Ag Growth International (AFN) fell 40% on Friday after management pulled guidance and delayed filing Q3 results for the second time in as many weeks…
… related to issues closing the books on its operations in Brazil. The segment has been instrumental to AFN’s international growth…
… particularly on the commercial side of the business…
We are extremely encouraged about the performance that we’re seeing down in Brazil on the Commercial segment… we did see revenues in Q1 versus prior year, up over 100%.
… so any disruptions could materially impact performance in the segment - magnifying the growth headwinds AFN’s farm unit is facing from tariffs.
That’s the fundamental worry, but the big question mark is if there’s a regulatory concern here. With a new 60-day filing target set by management…
… the chart should be choppy until we find out.
