Financial Data and Key Metrics Changes - Net sales for Q3 2023 were $91.2 million, reflecting a 0.4% decrease in organic growth compared to the prior year period, consistent with expectations [62] - Gross profit increased to $50.5 million, a 14.9% increase year-over-year, with an adjusted gross margin of 55.8%, up approximately 330 basis points [17][20] - Net income was $16.8 million, with diluted EPS of $0.15, compared to $15.6 million and $0.14 in the prior year [19] - Adjusted EBITDA increased 9% to $35.8 million, representing 39.3% of net sales, up from 35.9% in the prior year [20] Business Line Data and Key Metrics Changes - The wholesale to distributor channel grew by 10.3% year-over-year, becoming the strongest growth contributor [14] - Direct-to-consumer (DTC) channel saw a decline of 35.2% compared to the prior year, primarily due to timing shifts in product offerings [16] - California direct to trade increased by 4.6% year-over-year, driven by Duckhorn Vineyards and Decoy Winery brands [15] Market Data and Key Metrics Changes - The company maintained its position as a category growth leader within the luxury wine segment, with mid-single digit consumption growth [47] - Decoy Limited experienced over 15% dollar growth, indicating strong brand performance [48] - The overall market for luxury wines is facing challenges due to a softening demand in the broader luxury space [6][23] Company Strategy and Development Direction - The company is focused on leveraging its brand strength and sales force to capitalize on distribution white space opportunities [6][24] - An acquisition of a production winery in Alexander Valley is expected to enhance production capacity and reduce reliance on third-party processing [26][28] - The company aims to deliver sustainable, profitable growth while creating long-term value for shareholders [6] Management's Comments on Operating Environment and Future Outlook - Management acknowledged a slowdown in on-premise sales but expressed confidence in the long-term growth strategy despite macroeconomic challenges [6][24] - The company raised its fiscal year 2023 guidance for net sales, adjusted EBITDA, and adjusted EPS, reflecting a positive outlook [21] - Management remains optimistic about capturing market share and believes in the resilience of their customer base [90][123] Other Important Information - The company announced the hiring of Jennifer Fall Jung as the new CFO, succeeding Lori Beaudoin [56][60] - The acquisition price for the new winery is approximately $55 million, expected to be financed through the existing credit facility [32] Q&A Session Summary Question: How will the company support growth through a recession? - Management believes continued account development and white space expansion will support growth even during economic downturns [8] Question: What are the dynamics of on-premise and off-premise sales? - On-premise growth faced challenges due to slower dining activity, while off-premise performance remained strong [50][141] Question: How does the company view the luxury wine market's future? - Management is confident in the long-term premiumization trend and believes the luxury wine category will continue to thrive [82][127] Question: What is the expected impact of the acquisition on financials? - The acquisition is expected to be dilutive in the short term but accretive in the long term as production efficiencies are realized [142]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended April 30, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number 001-40240 The Duckhorn Portfolio, Inc. (Exact name of registrant as specified in its charter) (State or other jurisdiction of incorp ...

The Duckhorn Portfolio, Inc. (NYSE:NAPA) Q2 2023 Earnings Conference Call March 8, 2023 4:30 PM ET Company Participants Sean Sullivan - Chief Strategy and Legal Officer Alex Ryan - President and Chief Executive Officer Lori Beaudoin - Chief Financial Officer Conference Call Participants Gerald Pascarelli - Wedbush Securities Gregory Porter - Evercore Kaumil Gajrawala - Credit Suisse Andrea Teixeira - JP Morgan Lauren Lieberman - Barclays Noah Erni - Jefferies Operator Good afternoon. Thank you for attending ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended January 31, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number 001-40240 The Duckhorn Portfolio, Inc. (Exact name of registrant as specified in its charter) Delaware 81-3866305 (State or other ...

