REG - Fevertree Drinks PLC - FY25 Preliminary Results to 31 December 2025
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RNS Number : 7875X Fevertree Drinks PLC 24 March 2026
Fevertree Drinks plc
FY25 Preliminary Results to 31 December 2025
Positive strategic progress during the year
Comfortable with market expectations for 2026
Highlights
· Fever-Tree brand revenue increased 4% year-on-year (constant
currency), accelerating to +5% in H2, reflecting improving momentum across
regions and further market share gains.
· Diversification gaining scale, with 45% of Group revenue now
generated from products beyond tonic, broadening Fever-Tree's relevance across
a wider range of adult socialising occasions.
· Strong US brand momentum maintained throughout the Molson Coors
transition, establishing a scalable platform for accelerated growth in 2026.
· UK revenue down 2% but performance improved in the second half,
driven by a strong Off-Trade performance
· Europe delivered continued market share gains in premium mixers, with
Ginger Beer a standout performer, delivering double-digit growth and
reinforcing category leadership across the region.
· Adjusted EBITDA includes a post period end adjustment to provide for
a potential incremental £2.8m charge relating to the UK Extended Producer
Responsibility ("EPR") Levy.* Excluding this EPR-related provision, adjusted
EBITDA was £45.2m, in line with previous guidance.
· The Group completed a £100m share buyback, funded by strong
operating cash flow, working capital efficiencies and transaction proceeds
from the Molson Coors share issue.
· A further £30 million share buyback is in progress, highlighting our
cash generative model.
£m FY25 FY24 % YoY % CC
Revenue
US 131.9 128.0 3% 6%
UK 108.4 111.1 (2%)
Europe (Fever-Tree brand revenue) 94.7 92.7 2% 2%
ROW 37.7 32.2 17% 22%
Total Adjusted Fever-Tree Revenue 372.7 364.0 2% 4%
GDP brand revenue 2.6 4.5 (42%) (43%)
Total Adjusted Revenue 1 375.3 368.5 2% 3%
Adjusted EBITDA 2 42.4 50.7 (16%)
Adjusted EBITDA margin 3 11.3% 13.7% (240bps)
Diluted EPS (pence per share) 18.62 20.85 (11%)
Normalised EPS (pence per share) 24.12 28.01 (14%)
Ordinary Dividend (pence per share) 17.31 16.97 2%
Cash 91.1 96.0 (5%)
*The Group remains confident in its view that certain glass formats that we
sell in the On-Trade should be classified as non-household packaging for EPR
purposes and therefore be exempt from the levy. This is in line with the
position taken by the UK government in relation to other packaging
regulations. As previously disclosed, the Environment Agency has challenged
this view, and in recent weeks we have launched a formal legal challenge. As a
result of this development, and given there is uncertainty in the outcome,
from an accounting perspective the Board now considers it prudent to provide
for the potential incremental EPR liability.
FY26 outlook
Notwithstanding the current uncertain geopolitical outlook, our expectations
for 2026 remain unchanged and in line with market expectations.
Tim Warrillow, CEO and Co-founder of Fever-Tree, commented:
"2025 was a pivotal year for Fever-Tree. The strategic partnership with Molson
Coors in the US creates a significant opportunity to take Fever-Tree to the
next level in our largest growth market. The transition has progressed well,
and it has been particularly encouraging to see that underlying brand momentum
has remained strong throughout.
Across our markets, the long-term trends shaping adult socialising, namely
premiumisation, moderation and longer, lighter serves, continue to play
directly to our strengths. Fever-Tree is increasingly enjoyed as the world's
leading premium mixer, but also as a premium soft drink. Products beyond tonic
now represent 45% of Group revenue, a clear sign that our diversification
strategy is resonating with consumers.
As we enter 2026, Fever-Tree does so from a position of strength. We have a
premium brand with unmatched credentials, an ever-growing market leadership
position, upweighted marketing plans, a broader and more relevant portfolio,
and scalable platforms in place across our priority markets.
Notwithstanding the current uncertain geopolitical outlook, our expectations
for 2026 remain unchanged and in line with market expectations."
