Data sourced from SEC EDGAR filings and third-party price providers. Scores, valuations, and metrics are algorithmic estimates. This is not investment advice. See our Terms and Methodology.
Data sourced from SEC EDGAR filings and third-party price providers. Scores, valuations, and metrics are algorithmic estimates. This is not investment advice. See our Terms and Methodology.
Diageo plc is a British multinational alcoholic beverage company headquartered in London, England. It stands as a global leader in premium drinks, offering over 200 brands sold in nearly 180 countries across spirits, beer, and related categories. The portfolio spans iconic names like Guinness stout, Johnnie Walker Scotch whisky, Smirnoff vodka, Tanqueray gin, Baileys cream liqueur, Captain Morgan rum, Don Julio tequila, and Casamigos tequila, alongside whiskies such as Crown Royal and J&B, and vodkas like Cîroc and Ketel One. Diageo operates more than 110 manufacturing sites worldwide, including distilleries, breweries, and bottling plants, producing a significant portion of global Scotch whisky output. It distributes products through wholesalers, retailers, online marketplaces, and its e-commerce platform, catering to diverse consumer preferences from high-end luxury options to accessible everyday choices. The company addresses trends like premiumisation, cocktail culture, moderation with non-alcoholic innovations such as Tanqueray 0.0 and Captain Morgan Spiced Gold 0.0, and regional specialties including cachaça, raki, and baijiu. Diageo also holds a stake in Moët Hennessy, enhancing its luxury wine and champagne offerings. Formed in 1997, it focuses on building world-class brands through creativity, precision, and operational excellence in Europe, North America, Latin America, the Caribbean, Asia-Pacific, and Africa.
Operating margin is thin at 2.09%. Limited cushion if revenue slows or costs rise, not the profile of a wide-moat business.
Revenue growth slowed to 1.7%, essentially flat. Margins also contracted 2.5pp. This is a business that needs a catalyst.
Free cash flow declined 122% versus the prior year, cash generation momentum has weakened. ROIC dropped from 5.22% to 2.02%, capital efficiency is deteriorating.
Profitability & Returns
Revenue (TTM)
€127M
▲ +1.7% YoY
Net Income (TTM)
-€2M
▼ -306.6% YoY
Op. Margin
2.09%
▼ -2.5pp YoY
ROIC
2.02%
▼ -3.2pp YoY
Cash Flow & Balance Sheet
FCF (TTM)
-€3M
▼ -121.8% YoY
Op. Cash Flow (TTM)
-€278K
▼ -101.9% YoY
Net Debt
-€23M
Net Cash Position
Cash & Equiv.
€27M
3Y CAGR: -12.2%
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