Diageo Plc · LSE:DGE

Diageo — FY2026 Earnings Presentation

20 slides from Diageo's earnings presentation, Aug 6, 2026

  1. Slide 1: Preliminary Results Fiscal 26

    Preliminary Results Fiscal 26 Sir Dave Lewis, CEO & Nik Jhangiani, CFO 06 AUGUST 2026 Preliminary Results Fiscal 26

  2. Slide 2: Cautionary statements concerning forward-looking statements and non-GAAP financial measures

    Cautionary statementsconcerning forward-looking statementsand non-GAAP financial measures The following presentationcontains ‘forward-looking’ statements. These statementscan be identifiedby the fact that they do not relate only to historicalor currentfacts and may generally, but not always, be iden

  3. Slide 3: Good momentum in Europe, Latin America and Caribbean & Africa

    Good momentum in Europe, Latin America and Caribbean & Africa Focused on increasing competitiveness in North America Free cash flow ahead of guidance, reduced leverage Strong progress made on 3 immediate priorities including operating framework implementation Savings from operating framework changes

  4. Slide 4: F26 full year key performance metrics

    F26 full year key performance metrics Organic Organic net sales operating profit Organic net sales growth in three of five regions ↓ -2.0% ↑ 2.0% Guinness, Smirnoff RTD and Johnnie Walker standout performers Excluding CWS c. -0.5% 1 Excluding CWS c.4.5% 1 Organic operating profit growthmainly due to

  5. Slide 5: Performance across the regions

    Performance across the regions NAM: Working hard to recover competitiveness F26 organic net sales growth by region2 Europe: Good performance in Türkiye and GB, continued strong Guinness momentum Europe APAC: Strong growth in India more than offset by +3.4 % weakness in CWS North America Asia Pacific

  6. Slide 6: Organic net sales decline driven mainly by negative price/mix

    Organic net sales decline driven mainly by negative price/mix F26 reported net sales growth$m Organic net sales decline -3.0% Volume decline in 2 of 5 regions 20,245 -2.0% / -$386m -69 Price/mix mainly adverse mix (US and CWS) -317 Net acquisitions and disposalsnegative given -1.8% Guinness Ghana di

  7. Slide 7: Organic operating profit growth driven by Accelerate savings

    Organic operating profit growth driven by Accelerate savings Movement in operating profit pre -exceptionals $m -0.4% Gross Profitdecline: adverse mix, cost inflation and tariffs offsetting cost efficiencies Organic operating profit +2.0% 134 151 21 80* -80* A&P: reduced development spend, efficienci

  8. Slide 8: Accelerate: $540m savings delivered through the year

    Accelerate: $540m savings delivered through the year • A&P and Trade Investment: reduced development costs and more efficient targeting of spend ($230m) — Procurement through consolidation driving improved rates and new contracts — Smart media buying, dynamic allocation tools and better returns • Su

  9. Slide 9: Strong FCF given lower capex and maturing stock

    Strong FCF given lower capex and maturing stock Includes c.$125m S/4HANA and Free cash flow Middle-East one-off $m WC investment Capex consistent with guidance for 5,636 -1,181 lower spend (F25: $1.5 billion) 45 31 4,531 -817 Disciplined and targeted investment in -752 maturing stock 249 3,211 Lower

  10. Slide 10: EPS growth supported by organic operating growth partly offset by lower fair value remeasurement

    EPS growth supported by organic operating growth partly offset by lower fair value remeasurement Movement in EPS pre-exceptionals cents +0.7% 6.1 3.6* -3.6* -0.3 2.5 -3.9 -4.4 5.0 -2.2 165.3 164.2 -2.2 2.7 F25 EPS Organic Exchange Hyperinflation Fair Value Acquisitions Finance charges Other1 F26 EPS

  11. Slide 11: F26 significant exceptional costs

    F26 significant exceptional costs Exceptional operating charges $m Impairment charge and other related charges Mainly Türkiye goodwill, the Don Papa brand and several other smaller brands 1,489 Restructuring programmes Implementation of new operating framework 752 Charges related to Accelerate and s

  12. Slide 12: Leverage and finance charges

    Leverage and finance charges F26 F25 Movement Closing net debt1 $m (20,482) (21,854) 1,372 Average net debt1 $m (21,684) (21,540) (144) Net interest charge (pre-exceptional items) $m (812) (830) Net other finance charges $m (4) 1 Net pre-exceptional finance charges $m (816) (829) Effective interest

  13. Slide 13: Appendix

    Appendix 13 Preliminary Results Fiscal 26

  14. Slide 14: US Spirits industry and Diageo consumption growth

    US Spirits industry and Diageo consumption (Nielsen/NABCA) growth; Diageo US spirits shipments, depletions and consumption growth US spirits Diageo Nielsen/NABCA sales US spirits Growth vs prior year 1 F26 growth vs prior year Industry Diageo F26 -1.7% -1.4% -2.0% -6.9% -9.1% -6.9% -7.0% -7.0% -11.5

  15. Slide 15: Historic growth across regions - organic

    Historic growth across regions- organic F25 F26 Net sales Q1 Q2 H1 Q3 Q4 H2 FY Q1 Q2 H1 Q3 Q4 H2 FY North America 2.3 (0.1) 1.0 6.9 (2.3) 2.0 1.5 (2.7) (10.4) (6.8) (9.4) (10.7) (10.1) (8.4) Europe 1.0 0.7 0.8 (0.4) 0.0 (0.2) 0.3 3.4 2.2 2.7 8.8 0.7 4.1 3.4 Asia Pacific (10.9) 5.6 (2.5) 1.6 (9.8) (4

  16. Slide 16: Financial/legal appendix: Definitions and reconciliation of non-GAAP measures

    Financial/legal appendix : Definitions and reconciliation of non-GAAP measures to GAAP measures Diageo’s strategic planning process is based on certain non-GAAP measures, including organic movements. These non-GAAP measures are chosen for planning and reporting,and some of them are used for incentiv

  17. Slide 17: Calculation of organic movements

    Continued from the previous page Calculation of organic movements An explanation of non-GAAP measures, including organic movements,is set out on pages 213-221of Diageo’s Annual Report for the year ended 30 June 2025. (a) Exchange rates Exchange in the organic movementcalculation reflectsthe adjustme

  18. Slide 18: Exceptional items

    Continued from the previous page (c) Exceptional items Exceptional items are those that in management’s judgement need to be disclosed separately. Such items are included in the income statementcaption to which they relate, and form part of the segmental reporting, and are excluded from the organic

  19. Slide 19: Adjustment in respect of hyperinflation

    Continued from the previous page Adjustment in respect of hyperinflation The group's experience is that hyperinflationaryconditionsresultin price increases that include both normal pricing actions reflectingchanges in demand, commodity and other input costs or considerationsto drive commercial compe

  20. Slide 20: Investor Relations contacts

    Sonya Ghobrial Head of Investor Relations Sonya.Ghobrial@diageo.com +44 (0)7392 784 784 Andy Ryan Investor Relations Director Andrew.Ryan@diageo.com +44 (0)7803 854 842 Grace Murphy Investor Relations Director Grace.Murphy@diageo.com +44 (0)7514 726 167 20 Preliminary Results Fiscal 26

Diageo — FY2026 Earnings Presentation on 6ix