This announcement contains inside information for the purposes of the retained UK version of the EU Market Abuse Regulation (EU) 596/2014 ("UK MAR").
23 September 2026
Chapel Down Group plc
(‘CDGP’ or ‘the Company’)
UNAUDITED RESULTS FOR THE PERIOD ENDED 30 JUNE 2026
Focused execution against clear Strategic Priorities translating into continued strong financial performance:
|
£’000 |
H1 2026 |
H1 2025 |
Change % |
|
Net sales revenue |
9,428 |
7,928 |
+19% |
|
Gross profit |
4,672 |
3,657 |
+28% |
|
Gross margin |
49.6% |
46.1% |
+3.5 ppts |
|
Adjusted EBITDA1 |
1,313 |
1,031 |
+27% |
|
Loss before tax |
(551) |
(687) |
+20% |
|
Loss before tax (excluding fair value adjustment to biological produce) |
(551) |
(889) |
+38% |
|
|
|
|
|
|
Stock (excluding Biological Produce) |
29,372 |
25,566 |
+15% |
|
Net debt (excluding lease liabilities) |
(13,978) |
(11,310) |
-24% |
|
Operating cash flow |
565 |
(437) |
|
|
|
|
|
|
|
Planted vineyards in acres |
1,018 |
1,018 |
|
|
Productive vineyards in acres |
897 |
777 |
+15% |
|
|
|
|
|
|
Diluted loss – pence per share |
(0.28) |
(0.33) |
+15% |
|
Net asset value – pence per share |
19.0 |
18.8 |
+1% |
Note 1: In addition to the statutory measures, the Board also measures its performance by reference to Adjusted EBITDA. Adjusted EBITDA relates to profit from operations before interest, tax, depreciation, amortisation, share-based payment expense, exceptional items and fair value adjustments. Also see Note 4 to the Financial Statements below.
Financial Highlights
Strategic Highlights
Outlook
*Note: Immediately before publication of this announcement, the Board believes that market expectations for the year ending 31 December 2026 to be net sales revenue of £22.1m, Adjusted EBITDA1 (exc. fair value adjustment to biological assets) of £3.7m, profit before tax of £0.2m and net debt of £16.2m.
James Pennefather, CEO, commented:
“The continued momentum seen during the first half of the year reinforces our confidence in the long-term opportunity for Chapel Down in this exciting growth category. English Sparkling Wine continues to benefit from positive tailwinds including adoption of the category by Millennials, expansion of demand outside traditional formal Champagne occasions and the impact of a warmer climate.
“We are delighted with the continued progress our team has made during the first half of the year. We have seen growth across all channels, increasing market share and continued momentum in our strategic Traditional Method Sparkling portfolio which demonstrate the benefits of the investments we have made in the Chapel Down brand, our routes to market and our asset base.
“As well as strengthening our leadership position within the English Sparkling Wine category, and making encouraging progress internationally, our sales mix continues to premiumise. These results provide further evidence that our strategy of focusing on Traditional Method Sparkling is delivering results, and our Board remains keen to capitalise on this in future."
Michael Spencer, Chair, commented:
“The Board is pleased with the progress achieved during the first half of the year. Strong revenue growth, improved profitability and continued strategic execution have further strengthened the Group's position.
“Chapel Down benefits from a leading brand, a high-quality asset base and a disciplined approach to capital allocation, providing a strong platform for sustainable long-term growth and creating value for our shareholders."
Note 2: The following accolades were received after 30 June 2026, but before 23 September 2026: Grand Reserve 2019 - Gold (Global Travel Retail Masters 2026); Kit's Coty Blanc de Blancs 2019 - Gold (Global Travel Retail Masters 2026); Traveller's Edition Brut - Gold (Global Travel Retail Masters 2026); Traveller's Edition Rosé – Gold (Global Travel Retail Masters 2026).
Note 3: Source: Savanta, BrandVue, Sparkling wine drinkers, MAT end June 2026 and June 2025.
Note 4: Chapel Down sparkling wine growth was +20% compared to English Sparkling Wine category growth at +14%. Chapel Down remains the market leader in the English Sparkling Wine category with 37% market share across the Off-trade channel (H1 2025: 35%). Source: NIQ UK Off Trade Sparkling Wines – MAT to 11/07/2026.
CEO STRATEGIC UPDATE
I am delighted to report continued double digit growth momentum as Chapel Down works towards its ambition of winning an equivalent 1% share of the global Champagne market by 2035. We continue to execute against a strategy which is focused on three priorities: enhancing the value of the Chapel Down brand, expanding our routes to market and allocating capital with discipline to support long-term value creation.
