Oeneo (SBT) H2 23/24 earnings summary

Executive summary

• Turnover for 2023-2024 was €305.7 million, down 12.2% year-over-year, reflecting post-pandemic normalization and global wine market headwinds.

• Recurring operating margin held at 14.0%, in line with expectations, despite lower volumes and challenging market conditions.

• Net profit, Group share, was €28.9 million, a 29.9% decrease year-over-year.

• Cash flow from operations increased to €48.7 million, supporting investments and shareholder returns.

Financial highlights

• Turnover declined 12.2% to €305.7 million compared to the previous year.

• Recurring operating profit fell 21.7% to €42.8 million; operating profit was €41.8 million, down 20%.

• Net profit, Group share, dropped to €28.9 million, with a net margin of 9.5%.

• Free cash flow rose to €27.6 million, up from €21.5 million year-over-year.

• Shareholders' equity stood at €315.0 million; net debt at €64.2 million, net gearing ratio 20.3%.

Outlook and guidance

• Strategy will focus on high-end segments and innovation, with continued cost control to maintain margins.

• Closures division expects growth in 2024-2025 as inventory adjustments end.

• Winemaking division remains cautious due to market uncertainty and adverse weather.

• Board to propose an ordinary dividend of €0.35 per share for 2023-2024.