Financial Data and Key Metrics Changes - Q1 2023 net sales reached $108.2 million, reflecting a 3.8% increase in organic growth compared to the prior year period, driven by a 9.2% growth in volume [31][11] - Adjusted EBITDA for the quarter decreased 6.4% to $35.7 million, representing 33% of net sales compared to 36.6% in the prior year period [40] - Net income was $19.8 million, with diluted EPS at $0.17 per share, down from $21.3 million and $0.18 per diluted share in the prior year [39] Business Line Data and Key Metrics Changes - Wholesale to distributor was the greatest contributor to growth, increasing 15.8% versus the prior year quarter, with both on and off-premise channels up double digits [33] - Direct-to-consumer channel saw a decline of 46.3% compared to the prior year quarter, primarily due to Kosta Browne DTC shipment timing shift [36] - Adjusted gross margin improved to 50.8%, up approximately 20 basis points year-over-year, despite a decline in the higher margin DTC business [37][15] Market Data and Key Metrics Changes - The Duckhorn Portfolio was the fastest growing among the top 15 suppliers in the $15 per bottle and above segment, with mid-teens growth in both dollars and units [14] - The California direct-to-trade channel was up 0.7% versus the prior year period, reflecting a moderation in trend due to a challenging year-ago comparison [35] - Overall, the company continues to outperform the luxury wine sub-segment, with strong demand for high-quality luxury wines [9][12] Company Strategy and Development Direction - The company is focused on a multi-faceted growth strategy, including increasing new accounts in the wholesale distribution channel and enhancing direct-to-consumer sales [18][20] - Product innovation remains a strategic pillar, with new releases expected to contribute to growth in the second half of the fiscal year [23][24] - The company plans to continue investing in growth opportunities to fortify its competitive position within the luxury wine industry [45][50] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in sustaining outperformance despite economic uncertainties and inflationary pressures [9][10] - The company reaffirmed its fiscal year 2023 guidance, expecting net sales of $393 million to $401 million, reflecting approximately 5.5% to 7.5% organic volume-led growth [41] - Management noted that while there was a pull forward in sales from Q2 to Q1, they remain optimistic about continued strong demand [47][75] Other Important Information - Lori Beaudoin, the CFO, announced her intention to retire next spring, with a national search for her successor already underway [25][26] - The company is committed to maintaining its strategic growth investment plans for fiscal 2023, despite changes in interest expense expectations [42][44] Q&A Session Summary Question: Trends in October and November - Management acknowledged a slight slowdown in the category but emphasized that the company continues to outperform competitors [54] Question: On-premise performance amidst slowdown - Management attributed continued success in the on-premise channel to strong brand positioning and effective customer engagement [60][62] Question: Guidance and distributor inventories - Management clarified that strong depletions and distributor ordering patterns contributed to the Q1 outperformance, with no decline in demand observed [73][75] Question: California direct-to-retail channel performance - Management noted that excluding a unique bulk wine sale from the prior year, California results were healthy, with high-single-digit growth [79] Question: CFO search process - Management confirmed a national search for a new CFO is underway, focusing on candidates with public company experience [82] Question: Pricing and margin context - Management indicated that pricing changes have been effective, with no pushback observed, and margins improved in the wholesale channel [86][90]

