters into currency forw ard contracts (NDF) to protect against exchange rate changes in the invoicing, upon issuance of the invoice and, therefore, the exposure is terminated.

26.7.2 Fair value hedge

Such hedge comprises the use of "sugar futures" derivative instruments to protect against changes in fair value in connection w ith a sugar sales agreement entered into w ith a third party.

Biosev S.A.

Notes to the Interim Financial Statements

For the Nine-month Period Ended December 31, 2020 (Amounts in thousands of Brazilian reais, unless otherw ise stated)

26.7.3

Discontinued hedge accounting

As at March 31, 2019, the Company discontinued the revenue hedge accounting program (Natural HACC) w ith respect to the debts already designated. Such discontinuity resulted from the change in the Company's foreign exchange risk management, w hich aimed to offset the exchange rate changes of the debts against equity, w hich w ill be directly recorded in the finance income (costs) to be offset against the long positions expressed in foreign currency using derivative financial instruments - also recognized in finance income (costs) (CPC 48, items B6.5.26 (a) and B6.5.28 (b)).

The gains and losses recorded in equity, in line item "Other comprehensive income (loss), w ill be maintained in this reserve until the expected transaction is concluded, in w hich case the amounts w ill be reclassified to operating income (revenues) - alignedwithrevenues.Intheeventsuchtransaction(revenue)isnotconcluded,theaccumulatedamountswillbefully reclassified to finance income (costs) under CPC 48.

As at December 31, 2020, the annual expected realization of derivatives recorded in equity is as follow s:

Com pany

He d g e

Im pact

2020/2021

2021/2022

Exchange rate changes on future interest flow s (*)

Finance income (costs)

(1,226)

(3,854)

(2,367) (1,226)

(1,226)

(3,854)He d g e

Im pact

2020/2021

2021/2022

Exchange rate changes on future interest flow s (*) HACC Natural

Finance costs Operating losses

(1,226)

- (1,226)

(3,854) (79,173)

(83,027)

(*) Program discontinued in prior years.

2024/2025	2025 to 2028	Total
(733)	(759)	(10,165)
(733)	(759)	(10,165)
Cons olidate d
2022/2023 2023/2024	2024/2025	2025 to 2028	Total
(733)	(759)	(10,165)
-	-	(183,890)
(733)	(759)	(194,055)
48

2022/2023 2023/2024

(2,367) (1,226)

(2,367) (1,226) (79,173) (25,544)

(81,540)

(26,770)

Biosev S.A.

Notes to the Interim Financial Statements

For the Nine-month Period Ended December 31, 2020 (Amounts in thousands of Brazilian reais, unless otherw ise stated)

26.7.4

Sensitivity analysis

The table below show s the Company's sensitivity to the presented risk factor, based on changes in the risk factor considered reasonably possible by management (probable scenario), w hich takes into account the current volatility of the asset - in addition to other tw o scenarios, based on w hich the market conditions are subject to 25% and 50% stress scenarios.

The probable scenario is obtained based on future dollar, sugar, ethanol and pow er (as at December 31, 2020) and the Group's expectations for each one of the variables indicated, over a tw elve-month period.

Com pany

Notional amount

Foreign currencyExchange risk Price risk

Sugar hedge accounting Ethanol

Effects on equity Exchange risk Price risk

(347,181) 132,795 108,044 24,751 (214,386) (196,174) (157,266)

Sugar hedge accounting Effects on equity

(157,266)

(353,441)

Risk factor
Increase in US$	(1,018,856)	(1,263,926)	(2,527,851)
Decrease in price	201,401	157,750	315,512
Increase in price	206,921	163,553	327,118
Decrease in price	(5,520)	(5,803)	(11,606)
(817,455)	(1,106,176)	(2,212,340)
Increase in US$	205,480	254,905	509,809
Increase in price	(295,657)	(233,694)	(467,388)
Increase in price	(295,657)	(233,694)	(467,388)
(90,177)	21,211	42,421

