Insiders Are Growing More Confident About the Art Market
Which artists are expected to see growth in the next 10 years?
Which artists are expected to see growth in the next 10 years?
Contemporary art experts are growing more positive about the market, a survey shows.
The latest ArtTactic Confidence Indicator, based on a poll of 135 international collectors, auction specialists, art dealers, art advisors, and market analysts, had a reading of 80.6 in July, the highest level since January 2014.
By comparison, the reading stood at 44.6 in November 2020, “signalling a strong positive shift in market sentiment over the last eight months,” the report said.
ArtTactic, a London-based art market analysis firm, has gauged the market sentiment every six months since May 2005.
The positive sentiment was quite broad. The outlook indicator for the auction market had a reading of 90, up from 56 in November 2020. Meanwhile, the primary market confidence, which reflects the market sentiment of art galleries, had a reading of 76, up from last November’s reading of 39.
Additionally, 51% of experts surveyed said they believed the market for established contemporary artists will continue to strengthen over the next six months, compared to just 24% saying so in November 2020.
The top-five established artists whose works are expected to see increased demand within the next 10 years are Yoshitomo Nara, Cecily Brown, Mark Bradford, George Condo, and Gerhard Richter, according to the survey.
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The company is best known for its prestigious Penfolds brand
Australia’s Treasury Wine Estates admitted defeat in its effort to divest brands including Wolf Blass and Blossom Hill, moderating its annual earnings guidance amid weaker sales of its cheaper products.
Last year, Treasury outlined plans to offload its so-called commercial portfolio in a pivot toward costlier, higher-margin brands. As part of the move, it bought California’s Frank Family Vineyards in 2021 and Daou Vineyards in 2023 in deals worth US$1.31 billion combined.
On Thursday, Treasury told investors that it had failed to find a buyer for its budget brands.
“TWE has concluded that the offers received for these brands did not represent compelling value and therefore their retention is the best course of action,” Treasury said.
The company, which is best known for its prestigious Penfolds brand, said that demand for brands typically retailing for less than US$19 a bottle had fallen by 4.9% in the December-half. That includes the commercial portfolio, which comprises the company’s cheapest offerings.
As a result, Treasury expects so-called Ebits—earnings before interest, tax and other impacts including one-off items—for the full fiscal year of 780 million Australian dollars, or about US$489.8 million. That’s at the bottom end of its previously issued A$780 million-A$810 million guidance range.
Even so, Treasury on Thursday reported a A$220.9 million net profit for its fiscal first half, up 33% on year as the company continued to re-establish its Penfolds brand in China following that country’s removal of tariffs on Australian wine.
Revenue rose by 20% to A$1.57 billion, while profit increased 33% to A$239.6 million once material items and currency moves were stripped out.
The average analyst forecast had been for a net profit of A$242.1 million from revenue of A$1.57 billion, according to data compiled by Visible Alpha. Treasury reported first-half Ebits of A$391.4 million.
The board declared a dividend of 20 Australian cents a share, up from 17 cents a year earlier.
This stylish family home combines a classic palette and finishes with a flexible floorplan
Just 55 minutes from Sydney, make this your creative getaway located in the majestic Hawkesbury region.