Casa Grande S.A.A.

What it is

Casa Grande is in the business of growing and processing sugar cane, then selling what comes out of it — principally sugar (both refined white and raw brown), alcohol, molasses, and bagasse (the fibrous residue used as fuel).

Its fields cover more than 30,000 hectares of cultivable land in Peru’s La Libertad region, making it the single largest sugar estate in the country — by one measure, Casa Grande accounts for roughly 22.8% of Peru’s total sugar output, well ahead of all rivals.

Who owns it

Casa Grande is an indirect subsidiary of Clarcrest Investments S.A., with the ultimate controlling company being Corporación Azucarera del Perú S.A., which holds 58.56% of the share capital. That vehicle belongs to Grupo Gloria, one of Peru’s most powerful family-owned conglomerates, spanning food, cement, agro-industry, and packaging.

The second-largest named shareholder is Alejandro Henry Gubbins Granger, a private Peruvian investor with 5.34%, leaving roughly 36% in free float — the shares available to the general public — according to the 2024 Memoria Annual filed with the SMV.

Who runs it

Jorge Columbo Rodríguez Rodríguez has been Chairman of the Board since March 2006; John Anthony Carty Chirinos has served as Chief Executive (Gerente General) since June 2006. Both men were still in their roles as of the 2025 Memoria Annual, filed February 2026.

Carty Chirinos runs not just Casa Grande but the entire Grupo Gloria sugar arm: he is simultaneously CEO of Coazúcar del Perú, Cartavio S.A.A., and two subsidiaries — a degree of concentration that is common in Peruvian family-group structures but worth noting for governance-minded investors.

The money, in plain words

In 2024 Casa Grande sold PEN 755 million (~US$222 million) of sugar and related products — up about 6.9% from PEN 707 million (US$208 mn) in 2023 (our calculation). But it kept far less of it: net profit fell to PEN 73.5 million (~US$21.6 million) from PEN 138 million (US$41 mn) in 2023, a drop of 47% (our calculation), as costs and lower biological-asset revaluations compressed the bottom line.

That leaves a net profit margin of 9.7% — meaning about 10 cents of profit from every sol of revenue — down from roughly 19.5% the year before (our calculations). Return on equity — how many soles the company earns for every sol owners have invested — sits at around 7% on audited figures, modest for an agro-industrial business of this scale.

The market is pricing the stock at roughly 49 times trailing earnings (a price-to-earnings ratio of 49×), which is steep for a business in a commoditised sector; the dividend yield was 6.33% in 2024, with a payout ratio of 87% — meaning the company returned nearly all its profit to shareholders as dividends even as earnings fell sharply.

Operating cash flow in 2024 was PEN 105 million (~US$31 million), with free cash flow of PEN 18.7 million (US$5 mn) — cash left after all investment — suggesting the business is generating real cash even if reported profit was squeezed. Owners’ total equity at 31 December 2024 was PEN 1,049,649 thousand (~US$308 million), down PEN 50.5 million (US$15 mn) from 2023, largely because dividends paid out exceeded the year’s earnings.

What it is doing now

In 2024, Casa Grande focused on maintaining its position as the market leader in refined sugar, white sugar, raw sugar, and alcohol, passing food-safety re-certification under FSSC 22000 v6.0 and continuing irrigation infrastructure works across its fields.

The most recent corporate signal is the 2025 Memoria Annual, filed with the SMV on 23 February 2026, which covers FY2025 results; the same board and management team remained in place, and the ownership structure was unchanged. The next estimated earnings event is February 2026.

What to watch

• Sugar price volatility. Revenue comes almost entirely from commodity prices set by the market. A drop in domestic sugar prices, or a surge in cheaper imports, flows straight through to the bottom line with very little natural hedge.
• Water and climate risk. In 2024 the Garrapón dam contributed 7.8 million cubic metres to the water balance of one key annex, irrigating 3,554 hectares — 22% less than planned. Drought exposure is structural for a company farming coastal desert land.
• High payout vs. falling profits. Paying out PEN 124 million (US$36 mn) in dividends when profit was only PEN 73.5 million (US$22 mn) means the company drew down its accumulated reserves. Sustaining that dividend in a weak-profit year is a governance signal worth tracking.
• Grupo Gloria concentration. With 58.56% of the vote, the controlling group can set strategy, approve related-party transactions, and determine dividends without needing minority shareholders’ consent — standard for Peru but a risk factor for outside investors.
• Valuation stretch. A P/E of 49× is demanding for a sugar miller. Any further earnings disappointment could reprice the stock sharply downward.

This is news, not investment advice.