London, March 17, 2026, 19:31 GMT
Diageo shares ended barely higher in London on Tuesday and the group’s U.S.-listed shares also edged up, leaving the stock close to a 12-month low. The London-listed shares closed at 1,450 pence, up 0.07% and only modestly above their year low of 1,420.5p. In New York, Diageo’s U.S.-listed shares traded at $77.00 at 1910 UTC. 1
That matters because Lewis’s first results presentation last month changed the near-term picture for investors. Diageo cut its 2026 organic sales forecast, a measure stripping out currency swings and deal effects, to a 2%-3% decline, halved its interim dividend to 20 cents and said a fuller strategy would follow later this year. Lewis said Diageo had “significant opportunities” to improve competitiveness and made “customer, customer, customer” an immediate priority. 2
A regulatory filing published on Tuesday showed Lewis had been granted 306,039 options priced at £14.66 and 306,039 conditional share awards under Diageo’s 2023 long-term incentive plan, a performance-linked pay scheme. Finance chief Hannah Brooks also received awards tied to U.S.-traded shares, and the grants were made outside a trading venue rather than through open-market buying. 3
Even after Tuesday’s steady finish, Diageo remained roughly a third below its 12-month high of 2,214p. The shares traded between 1,442p and 1,457.5p during the session, while the FTSE 100 rose 0.83%. 1
The underlying problem is still demand. Diageo said first-half net sales fell 4.0% to $10.46 billion and organic net sales dropped 2.8%, hurt by softer U.S. spirits demand and continued weakness in Chinese white spirits, a baijiu business. Net debt stood at $21.7 billion at Dec. 31. 2
The February warning rippled across peers Pernod Ricard, Remy Cointreau and Campari, underscoring that the pressure is broader than one company. Dan Coatsworth of AJ Bell called Diageo’s half-year numbers “awful” and said “the repair job is massive”, while Goodbody’s Fintan Ryan said Lewis’s opening moves were “just the trailer” before a fuller strategy. 4
But the downside case has not gone away. Lewis has flagged tariff uncertainty, stretched consumer wallets and competition from cheaper alternatives, and Diageo still has to show it can rebuild volume without giving up too much pricing or starving brands of investment. 2
The next scheduled checkpoints are the UK ex-dividend date on April 16, the U.S. ex-dividend date on April 17 and a third-quarter trading update on May 6, according to Diageo’s financial calendar. Until then, there is no scheduled trading statement on the company calendar. 5