Effects on fair value Probable scenario 25% stress 50% stress

Cons olidate d

Risk factor

Probable

25% stress

50% stressNotional amount Foreign currencyEffects on fair valueExchange risk Price risk

(906,688)Increase in US$

(1,765,014)

(2,189,559)

(4,379,119)

Sugar hedge accounting Ethanol

Energia

52,204 8,175 24,751 19,279

Decrease in price Decrease in price

1,729 16,741 (5,520) (9,492)

4,356 8,723

13,230 26,472 (5,803) (11,606) (3,072) (6,143)

Effects on equity

(1,763,284)

(2,185,204)

(4,370,396)

(233,694) (467,388)
Exchange risk Price risk
(854,483) (196,174) (157,266)
Increase in US$ Decrease in price
205,480 (295,657)
254,905
509,809
Sugar hedge accounting Interest rate risk
(157,266)
Increase in price
(295,657)

(233,694) (467,388)

Effects on equity

95,968 Decrease in Libor rate (257,472)

(186)

(372)

(744)

(90,363)

20,839

41,678

As at December 31, 2020, the probable scenario considers the CDI rate projected for 12 months - disclosed at B3's w ebsite (DI sw ap reference rates x PRÉ) and the Libor rate for 12 months disclosed by Bloomberg. These rates w ere applied in the Company's exposure volume - composed of: borrowings and financing, advances from customers, cash and cash equivalents and short-term investments.

Based on the exposure in the probable scenario, a stress of 25% and 50% w as applied taking into account the w orst case scenarios in order to determine the impact on the Company's finance income (costs).

Theconsolidatedsensitivityresultsarebrokendownbelow:

Com pany

Probable

Notional amountscenario

25% stress

50% stress

(7,674) (11,511)

(2,804,184)

(12,792)

(15,991) (23,986)

Operations indexed to CDI Operations indexed to Libor Total

(221,639) (2,582,545)

(6,139) (6,653)

(8,317) (12,475)

Notional amountCons olidate d Probable scenario 25% stress

50% stress

(12,444) (18,667)

(6,318,167)

(25,308)

(31,633) (47,451)

Operations indexed to CDI Operations indexed to Libor Total

(359,406) (5,958,761)

(9,956) (15,352)

(19,189) (28,784)

Biosev S.A.

Notes to the Interim Financial Statements

For the Nine-month Period Ended December 31, 2020 (Amounts in thousands of Brazilian reais, unless otherw ise stated)

27. COMMITMENTS

a) Selling

The Group has several arrangements in the sugar and ethanol market under w hich it commits to sell volumes of these products in future crops. As at December 31, 2020, the volumes of these commitments total -1,315,234.61 tons of sugar (1,693,385 tons of sugar as at March 31, 2020), 122,822 cubic meters of ethanol (211,440 cubic meters as at March 31, 2020), and electricity supply commitments, assumed in pow er auctions and free market, w hich total 6,221 GWh to be supplied by 2035 (7,595 GWh as at March 31, 2020).

b) Purchases

The Group has several commitments for the purchase of sugarcane from third parties to ensure part of its production in future crops. The volume of sugarcane to be purchased is estimated based on the expected productivity of the areas w here the sugarcane plantations are located. The amount to be paid by the Group is determined at the end of each harvest campaign according to the price published by CONSECA NA, plus or less other applicable contractual terms.

