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Diageo Aide Memoire H1 Fiscal 2026
Diageo Aide Memoire H1 Fiscal 2026
This document sets out public information previously provided by Diageo plc, or else widely available in the market. Unless otherwise specified, the outlook comments below come from the Fiscal 26 Q1 Trading Statement, presentation and call script on 6 November 2025 and 2025 Preliminary Results materials with other content sourced from publicly available information. No new information is given, and there will be no comment on current trading or further guidance provided.
Fiscal 26 outlook
With the Fiscal 26 Q1 trading update, we provided the following guidance for fiscal 26:
- Organic net sales growth – expect to be flat to slightly down including the adverse impact from Chinese white spirits and a weaker US consumer environment than originally planned for.
- Organic operating profit growth – expect positive operating leverage, supported by cost savings from the Accelerate programme. Organic operating profit growth expected to be low to mid-single-digit, including the impacts of Chinese white spirits and a weaker US consumer environment in the organic net sales guidance. This also includes the impact of tariffs as at that time.
- Taxation – expect tax rate before exceptional items to be c.25% (fiscal 25: 24.9%).
- Effective interest rate – expect effective interest rate to be c.4.0% (fiscal 25: 4.1%).
- Capital expenditure – expect capex at the lower end of the range of $1.2-1.3bn (fiscal 25: $1.5 billion).
- Free cash flow – expect c.$3 billion (fiscal 25: $2.7 billion). This includes exceptional cash costs related to the Accelerate programme.