Daou Acquisition Boosts Treasury Wine In Fiscal First Half
Treasury Wine Estates’ acquisition of Paso Robles-based Daou helped lift the company’s sales in its fiscal first half through December. Daou is now Treasury’s leading luxury brand in the U.S. and third-largest overall in volume terms, up 4.5% to 725,000 cases in calendar 2024, according to Impact Databank.
Boosted by the addition of Daou, Treasury’s Americas division posted net sales up 42% at constant currency to A$631 million ($395m), as volume rose 22% to 3.4 million 9-liter cases and EBITS jumped 67% to A$155 million ($97m). Excluding Daou’s contribution—which totaled A$194 million ($121m)—sales were roughly flat against the prior year. Specifically, the Daou Discovery label is now the top-selling Cabernet above $20 in the U.S. market, Treasury said.
Daou also bolstered TWE Americas’ overall luxury portfolio, whose other brands combined for an 8% sales decrease, which the company said was due to “below plan performance in U.S. trade, declines in DTC which was impacted by lower e-commerce sales following reduced discounting on key brands,” and shipment timing. Treasury Americas recently named former Daou president Neb Lukic as president of luxury sales and marketing.
Elsewhere in the U.S. range, Treasury noted that its 2021 acquisition of Frank Family Vineyards continues to pay off, with volume up 4% to 166,000 cases last year, according to Impact Databank. Matua from New Zealand is also climbing, nearing the 900,000-case mark. On the flip side, leading brand by volume 19 Crimes fell 15% to 1.8 million cases.
Globally, the company saw net sales grow 21% to A$1.5 billion ($940m) in the first half on a 3.6% volume increase to 11.2 million 9-liter cases, with EBITS up 35.1% to A$391 million ($245m), driven by Penfolds and Daou. Excluding the addition of Daou, sales grew 5%. The luxury tier continues to drive Treasury’s gains, up 18% organically, and now accounts for 56% of the group’s net sales.
For its full fiscal year ending in June, Treasury is expecting EBITS of approximately A$780 million ($488m), at the lower end of the previously announced range, “driven primarily by reduced expectations” for the Treasury Premium Brands unit.
“Our team has absolute clarity on our portfolio and execution priorities, with Penfolds and the Treasury Americas Luxury businesses the clear drivers of our future growth, with our global premium business playing a critical role to power and support this growth agenda,” said Treasury CEO Tim Ford.—Daniel Marsteller
| Treasury Wine Estates—Top 12 Brands in the U.S. (Thousands of 9-liter case depletions) |
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| Rank | Brand | Origin | 2023 | 2024 | Percent Change1 |
|
|---|---|---|---|---|---|---|
| 1 | 19 Crimes | Australia/California | 2,081 | 1,766 | -15.1% | |
| 2 | Matua | New Zealand | 841 | 856 | 1.8% | |
| 3 | Daou | California | 694 | 725 | 4.5% | |
| 4 | Lindemans | Australia | 549 | 488 | -11.0% | |
| 5 | Sterling Vintners Collection | California | 434 | 388 | -10.5% | |
| 6 | Frank Family Vineyards | California | 159 | 166 | 4.3% | |
| 7 | Gabbiano | Italy | 160 | 164 | 2.7% | |
| 8 | The Pessimist | California | 144 | 127 | -11.9% | |
| 9 | Stags’ Leap | California | 128 | 126 | -1.5% | |
| 10 | Beringer Brothers | California | 110 | 105 | -4.8% | |
| 11 | St. Huberts | California | 89 | 79 | -10.6% | |
| 12 | Beringer Knights Valley | California | 63 | 67 | 6.3% | |
| Total Top 122 | 5,451 | 5,058 | -7.2% | |||
| 1 Based on unrounded data. 2 Addition of columns may not agree due to rounding. Source: IMPACT DATABANK © 2025 |
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