Treasury Wine Estates (TWE) is moving to a new regional operating model as it moves to its global transformation program, TWE Ascent, to position the business for “long-term sustainable growth”.
The announcement coincides with improved depletions performance in key markets including China and America in the third quarter of the current financial year.
“Penfolds continues to deliver strong depletions growth in China, with depletions up 40 percent over the Chinese New Year period on a seasonally adjusted basis,” TWE says in an ASX announcement.
“Overall US market depletions were up 9.1 percent versus the PCP (prior correspondending period), with depletions returning to growth in California.”
TWE CEO Sam Fischer says, “We are reshaping TWE to drive clearer accountability for performance and to enable faster, more market-connected decision-making as a foundation for consistent depletions growth.
“Combining the deep local insight of our in-market teams with the scale and expertise of our global functions will step change in-market execution, whilst retaining our enhanced focus on Penfolds and other priority luxury brands.
“I am pleased with the progress we are making on elevating our focus on depletions performance across our key markets, and we remain focused on continuing the improved momentum.”
TWE has been struggling in recent times with the share price falling from $9.12 on 14 May 2025 to $3.37 on 26 March 2026.
TWE’s new operating model will be structured across four regions: the Americas; Australia and New Zealand (ANZ) and Europe; Greater China; and Emerging Markets (Rest of Asia, Middle East and Africa).
Each region will house front-end core commercial capabilities across Sales, Marketing, Direct to Consumer and Commercial Strategy, supported by group functions.
“TWE is progressing the evolution of its brand portfolio strategy to create a unified, simplified portfolio for increased focus and execution at a market level,” TWE says.
“New debt commitments totalling $300 million have been established to refinance future debt maturities and further strengthen TWE’s liquidity position, which is expected to exceed $1 billion at the end of F26.”
TWE continues to expect that 2H26 EBITS will be higher than 1H26.
The company says the new model is expected to support its focus on depletions-led growth through:
• Driving clearer accountability for performance in each market, enabling faster decision-making through proximity to consumers and increasing the speed and effectiveness of in-market execution;
• Establishing a focused portfolio with collective scale and investment to improve customer and distributor experience and increase relevance; and
• Streamlining structure and removing duplication to deliver improved cost of doing business, supplemented by process simplification and enablement through automation and technology.
TWE says key strengths from the current divisional operating model will be retained, including an enhanced focus on luxury brands, in particular for Penfolds, through central control of brand strategy to ensure global consistency and optimised international distribution.
“TWE will also retain specialist luxury sales capabilities in key markets and channels and prioritise and upweight investment in Penfolds and other priority luxury brands.”
TWE will realign its executive leadership team, driving the organisation transition to the new operating model effective 1 October 2026.
Leadership changes
Reporting to CEO Sam Fischer, Tom King (currently Penfolds MD) who will assume the new position of chief commercial officer.
Tom will lead the regional Sales, Marketing, Direct to Consumer and Commercial Strategy activities for ANZ and Europe; Greater China and Emerging Markets (Rest of Asia, Middle East and Africa) regions. This role will have accountability for group marketing strategy and innovation. Tom will be based in Melbourne.
Reporting to Tom King, with accountability for the regional sales and marketing activities in support of TWE’s focused brand portfolio will be:
• Angus Lilley (currently Treasury Collective MD), leading the ANZ and Europe region, based in Melbourne; and
• Jack Wu (currently general manager Mainland China – Penfolds) leading the Greater China region, based in Shanghai.
Reporting to Tom King, Kristy Keyte (currently chief marketing officer – Penfolds) will assume the new position of chief marketing and innovation officer.
“This role reflects TWE’s elevated focus on building distinctive brands, deepening consumer connection and accelerating growth through insight-led innovation,” TWE says.
Kristy will be accountable for global marketing and the delivery of global brand strategy, maximising consumer insights and innovation to prioritise investment, optimise TWE’s portfolio and drive long-term growth. Kristy will be based in Melbourne.
Reporting to Sam Fischer, Ben Dollard (currently President Treasury Americas), will lead TWE’s Americas region with accountability for Sales, Marketing, Direct to Consumer and Commercial Strategy activities.
“The direct CEO reporting line reflects heightened focus on TWE’s Americas business, providing direct line of sight into in-market execution in the Americas,” the company says.
“A dotted reporting line into the chief commercial officer ensures a consistent and disciplined execution framework across all regions including the Americas.”
Ben will be based in Napa Valley.
Reporting to Sam Fischer, Kerrin Petty remains chief supply & sustainability officer, with an expanded global supply remit, including Americas supply.
Kerrin will be based in Adelaide.
Depletions update
Penfolds continues to deliver strong depletions growth in China driven by the ongoing demand for Bin 389 and Bin 407.
Also contributing to the performance was the transitioning of volumes previously being parallel imported into the market, to TWE’s authorised distribution channels.
Performance through the Chinese New Year period was a highlight, with depletions up 40 percent in China on a seasonally adjusted basis and momentum continuing to the end of 3Q26. In ANZ, 3Q26 depletions grew 11 percent and in Asia ex-China, depletions grew 14 percent on a seasonally adjusted basis.
Treasury Americas overall US market depletions grew 9.1 percent in 3Q26 versus the pcp, reflecting improved momentum (versus 1H26 where depletions had declined -2.6 percent).
Depletions returned to growth in California, in line with TWE’s expectations for improved momentum in the state following the completion of distributor transition in 1H26.
Depletions growth continued across a number of key brands in the quarter, led by DAOU (+10.3 percent), Frank Family Vineyards (+5.9 perpcent) and Stags’ Leap (+10.1 percent).
The positive depletions momentum is expected to support TWE’s focus on reducing customer inventory levels in China and the US.
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