Brand Value Enhancement
The first half saw further progress in strengthening Chapel Down's position as the leading English Sparkling Wine brand, supported by increased marketing investment to drive awareness of the brand proposition and continued premiumisation of the portfolio.
During the period, Chapel Down’s existing sponsorships continued to deliver: sales at the Boat Race increased more than 200% and consumer sales grew 45% at Royal Ascot. We also entered into new associations with two iconic British institutions: the Jockey Club and the Royal Philharmonic Orchestra.We activated a partnership with the Mayfair House Group in Covent Garden during English Wine Week and delivered a successful Taste of England PR campaign, showcasing the best of English homegrown flavours. Media spend increased by 14%. This resulted in Chapel Down retaining its brand leadership position in terms of Brand Awareness at 46% (H1 2025: 46%)3, with encouraging growth seen in London and amongst affluent Millennials.
The continued strength of consumer demand was also reflected in the net sales revenue performance of our Traditional Method Sparkling portfolio, which grew by 26% during the period and represented 74% of wine sales revenue (H1 2025: 70%). This continued mix improvement supports our premiumisation strategy and demonstrates growing consumer demand for premium English Sparkling Wine.
The quality of our wines also continued to receive recognition through success at leading international wine competitions with 13 prestigious gold accolades and 2 trophies won during 2026 to date2, further strengthening Chapel Down's reputation as a producer of world-class sparkling wines.
Sustainable Channel Expansion
Our second strategic priority is to drive sustainable growth through expanded distribution, increased consumer penetration and the further development of scalable routes to market in the UK and internationally.
We are delighted to have delivered strong growth across all our B2B trade channels during the first half and made good progress with our Direct-to-Consumer channels.
In Off-Trade, Chapel Down continued to outperform the category as we activated a “Here’s to English Summertime” campaign in selected stores, including a flagship execution at John Lewis in Oxford Street during English Wine Week. Sparkling wine sales increased by 20% over the period, ahead of category growth of 14%4, resulting in further market share gains and increasing our share of the English Sparkling Wine category to 37%4. Distribution expanded to almost 2,500 stores, driven by new listings in Tesco’s convenience stores and increased presence within existing customers.
In On-Trade, we continued to increase availability and visibility. Unique outlet distribution increased by 6% to 2,750 and by-the-glass listings grew by 16%, supporting consumer trial, expanding access to the category and encouraging broadening of occasions for consumers to enjoy English Sparkling Wine. New listings at premium operators, including The Gordon Ramsay Group and Handpicked Hotels, reflect the effectiveness of our commercial execution and the growing appeal of the Chapel Down brand within premium hospitality venues.
Internationally, we have made significant progress in building a scalable platform for future growth. Revenue increased by 66% to £0.8m, driven primarily by continued momentum in the United States with our importer Jackson Family Wines. Distribution in the US expanded from 11 states a year ago to 31 states during the period and Chapel Down secured a significant listing for 250 Whole Foods stores.
Direct-to-consumer remains strategically important as it enables us to build direct relationships with consumers whilst strengthening brand engagement and loyalty. eCommerce revenue increased by 12% to £1.5m during the period and we acquired over 3,800 new customers, providing a broader platform for future growth.
A significant milestone during the first half was the opening of The Hythe tasting room at our Brand Home in Tenterden. The Hythe enhances the visitor experience, increases capacity, and expands our premium tourism offering. Importantly, it allows us to deepen engagement with consumers and corporate guests through a premium brand experience which supports our ambition to grow higher-value direct-to-consumer revenues over time.
Disciplined Capital Management
Our approach to capital allocation remains unchanged and we continue to focus on investments that strengthen the Chapel Down brand, support premiumisation, expand distribution and ensure sufficient maturing stocks to underpin our growth plan.
The investments made across our vineyard estate, winery infrastructure and commercial platform over recent years continue to provide a strong foundation for future growth. With a robust inventory balance and strong consumer demand for Chapel Down’s wines, the business’ exposure to individual harvests has significantly reduced in recent years. As a result, our focus is increasingly on leveraging these assets more effectively to drive profitable growth.
The opening of The Hythe is a good example of this approach, extending the value of our tourism and hospitality platform whilst enhancing consumer experience. More broadly, the growth delivered across our sales channels during the first half demonstrates the benefits of investments already made and the scalability of the business.