Financial Data and Key Metrics Changes - The company reported net sales of $78 million for Q4 2022, reflecting a 10% organic increase from the prior year, driven by 7.1% volume growth and 2.9% price/mix contribution [34][44] - Adjusted EBITDA for the quarter increased by 21.3% to $22.3 million, representing 28.6% of net sales compared to 26% in the prior year [45][58] - Gross profit was $39.3 million, an increase of 14.4% year-over-year, with an adjusted gross margin of approximately 51.8%, up 280 basis points from the previous year [41][44] Business Line Data and Key Metrics Changes - The wholesale to distributor channel increased by 7.3% year-over-year, while the direct-to-consumer (DTC) channel saw a growth of 21.2% compared to the prior year [37][39] - The DTC channel's three-year CAGR was approximately 25%, fueled by successful estate releases from the Costa Brown winery [39] - The company achieved a penetration rate of 24% in its addressable market, up from 19% in the previous fiscal year [21][22] Market Data and Key Metrics Changes - The luxury wine segment, defined as wines priced at $15 and above, grew by 3.5%, contrasting with a decline of 4.5% for total wine [10][11] - The company was the fastest-growing supplier among the top 15 luxury wine suppliers, with dollar growth approximately six times greater than its scaled peers [11][12] Company Strategy and Development Direction - The company aims for high single-digit organic net sales growth over the long term, supported by strategic investments in sales and distribution [23][50] - New product innovations are planned for fiscal year 2023, including the Costa Brown Burgundy release, which sold out rapidly [27][28] - The company is focused on maintaining its leadership in the luxury wine segment while navigating macroeconomic uncertainties [32][60] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the resilience of its core consumer base, which is more affluent and educated than the average luxury wine buyer [77] - The company anticipates some variability in month-to-month activity due to macroeconomic pressures but remains optimistic about brand strength and innovation [78][79] - The guidance for fiscal year 2023 includes net sales of $393 million to $401 million, reflecting organic growth of approximately 5.5% to 7.5% [47][49] Other Important Information - The company plans to invest in its workforce and systems to support long-term growth, with capital expenditures projected at $30 million to $35 million [47][50] - Adjusted gross margin is expected to decline by 50 to 100 basis points compared to fiscal year 2022, influenced by pricing strategies and product mix [49][56] Q&A Session Summary Question: On the SG&A step-up and macro pressures - Management indicated that the increase in SG&A is a strategic investment to enhance sales capabilities and is not solely a response to macro pressures [66][68] Question: On sales guidance for fiscal year 2023 - Management acknowledged a prudent approach to guidance, reflecting a recognition of slower growth in the luxury segment while maintaining confidence in market share gains [75][76] Question: On pricing strategy and gross margin pressures - Management confirmed that pricing adjustments are being made to offset cost increases, with ongoing evaluations of market conditions to determine further pricing actions [81][84] Question: On revenue cadence and growth expectations - Management clarified that the fourth quarter is expected to see significant growth due to strategic shipment timing, with a greater realization of gains in the back half of the fiscal year [88][90] Question: On the overall wine industry dynamics - Management emphasized the strength of the luxury segment and its ability to outperform lower-priced categories, citing premiumization trends as a key driver [95][96]

THE DUCKHORN. PORTFOLIO FOURTH QUARTER AND FISCAL YEAR 2022 FINANCIAL RESULTS SEPTEMBER 28, 2022 PARADU GREENWING CANVASBACI THE STANDARD FOR AMERICAN FINE WINE LEGAL DISCLAIMER This presentation of The Duckhorn Portfolio, Inc. (the "Company") and the accompanying conference call contain forward-looking statements within the meaning of the federal securities laws, which statements involve substantial risks and uncertainties. These forward-looking statements generally can be identified by the use of words su ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 1201 Dowdell Lane Saint Helena, CA 94574 (Address, including zip code, of Principal Executive Offices) (707) 302-2658 For the fiscal year ended July 31, 2022 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number 001-40240 The Duckhorn Portfolio, ...

The Duckhorn Portfolio, Inc. (NYSE:NAPA) Q3 2022 Earnings Conference Call June 2, 2022 5:00 PM ET Company Participants Sean Sullivan - EVP, Chief Administrative Officer & General Counsel Alex Ryan - President, CEO and Chairman Lori Beaudoin - EVP and CFO Conference Call Participants Andrea Teixeira - JPMorgan Heather Gornik - Barclays Robert Ottenstein - Evercore Kevin Grundy - Jefferies Operator Greetings, and welcome to the Duckhorn Portfolio's Third Quarter 2022 Earnings Conference Call. At this time, al ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) Commission file number 001-40240 The Duckhorn Portfolio, Inc. ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended April 30, 2022 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Saint Helena, CA 94574 (Address, including zip code, of Principal Executive Offices) (707) 30 ...