Australian Vintage, the owner of prominent wine brands such as McGuigan, Tempus Two, and Nepenthe, has announced its expectation for flat sales in the first half of the fiscal year. However, the company projects a sales growth of between 5 per cent and 7 per cent for the full 12 months ending June 30, 2026. Australian Vintage is a leading Australian wine company that cultivates grapes, produces wine, and distributes its products globally. The company is known for its diverse portfolio of wine brands catering to various consumer preferences.
Tom Dusseldorp, who assumed the role of chief executive in May, indicated that growth in the newly launched Poco Vino brand, sold in smaller 187-millilitre bottles, is anticipated to be offset by a slowdown in sales within the commercial red wine category during the December half. “Sales at the first half are expected to be flat with prior year, as our recently launched disruptive innovation offsets the market decline in commercial reds,” Dusseldorp stated.
The company anticipates net debt levels to reach $35 million at the half-year mark, which is $17 million higher compared to the same period last year. This increase is attributed to ongoing investments in building the Poco Vino brand, as well as other brands like Lemsecco spritz. Australian Vintage made these announcements at its annual meeting held on Wednesday afternoon.
According to the company, the McGuigan brand has outperformed the overall commercial wine market since 2020, with a decline limited to approximately 2 per cent over the past five years, demonstrating resilience amid challenging market conditions.