There will be live audio webcast on Tuesday 24 March 2026 at 10:00am BST. The
webcast can be accessed via:
https://www.investis-live.com/fever-tree/69a7029d4e7434002408c48c/rtjdrt
(https://www.investis-live.com/fever-tree/69a7029d4e7434002408c48c/rtjdrt)
For more information please contact:
Investor queries
Steve Nightingale, Investor Relations Director (Interim) I
steve.nightingale@fever-tree.com (mailto:steve.nightingale@fever-tree.com) I
+44 (0)7951 849 564
Media queries
Oliver Winters, Director of Communications I oliver.winters@fever-tree.com
(mailto:oliver.winters@fever-tree.com) I +44 (0)770 332 9024
Nominated Advisor and Broker - Investec Bank plc
David Flin I +44 (0)20 7597 5970
Corporate Broker - Jefferies International Limited
Ed Matthews I +44 (0)20 7029 8000
Financial PR advisers - FGS Global
Faeth Birch +44 (0)7768 943 171; Anjali Unnikrishnan +44 (0) 7826 534 233
2025 Overview
2025 has been a year of notable strategic progress. While the operating
environment has remained challenging, we have continued to strengthen the
foundations of the business, increase our market leadership position, broaden
the relevance of the brand and position Fever-Tree for the next phase of
growth.
At a Group level, adjusted Fever-Tree brand revenue increased by 4% at
constant currency, supported by improving momentum through the second half,
with brand revenue up 5% in H2. Adjusted EBITDA was down 16% on last year, as
improved profitability in the rest of the Group was offset by the initial
impact of the US transition into the partnership with Molson Coors With a
strong balance sheet and positive cash generation we announced our first ever
share buyback, returning £100m to shareholders during 2025.
Business Unit Highlights
In the United States, revenue increased 6% at constant currency, reflecting
continued underlying brand momentum through the transition to the Molson Coors
partnership. The integration of Fever-Tree into Molson Coors' national
distribution network progressed well during the year, with the brand now
embedded across approximately 400 regional distributors. Importantly, retail
sales growth and value share gains were maintained across our core categories,
demonstrating the strength of the brand during a period of operational change.
As previously outlined, 2025 represents the first year under the new
partnership model, with Fever-Tree now recognising a share of US profits
rather than consolidating the full operating margin. While this structural
change, alongside transition-related costs and increased marketing investment,
has impacted reported profitability in the year, it establishes a
significantly broader and more scalable platform for profitable growth. With
the distributor transition largely embedded and incremental marketing
investment planned to build through 2026, we see a clear pathway to
accelerating revenue growth in our largest market.
In the UK, revenue declined 2% on last year, with a much-improved second-half
performance, offsetting the 6% decline in the first half. The Off-Trade
delivered a robust performance with revenue growing 5% during H2, resulting in
full-year growth of 2%. Particularly pleasing was the performance of our
beyond tonic portfolio in this channel, which grew at 16% reflecting growing
consumer awareness and adoption of the range, alongside continued expansion in
distribution as Fever-Tree increasingly resonates with consumers as a premium
soft drink brand beyond mixers.
The wider UK On-Trade environment remained challenging throughout 2025. Higher
labour costs, duty increases and ongoing consumer caution continued to
pressure discretionary spending, weighing on spirits volumes, particularly
gin, and by extension the mixer category. While Fever-Tree is not immune from
these dynamics, we remain the clear market leader by value across both
channels. UK On-Trade revenue declined 9% for the year, although the rate of
decline eased in the second half.
Across the wider UK business, our beyond tonic portfolio performed strongly,
with revenue growing 6%, led by standout growth in Ginger Beer and Pink
Grapefruit. Tonic revenue declined 6%, reflecting softer gin demand and
continued On-Trade pressure, while the broader portfolio continues to
diversify the revenue base and expand the brand's relevance across more
drinking occasions.
In Europe, revenue increased 2% year on year at constant currency, led by
strong performances in France and Benelux, supported by ongoing execution of
our premium positioning strategy, with softer conditions in Germany partially
offsetting strength in other core markets. Underlying depletions growth
remained positive, with continued market share gains in premium mixers. Ginger
Beer was again a standout performer, delivering double-digit growth and
reinforcing our category leadership.
Revenue in the Rest of the World increased 22% at constant currency,
reflecting strong underlying momentum across several markets, alongside some
favourable order phasing in the second half. Australia, New Zealand and Canada
were standout contributors, with continued growth across both tonic and the
broader portfolio. In Australia in particular, premium soft drinks and Ginger
Beer performed strongly, supported by local production which has improved
operational efficiency and service levels.
Successfully Diversifying the Portfolio
The Group's overall performance reflects the increasing breadth of the
Fever-Tree proposition. Products beyond tonic now represent 45% of Group
revenues, underlining the progress we have made in expanding the brand's
relevance across a wider range of adult socialising occasions.