As expected, we continued to invest in maturing Traditional Method Sparkling inventories to support future demand growth, which is funded by our revolving credit facility. This facility was extended from £20 million to £25 million, providing additional financial flexibility and ensuring we remain well positioned to support future opportunities.
Outlook
The first half of 2026 demonstrated the benefits of our disciplined strategy and the investments we have made across our brand, routes to market and high-quality assets. Trading momentum has continued into the second half, supported by encouraging consumer demand, planned commercial activations and distribution gains already secured. As a result, the Board now expects stronger gross profits for FY 2026 to translate to a material improvement in Adjusted EBITDA1 (exc. fair value adjustment to biological produce) of at least 10% compared to market expectations prior to the release of this announcement, while net debt is expected to be lower than market expectations. While the wider economic environment remains mixed, the long-term opportunity for premium English Sparkling Wine remains attractive. Chapel Down continues to benefit from a strong brand, leading market position, established routes to market and an established high-quality asset base. We remain focused on delivering sustainable growth and creating long-term value for shareholders.
FINANCIAL REVIEW
Net Sales Revenue (“NSR”) performance
|
NSR (£’000) |
H1 2026 |
H1 2025 |
Change % |
|
Off-trade |
4,439 |
3,771 |
+18% |
|
On-trade |
1,472 |
1,243 |
+18% |
|
International |
826 |
499 |
+66% |
|
eCommerce |
1,536 |
1,372 |
+12% |
|
Retail, Events and Tours |
859 |
851 |
+1% |
|
Other income |
296 |
192 |
+54% |
|
TOTAL |
9,428 |
7,928 |
+19% |
|
Of which is DTC |
2,482 |
2,376 |
+4% |
|
DTC % of Net Sales Revenue |
26% |
30% |
-4 ppts |
|
NSR (£’000) |
H1 2026 |
H1 2025 |
Change % |
|
Traditional Method Sparkling wine (“TMS”) |
6,541 |
5,211 |
+26% |
|
Still and other wines |
2,249 |
2,245 |
- |
|
Total wine sales |
8,790 |
7,456 |
+18% |
|
Non-wine sales |
638 |
472 |
+35% |
|
Total NSR |
9,428 |
7,928 |
+19% |
|
TMS as % of total wine sales |
74% |
70% |
+4 ppts |
The Group's revenue mix remains well balanced, with increasing diversification across channels and continued growth in TMS wine sales.
Profitability
Cash Flow and Working Capital
Balance sheet and Net Debt
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
FOR THE SIX MONTHS ENDED 30 JUNE 2026
|
|
|
|
H1 2026 (unaudited) £’000 |
|
H1 2025 (unaudited) £’000 |
|
|
|
|
|
|
|
|
|
|
Gross sales revenue |
|
|
10,847 |
|
9,151 |
|
|
Duty |
|
|
(1,419) |
|
(1,223) |
|
|
Net sales revenue |
|
|
9,428 |
|
7,928 |
|
|
Cost of sales |
|
|
(4,756) |
|
(4,271) |
|
|
Gross profit |
|
|
4,672 |
|
3,657 |
|
|
Administrative expenses |
|
|
(4,803) |
|
(3,956) |
|
|
Operating loss before exceptional costs and fair value adjustment to biological produce
|
(131) |
|
(299) |
|||
|
Fair value adjustment to biological produce |
- |
|
202 |
|||
|
Operating loss before exceptional costs |
|
|
(131) |
|
(97) |
|
|
Exceptional costs |
|
|
- |
|
(221) |
|
|
Operating loss |
|
|
(131) |
|
(318) |
|
|
Finance income |
|
|
- |
|
3 |
|
|
Finance costs |
|
|
(420) |
|
(372) |
|
|
Loss before tax |
|
|
(551) |
|
(687) |
|
|
Tax credit |
|
|
62 |
|
110 |
|
|
Loss and total comprehensive loss for the period
|
|
|
(489) |
|
(557) |
|
|
Total comprehensive loss attributable to the equity holders of the company |
|
|
(489) |
|
(557) |
|
|
|
|
|
|
|
|
|
|
Basic loss - pence per share |
|
|
(0.29) |
|
(0.34) |
|
|
Diluted loss - pence per share |
|
|
(0.28) |
|
(0.33) |
|
CONSOLIDATED STATEMENT OF FINANCIAL POSITION
AS AT 30 JUNE 2026
|
|
As at 30 June 2026 (unaudited) |
|
As at 30 June 2025 (unaudited) |
|
As at 31 December 2025 (audited) |
|
|
£’000 |
|
£’000 |
|
£’000 |
|
Non-current assets |
|
|
|
|
|
|
Intangible assets |
1 |
|
10 |
|
5 |
|
Property, plant and equipment |
27,234 |
|
26,739 |
|
27,213 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
27,235 |
|
26,749 |
|
27,218 |
|
Current assets |
|
|
|
|
|
|
Biological produce |
2,273 |
|
2,266 |
|
- |
|
Inventories |
29,372 |
|
25,566 |
|
30,579 |
|
Trade and other receivables |
4,681 |
|
3,680 |
|
5,318 |
