(MarketWatch) - One of the world's largest listed wine producers Treasury Wine Estates Ltd. said Friday annual net profit jumped 40% as it withdraws from the heavy discounting segment of the U.K. market and cuts costs. Treasury's portfolio includes brands such as Beringer, Wolf Blass, Rosemount, Lindeman's and Penfolds, the maker of Australia's famous Grange. It plans to offer more premium wines, following the launch in November of its Bin 620 shiraz and cabernet sauvignon blend, which carries a A$1,000-a-bottle price tag. Chief Executive David Dearie said he was pleased with the company's performance, but warned the coming year would be challenging with less premium wine available to meet consumer demand, higher information technology costs and lower inventory levels with U.S. distributor partners. Earnings are expected to rebound to above average growth rates the following year.