If there is one product that illustrates the success of our diversification
strategy, it is Ginger Beer. Fever-Tree is now the largest global Ginger Beer
brand by value and momentum remains strong geographically, with category
leadership in the US and growing traction across Europe, particularly in
France, where we continue to invest behind the ginger beer opportunity. Its
success lies in its versatility. Ginger Beer performs strongly across both
alcoholic and non-alcoholic occasions, equally relevant in classic mixed
drinks and cocktails, or enjoyed as a premium soft drink. This dual role
underpins our innovation and marketing approach, with formats, distribution
and messaging increasingly tailored to support both mixing and standalone
consumption.
How we have evolved our Ginger Beer offer provides a clear blueprint for how
we think about the broader portfolio: products that are premium, versatile and
relevant across a wide range of adult socialising occasions, whether alcohol
is present or not, and across both the On- and Off-Trade. This versatility is
supported by continued marketing investment across our markets.
Investing in Marketing and Innovation to Drive Growth
During the year, we continued to invest behind the brand, returning to TV
advertising across several markets and focusing on premium storytelling,
advocacy and visibility across both the On- and Off-Trade. This supports our
tonic range, while also reinforcing the growing relevance of our broader
portfolio, including premium soft drinks and non-alcoholic formats. Alongside
this, we launched our Signature G&T initiative in the On-Trade, working
with venues to offer a high-quality gin and tonic at a more accessible price
point, helping to protect the G&T occasion and support tonic volumes in a
challenging trading environment.
In the UK, we launched two non-alcoholic ready-to-drink can formats - a Gin
& Tonic and an Italian Spritz - designed to meet the growing consumer
demand for moderation without compromising on quality, whilst retaining a
sophisticated flavour. While much of the category's growth to date has been
concentrated on beer alternatives, we see a clear opportunity to bring a
genuinely premium proposition to a wider set of occasions and early signs have
been encouraging. In Australia we have developed a new premium "Lemon, Lime
and Bitters" soft drink in partnership with Angostura Bitters, this
collaboration will bring together two premium category leaders and further
strengthen our bar quality credentials in the market.
Outlook
As we enter 2026, Fever-Tree does so from a position of strength. We have a
premium brand with unmatched credentials, an ever-growing market leadership
position, upweighted marketing plans, a broader and more relevant portfolio,
and scalable platforms in place across our priority markets.
Notwithstanding the current uncertain geopolitical outlook, our expectations
for 2026 remain unchanged and in line with market expectations.
Financial Review
£m FY25 FY24 Constant currency change
Revenue
US 131.9 128.0 6%
UK 108.4 111.1 (2%)
Europe Fever-Tree brand revenue 94.7 92.7 2%
ROW 37.7 32.2 22%
Total Adjusted Fever-Tree Brand Revenue 372.7 364.0 4%
GDP brand revenue 2.6 4.5 (43%)
Total Adjusted Revenue 375.3 368.5 3%
The Group made positive strategic and operational progress in 2025, managing a
transition in our key US market and delivering against the broadening
opportunity beyond tonic to deliver constant currency revenue growth of 4%
year-on-year in Adjusted Fever-Tree brand revenue.
Adjusted EBITDA of £42.4m was a reduction of 16% year-on-year, as improved
profitability in the rest of the Group was offset by the initial impact of the
US transition into the partnership with Molson Coors.
Working capital management remains a key focus and the Group delivered a
further improvement this year to 16.7% of adjusted revenue (2025: 20.3%),
reflecting underlying efficiencies alongside the transfer of elements of US
working capital to Molson Coors. We expect the Group's working capital
profile to further improve as Molson Coors onshore production to the US over
the medium term and as a result remain confident of our ability to generate
strong operating cash flows.
As a reflection of this confidence our share buyback programme returned £100m
to shareholders in 2025 and has been extended by a further £30m in 2026,
whilst the Board recommends a final dividend of 11.34 pence per share, an
increase of 2% year-on-year.
Segmental P&L analysis
£m Adjusted revenue Adjusted EBITDA Adjusted EBITDA %
FY25
US 131.9 8.2 6.3%
Rest of Group 243.4 57.4 23.6%
Total Segments 375.3 65.6 17.5%
Central (23.2) (6.2%)
Total Group 375.3 42.4 11.3%
FY24
US 128.0 18.5 14.4%
Rest of Group 240.5 53.9 22.4%
Total Segments 368.5 72.4 19.6%
Central (21.7) (5.9%)
Total Group 368.5 50.7 13.7%
US segment
The US segment delivered Adjusted EBITDA of £8.2 million (2024: £18.5
million) at a margin of 6.3% (2024: 14.4%). The reduction in Adjusted EBITDA
margin year on year reflects short term transition-related cost inefficiencies
alongside the impact of sharing US profits with Molson Coors under the
strategic partnership.
