Nov. 27 at 1:45 AM
$DEO
The
$910 million in impairments reported by Diageo in its fiscal year 2025 results primarily related to two specific categories: its investment in Distill Ventures and the brand value of Aviation American Gin.
The breakdown of the impairment charges is as follows:
Distill Ventures Investment: Approximately
$458 million was a write-down in the value of Diageo's investment in Distill Ventures, its accelerator program for start-up drinks brands. The company indicated it would no longer be bringing new brands into this program, reducing the perceived future value of the existing investment portfolio.
Aviation American Gin: Over a quarter of the total impairment, approximately
$231 million, was a reduction in the brand value of Aviation Gin. Diageo had acquired Aviation Gin and the related Davos Brands portfolio in a deal announced in August 2020 for an initial payment of
$335 million and potential further payments based on performance.