As at December 31, 2020, estimated purchase commitments by crop are as follow s:

Cons olidate d

Estimated quantity	Es tim ate d
Harvest	Area (hectares)	of cane (ton)	am ount
2021/2022	119,228	9,141,541	813,053,466
2022/2023	93,049	7,207,772	641,062,991
2023/2024	73,357	5,595,239	497,643,514
2024/2025	45,849	3,621,041	322,057,262
After 2025	113,014	8,426,270	749,436,898
444,497	33,991,863	3,023,254,131

The Group has commitments for the purchase of energy in the amount of 316 GWh (1,048 GWh as at March 31, 2020). The price of these agreements is bilaterally negotiated by the agents selling electric energy in the Free Trade Market (ACL).

c) Terminalde Exportação de Açúcar do Guarujá Limitada - TEAG

TEAG is a party to an agreement for the lease of a port terminal with Companhia Docas do Estado de São Paulo ("CODESP"), w hich provides for the payment by TEAG, as lease, of a fixed monthly installment of R$3.4163/m² calculated on a minimum area of 74,206.410 m² equivalent to R$253.51 per month or R$3,042 per year, plus a guaranteed variable minimum installment equivalent to R$7,559 per year payable to CODESP, corresponding to R$3.103/ton calculated on a minimum handling of tw o million four hundred and thirty-six thousand tons of cargo. TEAG operates under the concession agreement entered into w ith Companhia Docas do Estado de São Paulo (CODESP), falling due on July 6, 2038.

d) Lawsuits against Instituto do Açúcar e do Álcool - IAA

The Company is a plaintiff in law suits seeking a compensation from the Federal Government for losses arising from pricing differences incurred in the period in w hich sugar and ethanol prices w ere frozen. In some cases, upon effective receipt of the indemnities, a portion of the amount received will be transferred on behalf of third parties in connection with the contractual obligations.

e) Bank guarantees and collateral insurance

As at December 31, 2020, the balances of (i) bank guarantee is R$144,198 in Consolidated (R$142,240 in Consolidated as at March 31, 2020); and (ii) collateral insurance relating to lawsuits of R$250,129, in Company, and R$667,326 in Consolidated (R$277,600 and R$588,750 as at March 31, 2020, respectively).

Biosev S.A.

Notes to the Interim Financial Statements

For the Nine-month Period Ended December 31, 2020 (Amounts in thousands of Brazilian reais, unless otherw ise stated)

28. EMPLOYEES' BENEFIT

The consolidated amount invested by the Company in the pension plan w as R$1,281 in the period ended December 31, 2020 (R$1,040 in the period ended December 31, 2019), recognized in line item "General, administrative and selling expenses". Due to the features and design of the pension plan, the Company does not incur any future postemployment or actuarial obligations.

As at December 31, 2020, the Company booked a liability related to the deferred variable compensation that w ill be paid to some eligible employees, according to the policy, in the amount of R$28,101 (R$26,021 as at March 31, 2020). Additionally, the Company has recorded a liability related to PPR (Profit Sharing Program), as set forth in the Collective Labor Agreement, in the amount of R$28,830 (R$31,550 as at March 31, 2020).

29. SEGMENT INFORMATION

Information by product margin, and geographic areas, used by the key decision makers is as follow s:

Cons olidate d

Three-month period ended 12.31.20

Consolidated profit (loss) by product	Sugar	Total
Net revenue	1,107,815	2,868,662
Cost of sales and services	(758,009)	(2,238,320)
Gross profit	349,806	630,342
Gross margin	32%	22%
Selling expenses	(61,694)	(105,029)
Operating margin	288,112	525,313
Sales by geographic area	Sugar	Ethanol	Total
Asia	710,120	481,558	-	477,399	1,669,077
North America	28,406	40,860	-	51,118	120,384
South America	7,483	909	-	-	8,392
Africa	284,797	516	-	43,088	328,401
Europe	767	5,528	-	135,578	141,873
Oceania	470	-	-	-	470
Foreign market	1,032,043	529,371	-	707,183	2,268,597
Domestic market	75,772	304,663	199,627	20,003	600,065
TOTAL	1,107,815	834,034	199,627	727,186	2,868,662

Cons olidate d

Ethanol 834,034 (566,093) 267,941

Energy 199,627 (189,184)Othe r 727,186 (725,034)

10,443 2,152

32% (39,953) 227,988

5% 0%

(2,971) (411)

7,472 1,741

Three-month period ended 12.31.20

Biosev S.A.

