Marlborough Wine Estates Group (MWE) investor relations material

Executive summary

• Branded sales revenue rose 5% and volume 2.9% in FY24, with New Zealand branded sales up 16.7% and volume up 14%, offset by lower international shipments.

• Revenue declined 11.4% year-over-year to $8.35 million due to reduced bulk wine sales and lower international shipments.

• Net loss after tax was $3.3 million, compared to a $295,000 profit in FY23, driven by lower yields and higher costs.

• Gross profit fell sharply from $3.63 million to $0.64 million year-over-year.

• Vineyard revaluation resulted in a $2.82 million decrease, compared to a $1.05 million increase last year.

Financial highlights

• Revenue: $8.35 million (down 11.4% year-over-year).

• Gross profit: $0.64 million (down from $3.63 million year-over-year).

• Net loss after tax: $3.3 million (vs. $295,000 profit in FY23).

• Net cash outflow from operations: $2.0 million (vs. $619,000 inflow in FY23).

• Basic and diluted EPS: $(0.011) (vs. $0.001 in FY23).

• Net tangible assets per share: $0.085 (down from $0.105 in FY23).

Outlook and guidance

• Focus remains on expanding branded wine business and international distribution.

• Industry export volumes improved in 2H FY24, positioning for better FY25 performance.

• Reduced 2024 vintage yield presents growth opportunities in key export markets.

• Management expects recovery in profitability and stronger FY25.