|
Cash and cash equivalents |
321 |
|
450 |
|
262 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
36,647 |
|
31,962 |
|
36,159 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total assets |
63,882 |
|
58,711 |
|
63,377 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity and liabilities |
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity |
|
|
|
|
|
|
Called up share capital |
8,576 |
|
8,576 |
|
8,576 |
|
Share premium |
31,654 |
|
31,654 |
|
31,654 |
|
Capital redemption reserve |
- |
|
- |
|
- |
|
Revaluation reserve |
853 |
|
886 |
|
870 |
|
Retained earnings |
(8,409) |
|
(8,942) |
|
(8,046) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total equity |
32,674 |
|
32,174 |
|
33,054 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-current liabilities |
|
|
|
|
|
|
Borrowings |
14,136 |
|
11,609 |
|
12,544 |
|
Lease liabilities |
9,254 |
|
9,085 |
|
9,590 |
|
Deferred tax liabilities |
1,245 |
|
933 |
|
1,340 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
24,635 |
|
21,627 |
|
23,474 |
|
|
|
|
|
|
|
|
Current liabilities |
|
|
|
|
|
|
Trade and other payables |
6,074 |
|
4,576 |
|
6,353 |
|
Lease liabilities |
499 |
|
334 |
|
496 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
6,573 |
|
4,910 |
|
6,849 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total liabilities |
31,208 |
|
26,537 |
|
30,323 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total equity and liabilities |
63,882 |
|
58,711 |
|
63,377 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CONSOLIDATED STATEMENT OF CASH FLOWS
FOR THE SIX MONTHS ENDED 30 JUNE 2026
|
|
|
|
H1 2026 (unaudited) |
|
H1 2025 (unaudited) |
|
|
|
|
£’000 |
|
£’000 |
|
Cash flows from operating activities |
|
|
|
|
|
|
Loss before tax |
|
|
(551) |
|
(687) |
|
|
|
|
|
|
|
|
Adjustments to reconcile loss before tax to |
|
|
|
|
|
|
net cash flows from operating activities: |
|
|
|
|
|
|
Amortisation of intangible assets |
|
|
5 |
|
8 |
|
Depreciation of property, plant and equipment |
|
|
160 |
|
175 |
|
Loss on disposal of property, plant and equipment |
|
|
- |
|
9 |
|
Finance income |
|
|
- |
|
(3) |
|
Finance costs |
|
|
420 |
|
372 |
|
Fair value adjustment to biological produce |
|
|
- |
|
(202) |
|
Equity-settled share-based payments |
|
|
76 |
|
51 |
|
Decrease in trade and other receivables |
|
|
636 |
|
324 |
|
Decrease in inventories |
|
|
2,371 |
|
2,251 |
|
Increase in biological produce |
|
|
(2,273) |
|
(2,266) |
|
Decrease in trade and other payables |
|
|
(279) |
|
(469) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net cash flows from operating activities |
|
565 |
|
(437) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash flows from investing activities |
|
|
|
|
|
|
Purchase of property, plant and equipment |
|
|
(1,102) |
|
(804) |
|
Interest received |
|
|
- |
|
3 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net cash flows from investing activities |
|
|
(1,102) |
|
(801) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash flows from financing activities |
|
|
|
|
|
|
Proceeds from borrowings |
|
|
10,900 |
|
8,982 |
|
Repayment of borrowings |
|
|
(9,714) |
|
(7,718) |
|
Lease payments |
|
|
(590) |
|
(558) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net cash flows from financing activities |
|
|
596 |
|
706 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net increase/(decrease) in cash and cash |
|
|
59 |
|
(532) |
|
equivalents |
|
|
|
|
|
|
Cash and cash equivalents at beginning of period |
|
|
262 |
|
982 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash equivalents at end of period |
|
|
321 |
|
450 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1. BASIS OF PREPARATION/ACCOUNTING POLICIES
The Company’s report for the six months ended 30 June 2026 was authorised for issue by the directors on 23 September 2026. The financial information does not constitute statutory accounts within the meaning of Section 434 of the Companies Act 2006. Accordingly, this report is to be read in conjunction with the Annual Report for the year ended 31 December 2025, which was prepared in accordance with the Company’s reporting standards (International Financial Reporting Standards as adopted by the UK, IFRS) that were in effect at that time.