Notes to the Interim Financial Statements

For the Nine-month Period Ended December 31, 2020 (Amounts in thousands of Brazilian reais, unless otherw ise stated)

Cons olidate d

Three-month period ended 12.31.19

Consolidated profit (loss) by productSugarEthanol Energy Othe r

TotalNet revenue

451,943

520,497

68,978

348,128

1,389,546

(424,594)

(353,750) (1,217,363)

Cost of sales and services Gross profit

27,349

(386,813) 133,684

(52,206) 16,772

(5,622)

172,183

(37,934) (2,128)
(194)Gross margin Selling expenses Operating margin
6%
26%

(10,585) 131,556

24% (2,026) 14,746

(5,816)

-2%

12% (42,282) 129,901

Cons olidate dThree-month period ended 12.31.19

North America South America Africa

9,413 - - - 9,413

Europe

23,700 396

- -- -

1,816 25,516

37,691 38,087

Nine-month period ended 12.31.20

Consolidated profit (loss) by product

Cost of sales and services

Net revenue

Gross profit (loss)

Sugar 3,077,873 (1,839,728) 1,238,145

Ethanol 1,848,845 (1,123,805)

725,040

Energy 448,550 (334,853) 113,697

Othe r 3,147,623 (3,166,566)

(18,943)

Total 8,522,891 (6,464,952) 2,057,939

Gross margin

40% (224,874) 1,013,271

39% (64,928) 660,112

25%

-1%

24%

Selling expenses

(1,083) (299,430)
Operating margin
(8,545) 105,152

(20,026) 1,758,509

Biosev S.A.

Notes to the Interim Financial Statements

For the Nine-month Period Ended December 31, 2020 (Amounts in thousands of Brazilian reais, unless otherw ise stated)

Cons olidate d

Nine-month period ended 12.31.20

Energy Othe r

Total

- - - -

- 116,376 441,017

117,688 970,915

Sales by geographic area Asia

North America South America Africa

Sugar 1,820,205 119,125 7,483 853,227

Ethanol 821,842 205,516 36,565 --2,320,721

4,962,768

- 44,048

Cons olidate d

Nine-month period ended 12.31.19

Consolidated profit (loss) by product Net revenue

Cost of sales and services Gross profit

Sugar 1,204,825 (1,109,795)

Ethanol 1,939,982 (1,474,789)

Energy 270,343 (161,439) 108,904

Othe r 1,245,219 (1,249,783)

Total 4,660,369 (3,995,806)

95,030

465,193

(4,564)

664,563

(122,296) (24,422)
(323)
Gross margin Selling expenses Operating margin
8%
24%

(27,266) 440,771

(7,145) 101,759

40%

(4,887)

14% (154,186) 510,377

Cons olidate dNine-month period ended 12.31.19

Energy Othe r

TotalSales by geographic area Asia

Sugar 814,573

Ethanol 11,983

-1,018,773

1,845,329

121,581 232,628 - - 354,209

12,266 107,371

North America South America Africa

26,026 - - - 26,026

Europe

95,105 35,721 1,093,006 111,819 1,204,825

- - 244,611 1,695,371 1,939,982

- -

177,986 213,707

- 1,209,025 2,546,642

Foreign market Domestic market

270,343 270,343

36,194 2,113,727

TOTAL

1,245,219

4,660,369

The Company's key decision makers use the operating margin as a tool to measure the recurring operating cash generation capacity and it also allow s comparisons w ith other companies.

Cons olidate d	Cons olidate d
Three-month period	Nine-month period
ended	ended

12.31.20	12.31.19	12.31.20	12.31.19
Operating margin	525,313	129,901	1,758,509	510,377
Other operating expenses	(177,963)	(80,268)	(362,330)	(220,292)
Finance costs	290,421	48,847	(507,783)	(740,749)
Income tax and social contribution	(326,154)	(95,623)	(434,496)	(19,708)
Profit (loss) for the period	311,617	2,857	453,900	(470,372)

Biosev S.A.