Fever-Tree wound down the larger of our US local bottling arrangements ahead
of entering the partnership and as a result the majority of product for the US
is currently being produced in the UK. Whilst this has exposed the
partnership P&L to a tariff impact, we are working to mitigate this impact
ahead of the prospective onshoring of US production in the medium term, which
alongside Molson Coors' operational capabilities and economies of scale will
unlock significant incremental US profitability over the medium term.
The benefits of the strategic partnership with Molson Coors will allow the
Group to leverage their expertise, scale and total beverage ambition to
deliver against the US growth opportunity. Alongside this, the strong
platform provided by the new distribution network will be further amplified by
an upweighting in US marketing investment over the initial years of the
partnership, reflecting both parties' shared confidence in the significant US
opportunity ahead.
Rest of Group segment
The Rest of Group segment delivered a 6% uplift in Adjusted EBITDA to £57.4
million (2024: £53.9 million) at a margin of 23.6% (2024: 22.4%). This
improvement reflects a continuation of the underlying operational improvements
and initiatives from recent years, whilst also allowing for an increase in
marketing investment year-on-year. We believe there remains opportunity to
deliver further underlying margin improvements over the medium term, which
will allow us to continue to invest behind the brand and broaden opportunities
beyond tonic.
Adjusted EBITDA includes a £4.4 million cost relating to the UK Extended
Producer Responsibility ("EPR") levy. As previously disclosed, £1.6 million
was expensed in the year corresponding to glass formats sold in the Off-Trade.
We continue to believe that certain glass formats that we sell in the On-Trade
should be classified as non-household packaging for EPR purposes and therefore
be exempt from the levy. This is in line with the position taken by the UK
government in relation to other packaging regulations. As previously
disclosed, the Environment Agency has challenged this view, and in recent
weeks we have launched a formal legal challenge. As a result of this
development, and given there is uncertainty in the outcome, from an accounting
perspective the Board now considers it prudent to provide for the potential
EPR liability relating to the glass formats we sell in the On-Trade, being
£2.8 million in the FY25 results. However, we remain confident in our
position that we have complied with our obligations to date, and should we be
successful in our legal challenge, this provision will be reversed in a
subsequent period.
Central
Central costs increased to £23.2 million (£21.7 million in 2024), driven by
incremental staff costs and general overhead inflationary impacts. We are
focused on delivering consistent reductions in central cost as a percentage of
Adjusted Revenue going forward, as we leverage the technological investments
and the improvements in operational processes we have made in recent years.
Other operating expenditure
Depreciation charges reduced to £3.6 million (2024: £6.5 million),
reflecting the transfer of US warehousing arrangements previously accounted
for under IFRS 16 to Molson Coors, with amortisation increasing to £3.6
million (2024: £3.1 million) reflecting the amortisation of the global
operations technology programme. Meanwhile, share-based payments increased to
£5.6 million (2024: £3.3 million) in line with expectations. Following these
movements, the Group delivered operating profit before exceptional items of
£29.7 million (2024: £37.8 million), with the decline year-on-year driven by
the short-term impact on US segment profitability of transition inefficiencies
as well as the sharing of profits with Molson Coors under the partnership.
The Group recognised exceptional items of £5.2million (2024: £5.0
million). These are one-off costs which related to the transition to the
Molson Coors partnership and included final costs in relation to the winding
down of the historic primary US bottling relationship, restructuring and
redundancy costs of Fever-Tree USA staff who were not transferred to Molson
Coors (including local US finance and operations teams) and advisory fees
incurred in relation to the transaction.
Tax
Effective tax on profits relating to the current period was 24.4% (2024:
31.3%). The decrease in effective tax rate year on year is due to tax
adjustments relating to prior periods and deferred tax impacts.
Earnings per share
The basic earnings per share for the period are 18.78 pence (2024: 20.90
pence) and the diluted earnings per share for the period are 18.62 pence
(2024: 20.85 pence). In order to compare earnings per share period on
period, earnings have been adjusted to exclude amortisation, exceptional items
and the UK statutory tax rates have been applied (disregarding other tax
adjusting items). On this basis, normalised basic earnings per share for the
period are 24.12 pence (2024: 28.01 pence), a decrease of 14%.
Molson Coors transaction
As part of the long-term strategic partnership, Molson Coors acquired an 8.5%
stake in Fevertree Drinks plc (post-issue) for consideration of £71.0
million. To assist with the transition of operations, Molson Coors acquired
the local trading entity Fevertree USA Inc for consideration of $25.4 million
in cash.
