Treasury Wine Estates has updated its first-half EBITS guidance to $236 million, slightly exceeding previous expectations of $225 to $235 million. According to RBC Capital Markets analyst Michael Toner, this reflects stronger trading conditions since mid-December. Treasury Wine Estates is a global wine company that owns a portfolio of brands including Penfolds, Wolf Blass, and Lindeman’s. The company is involved in viticulture, winemaking, and the distribution and marketing of wine.
Toner noted that the result represents a modest beat against both RBC and consensus estimates, indicating resilience in the Americas despite the departure of distributor RNDC. The company also announced it has settled with RNDC, reducing the expected second-half 2026 cash outflow to approximately $92 million from the previously anticipated $100 million.
The settlement includes repurchases of Americas and collective stock held with RNDC in California, accounted for at its original sale value, net of a confidential compensatory settlement to offset the impact of RNDC’s closure in the state. Toner also highlighted an element of uncertainty associated with the expected on-sale of this inventory to other customers, given existing oversupply challenges in the US market.
Toner characterised the update as positive, with the group’s underlying performance buoyed by sustained depletion growth in its Americas operations. Following the announcement, Treasury Wine Estates’ shares experienced a surge, climbing by 5.4 per cent.
