Andrew Peller Ltd (ADWPF) Q4 2025 Earnings Call Highlights: Navigating Challenges with ...
Revenue (Full Year): Increased by $3.8 million or 1% year over year to $389.6 million.
Gross Margin (Q4): $39.7 million or 52.6%, up from 41.8% in the prior year.
Gross Margin (Full Year): 42.8%, up from 39.0% in fiscal '24.
EBITA (Q4): Increased to $13.5 million, up 46% from $9.6 million last year.
EBITA (Full Year): $62.9 million, up 25% from $50.3 million in the prior year.
Cash from Operations: Generated $60.2 million in fiscal '25, compared to $38.1 million in prior year.
Net Debt: Reduced from $208.5 million to $182.4 million at the end of fiscal '25.
Debt to EBITA Ratio: Decreased to just under 3 to 1 from just over 4 to 1.
Inventory: Decreased to $170 million from $192 million at the end of fiscal '24.
Selling and Administration Expenses (Q4): $26.2 million, down $9.6 million from prior year.
Selling and Administration Expenses (Full Year): $103.7 million or 26.6% of sales, compared with 28.4% in fiscal '24.
Warning! GuruFocus has detected 11 Warning Signs with ADWPF.
Release Date: June 12, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Andrew Peller Ltd (ADWPF) achieved record revenue levels in fiscal 2025, excluding the anomaly of the first year of COVID.
The company reported significant improvements in gross margin, EBITA, and free cash flow, while also reducing debt levels.
Andrew Peller Ltd (ADWPF) expanded its market share across all major markets, becoming one of the fastest-growing domestic wine suppliers.
The Ontario Grape Support Program contributed positively to margins, reflecting government support for the domestic wine industry.
The company successfully adapted to changes in Ontario's distribution landscape, adding 4,000 new distribution points and seeing strong demand in big box retail channels.
Sales in the fourth quarter decreased by 11.2% year over year, primarily due to changes in the timing of the Ontario VQA support program.
There was softness in estate sales and the personal winemaking business due to tightening consumer economic conditions.
The company's retail store network saw a moderate decrease in sales following the expanded distribution in Ontario.
Inflationary cost pressures and channel mix continue to impact gross margins, despite improvements.
The real estate market remains challenging, affecting the timing and pricing of the Port Moody property sale.
Q: Can you confirm the $9.8 million received during the quarter from the Ontario Grape Support Program (OGSP) and provide guidance for the year ahead? A: Yes, the $9.8 million reflects a full year allocation under the OGSP, aligning with our fiscal 2025. Moving forward, we aim to record it quarterly, with cash expected in Q2. While it's early to provide exact figures, we anticipate growing our allocation under the program as we increase domestic grape content in our products.
Q: Given the OGSP, should the long-term gross margin target be adjusted from 42%-43% to a higher range? A: Our base business performed well, with margins exceeding 40% even before the OGSP. With the program's inclusion, we expect to stabilize margins over 42.5% in the future, despite short-term headwinds.
Q: What trends have you observed in estate visits and Canadian tourism? A: National pride is high, and we are seeing positive momentum in estate visits. We have enhanced our programming and experiences, such as concert series at Tinhorn Creek and events at Trius, to attract more Canadian visitors, capitalizing on the staycation trend.
Q: How has the Gretzky brand performed recently, and what trends are you seeing? A: The Gretzky brand, a leading VQA brand, has maintained strong momentum despite some negative news cycles. It embodies Canadian values, with significant investments in the local economy, and continues to perform well alongside our other brands.
Q: What is the expected capital expenditure (CapEx) for fiscal 2026, and any updates on the Port Moody property? A: We anticipate CapEx to be in the $15 million to $17 million range, our normal run rate. Regarding Port Moody, we are actively engaged with the development community and will sell the property when the timing and price are right, despite current real estate market challenges.
