Treasury Wine Estates has announced strong financial results for the year ending 30 June 2025, led by growth from the Penfolds portfolio division.
The business revealed that its earnings before interest and taxes (EBITS) increased by 17%, with a margin of 26.2%, to $770.3m during that time.
Meanwhile, its earnings per share (EPS), before material items and SGARA, increased by 10.8% to 58 cents per share. Its net service revenue (NSR) increased by 7.2% to $2.9b.
Penfolds was a vital part of this, said the business, noting an especially strong return in China and a number of key Asian markets.
Penfolds reported a 13.2% increase in EBITS to $477m, with a margin of 44.4%, largely driven by Bin & Icon portfolio shipments to China.
The portfolio division Treasury Americas also reported a strong EBITS increase of 33.9%, with a margin of 26.4%, to $308.6m.
The company said this was driven by the luxury portfolio and the continued growth of Frank Family Vineyards, though it was partially offset by declines across other key luxury brands.
The premium portfolio within Treasury Americas, however, declined by 5.5%, driven by 19 Crimes and partially offset by growth for Matua.
Treasury Premium Brands portfolio division suffered a decrease in EBITS to $55.1m, with a margin of 7.9%.
The business said this reflected NSR declines in the commercial and premium portfolio in EMEA and Australia.
Other updates
In other updates, Treasury Wine Estates announced that as of 24 July, it had appointed Breakthru Beverage Group (BBG) as its exclusive distributor in California, effective September 2025.
The business said that the financial implications of this are uncertain but that the appointment reflects the scale and breadth of its distribution in California.
It also noted a new divisional operating model, which came into effect on 1 July 2025, increasing its focus on luxury wine.
In addition, the business said that CEO and MD Tim Ford will leave Treasury Wine Estates on 30 September 2025, to be succeeded by Sam Fischer in October.
Looking ahead
Looking to the future, Treasury Wine Estates said it expects more growth in F26.
Low to mid double-digit EBITS growth is expected for Penfolds. For F27, Penfolds continues to target EBITS growth of 15%.
The financial position of Treasury Americas remains unclear due to the impact of distribution changes; however, the business expects adverse NSR as a result.
