Foley Wines (FWL) AGM 2024 Presentation summary

Performance overview

• Revenue reached $62.5m, with operating earnings at $4.13m and profit after tax at $0.47m, reflecting a 60% drop in earnings and 93% decline in profit after tax year-on-year.

• Bottled case sales totaled 561,000, down 4%, with exports down 5.8% against a 21% industry decline.

• Operating cashflow was $4.3m, down from $10.3m, and capex was $5.8m, down from $14m.

• 2024 harvest was 6,404 tonnes, down 21% due to adverse weather, but quality was high.

Market and trading environment

• Global economic challenges and wine oversupply led to downward pricing pressure and increased costs.

• US market saw 33% growth after targeted efforts, while UK/Europe and Australia experienced declines.

• First quarter export cases rose 48% to 110,000, outperforming the industry, with NZ portfolio up 6%.

• Margins were impacted by higher costs from the 2024 vintage.

Strategic priorities and progress

• Continued focus on premiumisation, leveraging portfolio strength, and nurturing long-term relationships.

• Maintained and grew key retail listings, managed wage costs despite inflation, and established new high-quality market routes.

• The Runholder welcomed over 30,000 visitors, supporting wine tourism strategy.