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Treasury Wine Faces Decline as RNDC Exits California

6/5/2025

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Summary

Story summary

Treasury Wine Estates (TWE) reported a decline in wine sales and U.S. tariffs impacting operations.
Republic National Distributing Company (RNDC) will exit California by September 2, 2025, affecting 25% of TWE's U.S. revenue.
RNDC's exit follows significant contract losses and a 6% drop in U.S. wine sales in 2024.
TWE anticipates FY25 earnings to decrease to $770 million due to weaker consumer demand.
RNDC's withdrawal will impact many employees, prompting the search for alternative distribution solutions.

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Story summary

Treasury Wine Estates (TWE) reported a decline in wine sales and U.S. tariffs impacting operations.
Republic National Distributing Company (RNDC) will exit California by September 2, 2025, affecting 25% of TWE's U.S. revenue.
RNDC's exit follows significant contract losses and a 6% drop in U.S. wine sales in 2024.
TWE anticipates FY25 earnings to decrease to $770 million due to weaker consumer demand.
RNDC's withdrawal will impact many employees, prompting the search for alternative distribution solutions.