Capital Expenditure
Capital expenditure additions were £4.9 million in 2025 (2024: £14.1
million). Tangible fixed asset additions remain low and included investments
in innovation projects and reusable packaging in Germany. Intangible asset
additions were £1.6 million, including investments in innovation projects.
Balance sheet and working capital
Working capital has reduced year-on-year by 16% to £62.7 million (2024:
£74.9 million), improving to 16.7% of Adjusted Revenue (2024: 20.3%). The
significant improvement in working capital reflects on-going improvement in
the Rest of Group working capital profile and the fact that US finished goods
inventory and trade receivables now sit with Molson Coors under the
partnership arrangement. Going forward, the Group's working capital
requirements relating to the US have reduced significantly and consist of UK
produced inventory in-transit to the US alongside amounts receivable from
Molson Coors in relation to delivered inventory and any outstanding royalty
fees.
Cash generated from operations of £36.8 million (2024: £75.9million),
includes the impact of exceptional items (£5.2 million) related to the
transition to the Molson Coors partnership. In addition, the initial
transfer of US working capital to Molson Coors was achieved via the sale of
Fevertree USA Inc. Whilst that transfer has contributed to a significant
improvement in the Group's working capital position, it is not reflected in
the calculation of cash generated from operations. Hence, cash generated
from operations at 86.2% of Adjusted EBITDA (2024: 149.8%) does not fully
reflect the improvement in the Group's underlying working capital profile.
Cash and Dividend
The combination of transaction inflows and working capital improvements drove
significant increases in the Group's cash position and finance income
generated in the year. These improvements were returned to shareholders
through the Group's share buyback programme and the Group ended the year with
a robust cash position of £91.1m (2024: £96.0 million). Going forward, the
local working capital and marketing investment required to drive the US
opportunity will be increasingly funded by Molson Coors under the partnership
arrangement. As US production is on-shored over the medium term, the Group's
US-related working capital, which largely now relates to UK-produced inventory
in transit to the US, will further reduce, underpinning our confidence in the
Group's ability to drive further working capital improvements and strong
operating cash flow conversion going forward.
The Group's Capital Allocation framework remains unchanged. We intend to
retain sufficient cash for investment opportunities, primarily in operational
expenditure, including increased marketing spend in growth regions. We also
remain vigilant regarding M&A opportunities that would further assist with
the delivery of our strategy. However, where the Board considers there to be
surplus cash generated by our asset-light, cash compounding business model we
will consider additional distributions to shareholders.
This is supported by the Group's initiation of a £100m share buyback
programme in 2025. A total of 12,033,912 shares were bought back and
cancelled for a total consideration of £100m at an average price of £8.31
during the year (this has been fully settled in cash as at 31 December 2025).
Transaction costs associated with the buyback program amounted to £0.5m.
And as a reflection of continued confidence in the financial strength of the
Group and cash flow generation, we have announced the extension of the buyback
programme by a further £30 million to run in 2026.
The Group also remains committed to a progressive dividend policy,
recommending a final dividend of 11.34 pence per share for 2025 (2024: 11.12
pence), bringing the total to 17.31 pence (2024: 16.97 pence). If approved at
the AGM on 9th of June 2026, the final dividend will be paid on 26th of June
2026 to shareholders on the register on 22nd of May 2026.
Appendix: Changes in P&L presentation
Under the license agreement with Molson Coors, the US partnership's P&L
sits within Molson Coors' financials, with Fever-Tree recognising a share of
the partnership's profits via a royalty fee invoiced to Molson Coors. This
represents a significant change in the way in which US revenues and costs are
recognised in Fever-Tree's financial statements, which consequently impacts
consolidated Group revenue growth and profit margin percentages in our
statutory reported financials. Gross margin per statutory reported
financials is no longer a comparable metric with historic Fever-Tree reporting
due to the impact of consolidating Fever-Tree's US gross margin generated
under the license agreement, which consists of a combination of royalty income
and sale of finished goods and ingredients to Molson Coors at cost.
We will provide the following reconciliations going forward that will allow us
to focus reporting on revenue and EBITDA margins on a basis consistent with
historic reporting.