The Company is required to value net assets in accordance with the Company’s reporting standard (IFRS). The assets (wine stock, land, vineyard) are held at cost which the Directors believe is considerably less than the net realisable value.
The statutory accounts for the year ended 31 December 2025 have been reported on by the Company’s auditors, received an unqualified audit report and have been filed with the registrar of companies at Companies House. The unaudited interim financial statements for the six months ended 30 June 2026 and 30 June 2025 have been drawn up using accounting policies and presentation adopted in the Company’s full financial statements for the year ended 31 December 2025, being UK adopted IFRS.
2. BALANCE SHEET REVIEW
The net asset value of the Company as at 30 June 2026 was £32,674k which includes:
• Fixed assets held at net book value of £27,234k, including vineyard development expenditure which is capitalised at cost.
• £29,372k of stock, which is valued at cost being the lower of cost or net realisable value.
3. LOSS PER SHARE
The calculation of the loss per share for the six months ended 30 June 2026 is based on the loss for the period of £489k and the weighted average number of shares in issue during the period of 171,524,316 exclusive of the effect of dilutive share options, and 173,884,381 inclusive of dilutive options.
4. Reconciliation of operating (loss)/profit to adjusted EBITDA
|
|
|
H1 2026 |
|
H1 2025 |
|
|
|
£’000 |
|
£’000 |
|
|
|
|
|
|
|
|
Operating loss |
(131) |
|
(318) |
|
|
|
|
|
|
|
|
Add back: |
|
|
|
|
|
Fair value adjustment to biological produce |
- |
|
(202) |
|
|
Depreciation and amortisation |
1,044 |
|
972 |
|
|
Finance costs |
324 |
|
307 |
|
|
Share-based payment expense |
76 |
|
51 |
|
|
Exceptional costs |
- |
|
221 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted EBITDA |
1,313 |
|
1,031 |
|
|
|
|
|
|
The intention of the Adjusted EBITDA1 metric is to provide the Board with a comparable, year-on-year indicator of underlying trading and operational performance by excluding the impact of non-cash or volatile non-trading elements such as financing, depreciation, fair value adjustment to biological produce, volatile share price performance or one-off exceptional impacts.
5. DISTRIBUTION OF THE HALF YEAR STATEMENT
Copies of this statement will be available for collection free of charge from the Company’s registered office at Chapel Down Winery, Small Hythe Road, Tenterden, TN30 7NG. An electronic version will be available on the Company’s website, www.chapeldown.com.
Contacts
|
Chapel Down Group plc James Pennefather Louan Mouton |
Chief Executive Officer Chief Financial Officer |
015 8076 3033 |
|
|
|
|
|
Singer Capital Markets Alex Bond Shaun Dobson James Todd |
Nominated Adviser and Broker
|
020 7496 3000 |
|
|
|
|
|
H/Advisors Sam Cartwright Jonathan Cook |
|
020 7379 5151 |
About Chapel Down:
Chapel Down (AIM: CDGP) is England's leading winemaker and the lighthouse brand of English wine, the world's newest international wine region. From its home in Kent in the heart of the Garden of England, Chapel Down produces a range of sparkling and still wines which consistently win prestigious international awards for their quality. Chapel Down has over 1,000 acres of vineyards, c.9% of the UK's total, of which 897 acres are fully productive.
Chapel Down's status as the most recognised English wine brand is supported by its partnerships with flagship sporting and cultural events including Ascot and The Boat Race. Chapel Down is the 'Official Sparkling Wine' of the England and Wales Cricket Board and 'Official English Sparkling Wine' for The Jockey Club and Royal Philharmonic Orchestra.
Chapel Down is listed on the London Stock Exchange's AIM and has over 10,000 retail investors who enjoy discounts on Chapel Down's wines, tours and tastings at the brand's home at Tenterden in Kent, which each year attracts c.50,000 visitors.
Chapel Down is strongly committed to growing its business in balance with the environment and sustainability is a strong, ongoing focus. The company is a founding member of Sustainable Wines of Great Britain and practises sustainable viticulture.