Bloomberg the Company & Products

Bloomberg Anywhere Login

Bloomberg

Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.

Company

Financial Products

Enterprise Products

Media

Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000

Communications

Industry Products

Media Services

Follow Us

Treasury Wine Slumps to 7-Month Low on Forecast: Sydney Mover

Aug. 22 (Bloomberg) -- Treasury Wine Estates Ltd., the world’s second-largest listed wine maker, fell to its lowest in seven months in Sydney trading after forecasting full-year earnings may be as much as 7.6 percent below analyst estimates.

The stock slid 2.3 percent to close at A$4.70, the lowest since Jan. 29. The drop pared Treasury’s gains this year to 0.2 percent, while the S&P/ASX 200 Index has climbed 9.2 percent.

Earnings before, interest, tax, and adjustments for the value of vineyards will range between A$230 million ($207 million) and A$250 million in the 12 months started July, the Melbourne-based company said today. That compares with the A$249 million average of 10 analysts’ estimates compiled by Bloomberg. Net income in the year ended June fell 53 percent to A$42 million, beating the A$26 million average of four analysts’ estimates.

Treasury, whose brands include Penfolds and Beringer, said July 15 that it would write A$160 million off the value of its U.S. unit to discount and destroy old and out-of-date bottles. Earnings in 2014 will be up to A$30 million lower as a result of the actions to deal with an oversupply of cheap wines in the U.S., Treasury said today.

To contact the reporter on this story: David Fickling in Sydney at dfickling@bloomberg.net

To contact the editor responsible for this story: Stephanie Wong at swong139@bloomberg.net

Please upgrade your Browser

Your browser is out-of-date. Please download one of these excellent browsers:

Chrome, Firefox, Safari, Opera or Internet Explorer.