1. Reconciliation of statutory reported revenue to Adjusted Revenue
Statutory reported revenue for the US in 2025 consists of a combination of
January trading under the previous subsidiary model, eleven months of royalty
fees earned under the partnership arrangement and eleven months of revenue
generated from UK-produced finished goods and ingredients for US production
invoiced at cost to Molson Coors. We then adjust statutory reported US revenue
to US revenue as invoiced to US customers in January under the previous
subsidiary model and as invoiced to US customers from February by Molson Coors
under the partnership. This will provide a view of US revenue on a basis
that is both consistent with historic Fever-Tree US revenue reporting and
wider revenue reporting for the rest of the Group.
Adjusted EBITDA can then be divided into Adjusted Revenue to provide a
consistent basis on which to assess Fever-Tree margin progression.
£m Reported Group Revenue 2025 US Adj Adjusted Revenue 2025 Group Revenue
2024
US 81.6 50.3 131.9 128.0
Rest of Group:
UK 108.4 108.4 111.1
Europe 97.3 97.3 97.2
Rest of World 37.7 37.7 32.2
Total Rest of Group 243.4 243.4 240.5
Total Group 325.0 50.3 375.3 368.5
2. Segmental analysis
Under the Molson Coors' partnership and associated license agreement, the US
now represents a distinct operating segment from the rest of Fever-Tree's
global business. As such, we now provide a segmental analysis of profitability
with two regional segments and a separate disclosure of central costs:
· US segment
· This represents the profits directly attributable to our US
subsidiary in January 2025 alongside eleven months of royalty fee income from
Molson Coors (representing Fever-Tree's share of the partnership P&L),
less any other directly attributable costs, largely relating to our small
local US Fever-Tree team and local office costs.
· Rest of Group segment
· This represents profits directly attributable to our UK, European and
RoW regions, including gross profit from sales in those regions, marketing
spend, sales and marketing staff costs, and local subsidiary costs in the
instance of Germany and Australia.
· Central
· This represents central salary costs including Board and senior
management, innovation, central finance, operations and corporate teams and
central overheads, including IT, insurance, HQ costs and listed company costs.
CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 DECEMBER 2025
2025 2024
£m £m
Revenue 325.0 368.5
Cost of sales (210.5) (230.1)
Gross profit 114.5 138.4
Administrative expenses (90.0) (105.6)
Adjusted EBITDA 42.4 50.7
Depreciation (3.6) (6.5)
Amortisation (3.6) (3.1)
Share-based payment charges (5.6) (3.3)
Gain on sale of fixed assets 0.1 -
Operating profit before exceptional item 29.7 37.8
Exceptional item (5.2) (5.0)
Operating profit 24.5 32.8
Finance income 5.8 3.3
Finance expense (0.4) (0.6)
Profit before tax 29.9 35.5
Tax expense (7.3) (11.1)
Profit for the year 22.6 24.4
Items that may be reclassified to profit or loss
Foreign currency translation difference of foreign operations (0.8) 0.6
Effective portion of cash flow hedges (0.1) 0.3
Related tax - -
Total other comprehensive income (0.9) 0.9
Total comprehensive income for the year 21.7 25.3
Earnings per share
Basic (pence) 18.78 20.90
Diluted (pence) 18.62 20.85
CONSOLIDATED STATEMENT OF FINANCIAL POSITION
AT 31 DECEMBER 2025
2025 2024
£m £m
Non-current assets
Property, plant and equipment 11.7 20.9
Intangible assets 61.5 65.7
Deferred tax asset 1.5 0.5
Other non-current assets 4.0 4.1
Total non-current assets 78.7 91.2
Current assets
Inventories 37.1 45.8
Trade and other receivables 79.3 86.1
Derivative financial instruments 0.2 0.4
Corporation tax asset 0.6 2.4
Cash and cash equivalents 91.1 96.0
Total current assets 208.3 230.7
Total assets 287.0 321.9
Current liabilities
Trade and other payables (53.7) (57.0)
Lease liabilities (0.8) (3.6)
Corporation tax liability (1.0) (0.7)
Derivative financial instruments - (0.2)
Provisions (2.8) -
Total current liabilities (58.3) (61.5)
Non-current liabilities
Other payables (0.7) (0.5)
Lease liabilities (2.8) (8.5)
Deferred tax liability (2.1) (4.7)
Total non-current liabilities (5.6) (13.7)
Total liabilities (63.9) (75.2)
Net assets 223.1 246.7
Equity attributable to equity holders of the company
Share capital 0.3 0.3
Share premium 0.2 54.8
Capital redemption reserve 0.1 0.1
Cash flow hedge reserve - 0.1
Translation reserve (0.5) 0.3
Retained earnings 223.0 191.1
Total equity 223.1 246.7
CONSOLIDATED STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 DECEMBER 2025
2025 2024
£m £m
Operating activities
Profit before tax 29.9 35.5
Finance expense 0.4 0.6
Finance income (5.8) (3.3)
Depreciation 3.6 6.5
Amortisation of intangible assets 3.6 3.1
Share-based payments charges 5.6 3.3
Gain on disposal of fixed assets (0.1) -
Decrease in impairment losses on receivables and inventories (1.6) (1.0)
net of recoveries
Net exchange differences (1.5) 0.6
34.1 45.3
(Increase)/decrease in trade and other receivables (18.7) 5.0
(Increase)/decrease in inventories (12.4) 23.4
