Treasury Wine Estates Ups Profit Forecast As Business Thrives In ChinaJanuary 21, 2016
Treasury Wine Estates (TWE) has upgraded the profit forecast for its first half, as sharply rising demand for its Penfolds label in China has improved the outlook. TWE chief executive Michael Clarke said yesterday that the company’s pretax earnings for its fiscal first half ending December 31, 2015 were in the A$140-A$150 million range ($97-$104m), well ahead of previous projections of around A$120 million ($83m). Clarke said performance has been strong in the U.S., Australia and Asia, with particularly encouraging results in China.
TWE also expects its full-year earnings to be at the upper end of the A$270-A$290 million ($188-$201m) range the company gave last October, when it acquired most of Diageo’s wine business for roughly $600 million.
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