Naked Wines CEO Rodrigo Maza has said “the best is still ahead” for the company, after reporting on progress in the company’s right-sizing strategy this morning.
Full-year results for the brand showed a 20% decline in revenue to £199.1m as it cut low-margin and lossmaking sales to focus on high-value and repeat customers.
“Substantial progress” in recalibrating around a smaller, more profitable core has given Naked a 35% boost to its adjusted EBITDA – up slightly ahead of guidance to £7.6m compared to £6.7m in 2025 – and gross profit margin climbed 150bp to 19.9%.
However, the company’s statutory loss before tax widened to £6.3m, up from £4.9m, as the company forked out cash for its restructuring and wrote off the value of assets.
But member retention rates were slightly ahead of the previous year at 76%, and the number of months it takes to break even on acquiring a new customer fell from 75 months to 42, with “further improvements evident” in FY27.
“In FY26 we recommitted to what makes Naked different, and the results have followed,” said Maza.
“As we continue to execute our Strategy through FY27, member numbers and revenue will not yet have stabilised, but profitability, cash generation and the quality of our member base will continue to strengthen, laying the foundations for future stability and growth. The best of Naked Wines is still ahead.”
Panmure Liberum analyst Wayne Brown praised the business, recommending a “strong buy”.
”Cost savings initiatives are running ahead of plan, with the group having now actioned £25m of annualised savings,” he said.
With the savings and Naked Wines’ increasing cash pile, Brown added, ”potential upside to the medium-term EBITDA target of £9m-£14m per annum is very real”.
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