Increase in trade and other payables 31.0 1.7
Increase in provisions 2.8 -
Decrease in derivative asset - 0.5
2.7 30.6
Cash generated from operations 36.8 75.9
Income taxes paid (8.8) (5.7)
Net cash flows generated from operating activities 28.0 70.2
Investing activities
Purchase of property, plant and equipment (3.3) (3.3)
Investment in intangible assets (1.6) (10.8)
Interest received 5.7 3.3
Net proceeds from sale of subsidiary 18.0 -
Net cash flows generated from / (used in) investing activities 18.8 (10.8)
Financing activities
Interest paid (0.1) (0.1)
Dividends paid (20.7) (19.6)
Payment of lease liabilities (1.2) (3.9)
Shares Issued 71.2 -
Share buyback program (100.5) -
Net cash flows used in financing activities (51.3) (23.6)
Net (decrease)/ increase in cash and cash equivalents (4.5) 35.8
Cash and cash equivalents at beginning of period 96.0 59.9
Effect of movements in exchange rates on cash held (0.4) 0.3
Cash and cash equivalents at end of period 91.1 96.0
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
1. Basis of Preparation
The financial information contained in this results announcement has been
prepared on the basis of the accounting policies set out in the statutory
financial statements for the year ended 31 December 2025. Whilst the financial
information included in this announcement has been computed in accordance with
the recognition and measurement requirements of UK adopted international
accounting standards, this announcement does not itself contain sufficient
disclosures to comply with UK adopted international accounting standards.
The financial information set out above does not constitute the company's
statutory accounts for 2025 or 2024. Statutory accounts for the years ended 31
December 2025 and 31 December 2024 have been reported on by the Independent
Auditor. The Independent Auditor's Report on the Annual Report and Financial
Statements for 2025 and 2024 was unqualified, did not draw attention to any
matters by way of emphasis, and did not contain a statement under 498(2) or
498(3) of the Companies Act 2006. Statutory accounts for the year ended 31
December 2024 have been filed with the Registrar of Companies. The statutory
accounts for the year ended 31 December 2025 will be delivered to the
Registrar in due course.
New Accounting Policies
The following were newly adopted accounting policy in the year:
Royalty Income
Royalty income represents variable consideration receivable from Molson Coors
Beverage Company for the exclusive distribution of Fever-Tree branded
beverages in the United States. In accordance with IFRS 15, these royalties
are treated as sales‑based royalties and are recognised when Molson Coors
completes its subsequent sale to US customers. At this point, the Group
becomes entitled to the variable consideration. The royalty amount is
calculated based on sales reported in the joint income statement, after
deducting certain operational costs.
Provisions
Provisions are recognised when the Group has a present legal or constructive
obligation as a result of past events, it is probable that an outflow of
resources will be required to settle the obligation, and the amount can be
reliably estimated. Provisions are measured at the present value of the
expenditures expected to be required to settle the obligation using a pre-tax
rate that reflects current market assessments of the time value of money and
the risks specific to the obligation. The increase in the provision due to
passage of time is recognised as a finance cost.
2. Revenue
An analysis of turnover by geographical market is given below:
2025 2024
£m £m
United Kingdom 108.4 111.1
United States of America 81.6 128.0
Europe 97.3 97.2
Rest of the World 37.7 32.2
325.0 368.5
3. Earnings per share
2025 2024
£m £m
Profit
Profit used in calculating basic and diluted EPS 22.6 24.4
Number of shares
Weighted average number of shares for the purpose of basic earnings per share 120,336,385 116,726,190
Weighted average number of dilutive employee share options outstanding 1,065,514 289,183
Weighted average number of shares for the purpose of diluted earnings per 121,401,899 117,015,373
share
Basic earnings per share (pence) 18.78 20.90
Diluted earnings per share (pence) 18.62 20.85
Normalised EPS 2025 2024
£m £m
Profit
Reported profit before tax 29.9 35.5
Add back:
Amortisation 3.6 3.1
Exceptional Items 5.2 5.0
Adjusted profit before tax 38.7 43.6
Tax - assume standard rate (25%) (2024: 25%) (9.7) (10.9)
Normalised earnings 29.0 32.7
Number of shares 120,336,385 116,726,190
Normalised basic earnings per share (pence) 24.12 28.01
Normalised EPS is an Alternitive Performance Measure ("APM") in which earnings
have been adjusted to exclude amortization and exceptional items. The UK
statutory tax rates in force at the year end have been applied (disregarding
other tax adjusting items for comparability). The treatment is consistent
period on period. This has been provided to assist users compare performance
period to period, without the impact of amortisation and exceptional items. As
this is an APM, this may not be comparable to other companies.
