Italian Wine Brands (IWB) H2 2024 earnings summary

Executive summary

• Achieved €401.8 million in revenues for FY 2024, with top brands growing 9% and high margins maintained.

• Adjusted EBITDA reached a record €50.4 million (12.5% margin), exceeding expectations and up 13.7% year-over-year.

• Net result improved to €22.6 million, up 37% year-over-year.

• Over 80% of sales from foreign markets, highlighting strong international presence.

• Board proposes €0.5 per share dividend, yielding 4.6% for 2025.

Financial highlights

• Revenues declined 6.3% vs FY 2023, but profitability improved with EBITDA up 13.8%.

• Export revenues increased 10%, with notable growth in the UK (+20.5%) and Ireland (+125%).

• Digital/web sales in distance selling rose to 46% of the channel mix and grew 5.4% year-over-year.

• EBITDA margin improved from 10.3% to 12.5% year-over-year.

• Free cash flow yield exceeded 18% on average share value.

Outlook and guidance

• Focus on premium, sparkling, and organic wines, targeting high-growth categories and innovation (NO alcohol wine, ready-to-drink).

• Strategic emphasis on the US and emerging markets, leveraging new distribution agreements.

• Continued M&A activity and share buybacks planned, supported by strong cash generation.

• Sustainability initiatives ongoing, with CSRD report to be published in 1H 2025.

• Management expects further improvement in 2025, leveraging integrated structure and cost reductions.