Henkell Freixenet Bets on Prosecco to Revive Growth

Henkell Freixenet said it is leaning on faster-growing sparkling wine segments, including prosecco, crémant and nonalcoholic drinks, to offset a weak global market and revive growth after revenue rose just 0.5% in 2025.

The Germany-based drinks company reported sales of €1.25 billion, or about $1.46 billion, last year, a result it described as stable in a market that continued to contract. The company said the first months of 2026 have also been difficult and that the year “will also be demanding.”

Andreas Brokemper, the chief executive, said in a statement that the global sparkling wine and wine market declined in 2025, but that several subsegments grew, including prosecco, crémant, nonalcoholic sparkling wines and aperitifs. He said the company strengthened its core brands and introduced new products, especially in nonalcoholic sparkling wines, which helped it gain market share.

Henkell Freixenet is part of the Oetker Group, the family-owned German conglomerate whose holdings also include luxury hotels such as Le Bristol Paris, Hotel du Cap-Eden-Roc and The Lanesborough in London. The drinks company said its biggest brand, Freixenet, fell 4% last year, mainly because of weakness in cava, the Spanish sparkling wine made by the traditional method.

The company said drought conditions in Spain’s Penedès region hurt cava production. It also pointed to tariffs in the United States as another drag on business. At the same time, rainfall has returned to the region, and Henkell Freixenet said conditions for the 2026 harvest look favorable even if they remain below long-term averages.

The company has been trying to broaden its geographic reach as well. Last year it opened subsidiaries in Argentina, Croatia and Ireland. Revenue remains concentrated in Western Europe at 32%, followed by German-speaking markets at 27%, the Americas at 21% and Eastern Europe at 18%. Asia-Pacific and other regions account for 2%.

One of the clearest bright spots has been Mionetto, Henkell Freixenet’s prosecco brand. Brokemper said it grew faster than the broader prosecco market last year and that its aperitivo extension has also performed well. The company said Mionetto Aperitivo has been launched in more than 15 countries over the past two years.

Crémant is another area of focus. Henkell Freixenet said global sales in the category rose 7.5% in 2025 and that its own crémant brand, Gratien Meyer, grew 14%, helped by demand in France, Germany and Britain. The company recently relaunched Gratien Meyer to raise its profile.

Nonalcoholic drinks are becoming a larger part of the strategy. Henkell Freixenet said its no- and low-alcohol portfolio grew 18% last year across all regions. The company began rolling out these products two years ago with Mionetto and later added Freixenet Cordon Negro 0.0%. Brokemper said the category is no longer a niche trend and will play an important role alongside alcoholic products.

In the United States, Henkell Freixenet’s second-largest market, the company has expanded through a partnership with Korbel. Since July 1, 2025, it has handled Korbel’s global sales, marketing and distribution. Brokemper said consumption in the U.S. is likely to stay subdued because of tariff policies and higher prices, but he said the company has a strong portfolio there with Mionetto, Freixenet, Segura Viudas and Korbel.