4. Dividends
Dividends paid:
2025 2024
In respect of the prior financial year
Pence per share 11.12 10.90
Total (£m) 13.7 12.7
In respect of the period ended 30 June
Pence per share 5.97 5.85
Total (£m) 7.0 6.8
Total paid in the year (£m) 20.7 19.5
The Directors are proposing a final dividend of 11.34 pence per share,
totaling £13.1m for 2025. This dividend has not been accrued in the
consolidated statement of financial position.
5. Adjusted EBITDA
Analysis within this results announcement refers to adjusted EBITDA. The Group
believes adjusted EBITDA to be a key indicator of underlying operational
performance, adjusting operating profit for exceptional items and several
non-cash items. As a consequence of these adjustments, the Group believes that
adjusted EBITDA represents normalised operating profits. Adjusted EBITDA for
the year ended 31 December 2025 is operating profit of £24.5m before
depreciation of £3.6m, amortisation of £3.6m, gain on sale of fixed assets
of £0.1m, share based payment charges of £5.6m and exceptional items of
£5.2m. Adjusted EBITDA is an appropriate measure since it represents to users
a normalised, comparable operating profit, excluding the effects of the
accounting estimates, exceptional items and non-cash items mentioned above.
The definition for adjusted EBITDA as defined above is consistent with the
definition applied in previous years. This measure is not defined in the
International Financial Reporting Standards. Since this is an indicator
specific to the Group's operational structure, it may not be comparable to
adjusted metrics used by other companies.
6. Share buy back
The Group completed a £100m share buyback program in December 2025. The
maximum price paid per common share was no more than the higher of an amount
equal to 105% of the average middle market quotations for an Ordinary Share as
derived from the London Stock Exchange Daily Official List for the 5 business
days immediately preceding the day on which the Ordinary Share is contracted
to be purchased or the higher of the price of the last independent trade and
the highest current independent bid on the trading venue where the purchase is
carried out.
As of 31 December, 12,033,912 shares were repurchased for total consideration
of £100m (all of which has been settled as at the financial year end).
Transaction costs associated with the buyback program amounted to £0.5m. As a
reflection of continued confidence in the financial strength of the Group, a
further buyback programme of £30m was announced on 2 February 2026 and is
expected to end no later that 31 December 2026.
7. Exceptional Items
The Group recognised exceptional costs during the year relating to non
recurring items associated with the Molson Coors strategic partnership,
including the disposal of Fevertree USA Inc. amounting to £4.0m (2024:
£0.7m). During the financial year, the Group also incurred one-off costs
related to the termination of a contract with a local US manufacturer of
£1.2m (2024: £4.3m).
8. Provision
The Group has assessed the classification of glass packaging formats used in
the On-Trade under the UK Packaging Extended Producer Responsibility (EPR)
regulations.
The Group considers that the glass formats sold in the On-Trade should be
classified as non-household packaging for EPR purposes and therefore be exempt
from the levy. While this is in line with the position taken by the UK
government in relation to other packaging regulations, the Environment Agency
have challenged this view, and post year-end we have launched a legal
challenge. In the event the Group is required to pay the levy in respect of
On-Trade sales, the potential cost associated with EPR would amount to £2.8m.
Given this is new legislation and there is uncertainty over the outcome, a
provision has been made. The Group continues to challenge the position taken
by the EA and the Group considers that it has complied with it's obligations
to date.
1 Adjusted Revenue is statutory reported revenue adjusted to bring US revenue
in line with invoiced sales to customers
2 Adjusted EBITDA is earnings before interest, tax, depreciation,
amortisation, gain on sale of fixed assets, share based payment charges,
exceptional items and finance costs
3 Adjusted EBITDA margin is Adjusted EBITDA divided into Adjusted revenue
For further detail refer to the 'Changes in P&L Presentation' section
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