• Finance facilities have been agreed, subject to signing of final documentation.
• The agreed facilities available are $128 million until March 2028 with an option to extend for an additional year to 2029.
• AVG is on track to achieve neutral underlying cash flow for FY26.

Australian Vintage Limited (ASX:AVG) has announced the successful refinancing of its structural debt for 2 years through to March 2028 with an option to extend into 2029, subject to signing of final documentation. The company's execution of the plan is showing strong momentum with a run rate for the second half +10% higher than that of the first half, reflecting a second half revenue growth of +5% vs prior year. The Company has successfully launched and exceeded sales expectations of core innovation Poco Vino, has made strategic investments generating strong IRR, has reduced the Company costs to manage growing inflation and war impacts and has achieved the Company goal of free underlying cash flow neutrality, excluding investments. The Company net debt is expected to finish at ~$90 million by June 30. This is a strong result as it reflects positive cash flow generation of $20 million in the second half, a turnaround of ~$29 million from the comparative half in the prior year.

Neutral underlying cash flow for FY26, second half revenue growth of +5%

AVG expects the growth rate into FY27 will continue to accelerate into future years of the plan as we move to +$10 million underlying cashflow, excluding investments target for FY27.