Treasury Wine Estates sees 12.8% EBITS growth driven by Luxury portfolio and Penfolds; final dividend of 19.0 cents per share declared, with full-year dividend up 16%

• NPAT, pre material items and SGARA, up 8.3%. (Statutory NPAT $98.9m, down 61.1%, reflecting post-tax material items loss of $318.1m relating primarily to non-cash impairment of goodwill and Commercial brands within Treasury Premium Brands).
• EBITS increased 12.8% to $658.1m driven by strong Luxury portfolio growth in Penfolds and Treasury Americas, including the 2H24 contribution from the acquisition of DAOU.
• Group Luxury NSR increased 29.6% (14.5% organic growth), driven by outstanding execution and with consumer demand for Luxury wine remaining strong in TWE’s key markets.
• Following completion of the Premium Brands operating model review, TWE intends to create a Global Premium division by 1 July 2025, through the combination of Treasury Premium Brands and Treasury Americas Premium portfolio brands, and seek to divest its Commercial brand portfolio.
• Final dividend of 19.0 cents per share declared, 70% franked; full year dividend of 36.0 cents per share, or 72% NPAT, a 16% increase in value on the pcp.

On today’s announcement, TWE’s Chief Executive Officer, Tim Ford, commented:

“Our fiscal 2024 performance reflects the excellent momentum we continue to build behind our Luxury brand portfolios in Penfolds and Treasury Americas, which now represent over 75% of Group EBITS.

“These two outstanding Luxury wine platforms have very clear strategic direction and execution priorities, and we have great confidence in both as strong drivers of long-term growth for Treasury Wine Estates.

“In relation to our Premium brands, we are focused on improving the performance of this global portfolio to deliver greater value to TWE overall, with implementing key changes to enable the evolution to the new Global Premium Division a key focus through F25.”

TWE enters F25 with an exciting new Game Plan, including a brand-new purpose – Boldly Cultivating – which symbolises our collective call to action and commitment to shaping the future of TWE and the global wine industry.

“Together, by Boldly Cultivating, we’ll make a lasting impact on our partners, our teams, our communities, customers and consumers. As we seize the opportunities ahead, we have our sights firmly set on reaching our new vision – to be the world’s most desirable luxury wine company,” concluded Tim.