Treasury Wine Estates : Appendix 4E and 2016 Annual Results 18 August 2016

APPENDIX 4E

PRELIMINARY FINAL REPORT IN RESPECT TO TREASURY WINE ESTATES LIMITED FOR THE YEAR ENDED 30 JUNE 2016 ABN 24 004 373 862

1. RESULTS FOR ANNOUNCEMENT TO THE MARKET

   KEY INFORMATION	YEAR ENDED 30 JUNE 2016 $M	YEAR ENDED 30 JUNE 2015 $M	CHANGE INCREASE/ (DECREASE)	AMOUNT INCREASE/ (DECREASE) $M
   Revenue from ordinary activities	2,343.3	1,971.0	18.9%	372.3
   Profit attributable to members of
   Treasury Wine Estates Limited	179.4	77.6	131.2%	101.8
   Net profit after tax before material
   items, SGARA	221.8	142.5	55.6%	79.3
   Earnings before interest, tax,
   SGARA and material items	342.0	225.1	51.9%	116.9
   YEAR ENDED	YEAR ENDED
   30 JUNE 2016	30 JUNE 2015
   CENTS PER	CENTS PER
   EARNINGS PER SHARE	SHARE	SHARE
   Basic earnings per share	25.1	11.7
   Basic earnings per share, adjusted
   to exclude SGARA, material items	31.1	21.5
   DIVIDENDS (DISTRIBUTIONS)(i)	CENTS PER SHARE	FRANKING %
   Final dividend - year ended 30 June 2016
   (determined subsequent to balance date)(ii),(iii)	12.0 cents	unfranked
   Interim dividend - half year ended
   31 December 2015	8.0 cents	unfranked
   Final dividend - year ended 30 June 2015	8.0 cents	unfranked

2. The Dividend Reinvestment Plan of the Company, suspended on 20 August 2014, remains suspended.

3. The unfranked component of this dividend is declared to be paid out of conduit foreign income and therefore no non-resident withholding tax is payable.

4. The record date for determining an entitlement to receipt of the final dividend is Thursday 1 September 2016 and the Company expects to pay the dividend on Friday 7 October 2016.

5. PRELIMINARY FINAL FINANCIAL STATEMENTS

   Please refer to pages 1 through 46 of this report wherein the following are provided:

   • Consolidated statement of profit or loss and other comprehensive income for the year ended 30 June 2016;

   • Consolidated statement of financial position as at 30 June 2016;

   • Consolidated statement of changes in equity for the year ended 30 June 2016;

   • Consolidated statement of cash flows for the year ended 30 June 2016; and

   • Notes to the consolidated financial statements.

   This report is based on accounts which are in the process of being audited. The audit report will be made available with the Company's final annual report.

6. NET TANGIBLE ASSET BACKING NET TANGIBLE ASSET BACKING PER ORDINARY SHARE YEAR ENDED 30 JUNE 2016 $ YEAR ENDED 30 JUNE 2015 $

   Net tangible asset backing per ordinary share 3.49 3.47

   APPENDIX 4E

   PRELIMINARY FINAL REPORT IN RESPECT TO TREASURY WINE ESTATES LIMITED FOR THE YEAR ENDED 30 JUNE 2016 ABN 24 004 373 862 (CONTINUED)

7. DETAILS IN RESPECT TO THE COMPANY'S ANNUAL GENERAL MEETING

   The Annual General Meeting of the Company will be held at 11.00am (Adelaide time) on Thursday 10 November 2016 at the National Wine Centre, Corner of Botanic and Hackney Roads, Adelaide, South Australia, Australia.

8. FURTHER INFORMATION

Further information can be obtained from:

Media: Investors:

Roger Sharp Jane Betts

Tel: +61 3 8533 3786 Tel: +61 3 8533 3493

Mob: +61 458 883 599 Mob: +61 437 965 620

Carolyn Coon

Tel: +61 3 8533 3923

Mob: +61 405 183 628

CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME

FOR THE YEAR ENDED 30 JUNE 2016

NOTE	2016 $M	2015 $M
Revenue	3	2,343.3	1,971.0
Cost of sales	(1,509.5)	(1,342.7)
Gross profit	833.8	628.3
Other income	3	4.0	5.6
Selling expenses	(264.8)	(214.3)
Marketing expenses	(111.3)	(115.3)
Administration expenses	(148.4)	(110.3)
Other expenses	(32.6)	(61.5)
Profit before tax and finance costs	280.7	132.5
Finance income	13.6	5.4
Finance costs	(34.8)	(27.0)
Net finance costs	(21.2)	(21.6)
Profit before tax	259.5	110.9
Income tax expense	22	(80.0)	(33.3)
Net profit	179.5	77.6
Net profit attributable to non-controlling interests	(0.1)	-
Net profit attributable to members of Treasury Wine Estates Limited	179.4	77.6
Other comprehensive income
Items that may subsequently be reclassified to profit or loss
Cash flow hedges	2.4	(2.3)
Tax on cash flow hedges	(0.8)	0.9
Exchange difference on translation of foreign operations	29.1	207.5
Other comprehensive income for the year, net of tax	30.7	206.1
Total comprehensive income for the year attributable to members of Treasury Wine Estates Limited	210.1	283.7
Non-controlling interests	0.1	-
Total comprehensive income for the year	210.2	283.7
CENTS PER SHARE	CENTS PER SHARE
Earnings per share for profit attributable to the ordinary equity holders of the Company
Basic	7	25.1	11.7
Diluted	7	24.9	11.6

The consolidated statement of profit or loss and other comprehensive income should be read in conjunction with the accompanying notes.

CONSOLIDATED STATEMENT OF FINANCIAL POSITION

AS AT 30 JUNE 2016

NOTE	2016 $M	2015 $M
Current assets
Cash and cash equivalents	9	256.1	122.1
Receivables	9	603.4	504.9
Inventories	9	904.0	704.2
Current tax assets	-	18.2
Assets held for sale	13	98.8	91.2
Other current assets	4.2	3.1
Total current assets	1,866.5	1,443.7
Non-current assets
Inventories	9	678.4	533.8
Property, plant and equipment	10	1,154.5	928.8
Agricultural assets	11	340.0	255.1
Intangible assets	12	1,060.2	791.1
Deferred tax assets	22	252.2	193.3
Derivative financial assets	14.8	0.1
Other non-current assets	10.6	3.9
Total non-current assets	3,510.7	2,706.1
Total assets	5,377.2	4,149.8
Current liabilities
Bank overdraft	9	4.0	13.0
Trade and other payables	9	653.1	455.2
Current tax liabilities	18.4	5.2
Provisions	15	77.4	90.3
Other current liabilities	5.0	7.0
Total current liabilities	757.9	570.7
Non-current liabilities
Trade and other payables	9	72.3	5.4
Borrowings	17	626.6	324.4
Deferred tax liabilities	22	273.7	194.1
Derivative financial liabilities	8.6	1.4
Other non-current liabilities	3.0	3.1
Total non-current liabilities	984.2	528.4
Total liabilities	1,742.1	1,099.1
Net assets	3,635.1	3,050.7
Equity
Contributed equity	18	3,533.6	3,061.3
Reserves	20	20.5	(23.3)
Retained earnings	78.3	10.1
Total parent entity interest	3,632.4	3,048.1
Non-controlling interest	2.7	2.6
Total equity	3,635.1	3,050.7

The consolidated statement of financial position should be read in conjunction with the accompanying notes.