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
This article first appeared on GuruFocus.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
2 hours ago
- Yahoo
XPeng Stock Surges After Deliveries Soar and Margin Hits Record
Aug 19- XPeng stock surged 3% on Tuesday morning after it reported a sharp acceleration in deliveries and stronger margins in the second quarter, underscoring rising demand for its electric vehicles. This quarter the company delivered 103,181 vehicles, 242% year-over-year, and reported revenue of RMB18.27 billion ($2.55 billion). Gross margin reached 17.3%, while vehicle margin improved to 14.3% as cost reductions and a healthier product mix lifted unit economics. Warning! GuruFocus has detected 1 Warning Sign with XPEV. Management guided third-quarter deliveries to 113,000118,000 units and set revenue expectations near RMB19.6 billionRMB21.0 billion, showing continued top-line momentum. XPeng holds $6.64 billion in cash and equivalents to fund platform upgrades and charging-network expansion. Executives highlighted completed upgrades to next-generation smart and electrification platforms. The quarter narrowed net losses but still recorded an operating loss, so investors will watch execution closely. Analysts revised forecasts and price targets after the report and will watch margin persistence. The retail network of the company and charging network enables it to promote wider distribution in the future, but rivalry among the competitors is high. Tesla and NIO are also competitive to XPeng and the market will be watching cadence of delivery, cost management and the ability of higher volumes to deliver long-term profitability. This article first appeared on GuruFocus. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
3 hours ago
- Yahoo
Waldencast PLC (WALD) Q2 2025 Earnings Report Preview: What To Look For
Waldencast PLC (NASDAQ:WALD) is set to release its Q2 2025 earnings on Aug 19, 2025. The consensus estimate for Q2 2025 revenue is $68.11 million, and the earnings are expected to come in at -$0.04 per share. The full year 2025's revenue is expected to be $308.95 million, and the earnings are expected to be -$0.33 per share. More detailed estimate data can be found on the Forecast page. Waldencast PLC (NASDAQ:WALD) Estimate Trends Warning! GuruFocus has detected 3 Warning Signs with WALD. Over the past 90 days, revenue estimates for Waldencast PLC (NASDAQ:WALD) have increased from $308.19 million to $308.95 million for the full year 2025 and from $357.01 million to $357.81 million for 2026. Conversely, earnings estimates have declined from -$0.31 per share to -$0.33 per share for the full year 2025 and remained flat at -$0.26 per share for 2026. Waldencast PLC (NASDAQ:WALD) Reported History In the previous quarter ending on December 31, 2024, Waldencast PLC's (NASDAQ:WALD) actual revenue was $72.10 million, which beat analysts' revenue expectations of $70.65 million by 2.06%. Waldencast PLC's (NASDAQ:WALD) actual earnings were -$0.18 per share, which missed analysts' earnings expectations of -$0.05 per share by -246.15%. After releasing the results, Waldencast PLC (NASDAQ:WALD) was up by 3.61% in one day. Waldencast PLC (NASDAQ:WALD) 12 Month Price Targets Based on the one-year price targets offered by 5 analysts, the average target price for Waldencast PLC (NASDAQ:WALD) is $3.98, with a high estimate of $5.00 and a low estimate of $2.40. The average target implies an upside of 130.06% from the current price of $1.73. Based on GuruFocus estimates, the estimated GF Value for Waldencast PLC (NASDAQ:WALD) in one year is $0, suggesting a downside of -100% from the current price of $1.73. Based on the consensus recommendation from 6 brokerage firms, Waldencast PLC's (NASDAQ:WALD) average brokerage recommendation is currently 2.2, indicating an "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies strong buy, and 5 denotes sell. This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein. This article first appeared on GuruFocus.
Yahoo
6 hours ago
- Yahoo
Wall Street's $9 Billion Ether Hoard Is Just the Beginning
A shift is underwayand it's not just another crypto sideshow. Ethereum (ETH-USD) is gaining traction as a strategic asset on Wall Street, and the early movers aren't just speculatorsthey're corporate treasuries. BitMine Immersion Technologies, a little-known firm with a bold thesis, has quietly accumulated over $6 billion worth of Ether, positioning itself as the Ethereum equivalent of Michael Saylor's Bitcoin empire. Its chairman, Tom Lee, sees Ethereum not just as programmable money, but as the rails for a new financial internetwhere AI, finance, and decentralized infrastructure all converge. That narrative is catching on. SharpLink Gaming, backed by former BlackRock execs and now sitting on $3 billion in Ether, is pushing the same thesis: own the rails, ride the upside. Warning! GuruFocus has detected 1 Warning Sign with NVO. What's driving this sudden corporate accumulation? Ether's supply mechanics could be part of the answer. Unlike Bitcoin, Ethereum's fee-burning mechanism means supply can shrink over time. Add staking yields, growing use cases, and institutional access via ETFs like BlackRock's ETHA, and the flywheel starts spinning. ETHA, now at $16 billion AUM, is already seeking approval to enable stakingpotentially unlocking dividend-like returns for mainstream investors. If Ethereum becomes the base layer for everything from tokenized assets to AI settlements, the demand for ETH may surge while supply contracts. That's the structural bull case treasury buyers are leaning into. Still, the path forward isn't without friction. Solana and other blockchains are moving faster and cheaper. Circle and Stripe are building their own closed systems, which could sideline Ethereum's shared-infrastructure model. And there's a risk that these treasury buyerswho are being cheered as long-term hodlersmight turn into forced sellers in the next downturn. Joseph Lubin, Ethereum's co-founder, acknowledges it's now a race to lock supply before others do. Analysts like those at Standard Chartered are taking notice, lifting their year-end target to $7,500. But the real test? Whether these buyers hold through the next bear marketor vanish when the music stops. This article first appeared on GuruFocus.