Notes to the Interim Financial Statements

For the Nine-month Period Ended December 31, 2020 (Amounts in thousands of Brazilian reais, unless otherw ise stated)

Information on key customers

In the period ended December 31, 2020, the Group has one customer, its related party Louis Dreyfus Company Suisse S.A.,

undercommoncontrol,whichaccountsfor56%oftheGroup'sconsolidatedrevenue.

30.

SUBSEQUENT EVENTS

According to the material fact disclosed on February 8, 2021, Biosev S.A. ("Company"), its parent company Hédera Investimentos e Participações S.A. ("Hédera"), Raízen S.A. and Raízen Combustíveis S.A., among others, entered into the acquisitionagreement,onthesamedate,whereby,uponcompliancewithcertainsuspensiveconditions,includingthe approval of the transaction by the Administrative Council of Economic Defense (CADE), Company shall become the subsidiary of one or both companies Raízen, or the subsidiary of a holding company that ow ns the companies Raízen

("Transaction"). In this context, the Company's shares will be merged into Hédera, in which case the Company's shareholderswillbecometheHédera'sshareholdersand,aftertheimplementation oftheTransaction,theshareholderswil hold indirect equity (through Hédera) in, represented by preferred shares w ith no voting right, the companies Raízen or in one of them, or in a holding company that owns the companies Raízen. The Transaction also comprises the Company's debtreorganization,whichwillresultinthe(i)assumptionofthedebtportionbyHéderathroughthesignatureofnew financing agreements entered into w ith the Company's creditors; and (ii) payment w ith the funds arising from the Company's capitalization by Raízen, in the amount of R$3.6 billion, after common adjustments to net debt and w orking capital, as w ell as other operational adjustments by virtue of the conduction of businesses through the closing of the Transaction.

31.

APPROVAL OF INTERIM FINANCIAL STATEMENTS

The interim financial statements wereapproved by the Company's Management and authorized for issue on February 11, 2021.

Biosev S.A.

Notes to the Interim Financial Statements

For the Nine-month Period Ended December 31, 2020 (Amounts in thousands of Brazilian reais, unless otherw ise stated)

NON-STATUTORY AUDIT COMMITTEE OPINION

The non-statutory Audit Committee of Biosev S.A. ("Company"), jointly w ith representatives of the Company and of BDO

RCS Auditores Independentes, independent auditors of the Company, examined the interim financial statements of the Company related to the period ended on December 31st, 2020 and the corresponding management reports. Based in the analysis performed and considering the draft of the audit report, without remarks, prepared by BDO RCS Auditores Independentes, the non-statutory Audit Committee of the Company recommended to the Board of Directors of the Company, unanimously and without remarks, the approval of the referred interim financial statements and the corresponding management reports.

São Paulo, February 10th, 2021

FEDERICO ADRIAN CERISOLI

PATRICK JULIEN TREUERADRIAN LIMADA HORA

Biosev S.A.

Notes to the Interim Financial Statements

For the Nine-month Period Ended December 31, 2020 (Amounts in thousands of Brazilian reais, unless otherw ise stated)

OPINIONS AND STATEMENTS

As Executive Officers of Biosev S.A., w e declare, under Article 25, Paragraph 1st, Item VI of CVM Instruction nº 480 of December 7, 2009, as amended, that we have reviewed, discussed and agreed with the interim financial statements and the terms of the independent auditors report on the interim financial statements related to the period ended on December 31st, 2020.

São Paulo, February 11th, 2021

Juan Jose Blanchard

Chief Executive Officer

Leonardo Oliveira D'Elia

Chief Financial and Investor Relations Officer

Ricardo Lopes da Silva

Chief Operating Officer

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Biosev SA published this content on 11 February 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 12 February 2021 08:35:10 UTC.

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