Naked Wines finds £10m more savings as profits drive continues

Naked Wines has found another £10m in savings, as it races ahead of schedule to cut costs.

A major migration to third‑party software is set to improve Naked Wines’ site performance and deliver up to £10m a year in cost savings, following recent advances in technology.

The savings will come on top of the £25m in annual cost cuts already delivered by the DTC wine company, putting it well ahead of its £23m three‑to‑five‑year target set in March 2025.

Sitting alongside implemented price rises, Naked Wines’ strong savings would “materially improve” the company’s profitability, according to CEO Rodrigo Maza.

Commenting in a pre-close trading update ahead of audited results in the summer, he told investors the company had made “substantial progress” with the turnaround strategy set out last year.

The company said it expected full‑year EBITDA to come in at the top end of its £5.5m–£7.5m guidance range.

In line with its strategy to cut low-profit revenue streams, Naked Wines said turnover fell to around £200m, at the lower end of its guidance.

Net cash increased by £3m over the year to £33.4m, with £9m of cash generation partially offset by share buybacks of £6m.