Australian Vintage's 2024 Vintage Grape Crush Report

Australian Vintage Limited (ASX: $AVG) reported a 15% increase in grape crush for the 2024 vintage, reaching over 92 ktonnes. The yields across south-east Australia were impacted by protracted flood recovery from the 2023 vintage and a long dry summer in the inland region, resulting in approximately 20% lower final berry weight. Australian Vintage's owned and leased vineyard yields were in line with the industry, producing over 55ktonnes.

Executive Commentary on 2024 Vintage Grape Crush

This year's total crush of 92ktonnes was higher than the prior year, and in line with normal operating parameters at Buronga. The yields from our irrigated vineyards were up 4% on last year, and down 20% on expectations, with longer recovery than anticipated from our flooded vineyards last year. Quality remains high with wine supply in balance with demand. SGARA (self-generating and regenerating assets) will be assessed as part of the full year results in line with receiving grape pricing information from Wine Australia in July 2024, however from a yield perspective the potential impact of a lower yield is approximately $8 million on pre-tax profit.

Summary of 2024 Vintage Grape Crush Report

Australian Vintage (ASX: $AVG) reported a significant increase in grape crush for the 2024 vintage, despite challenges posed by the protracted flood recovery from the 2023 vintage and a long dry summer in the inland region. The company's owned and leased vineyard yields were in line with the industry, producing over 55ktonnes. The executive commentary highlighted the higher total crush, the impact on yields, and the assessment of SGARA in the full year results. The potential impact of a lower yield on pre-tax profit was estimated to be around $8 million. Australian Vintage remains focused on maintaining high quality and balancing wine supply with demand, with further assessments and updates expected in the coming months.