My mushroom gravy gets its richness from cremini mushrooms browned until deep and savory, then deglazed with dry sherry and finished with thyme. It’s fully vegan but tastes just as rich thanks to soy sauce and sherry. I make it every Thanksgiving and keep leftovers for mashed potatoes all week.

Cooking the mushrooms until the pan is dry is what makes this vegan gravy rich

Most mushroom gravies taste watery because people rush the mushroom step. Mushrooms release a lot of liquid when they hit the heat — you have to cook through that wet phase and keep going until the pan is completely dry and the mushrooms start to brown. That takes 8-10 minutes, not the 3-4 minutes most recipes suggest.
The sherry deglazes all those browned bits stuck to the pan, and those browned bits are where the flavor lives. Dry sherry works best — it has a nutty depth that complements mushrooms. Dry white wine is a fine substitute, but the flavor will be brighter and less complex.
Soy sauce is the umami secret. One tablespoon doesn’t make the gravy taste Asian — it just makes it taste more savory, the way a little anchovy paste works in Caesar dressing. Combined with the mushrooms and sherry, you get a gravy that rivals any meat-based version.
The vegan butter at the end is optional but adds silkiness. Stir it in off the heat so it emulsifies into the gravy rather than separating.

Key ingredients and why they matter
To make this mushroom gravy, you’ll need cremini mushrooms, shallot, garlic, dry sherry, vegetable broth, soy sauce, fresh thyme, and vegan butter.
Full ingredient list and detailed instructions in the recipe card.

- Cremini mushrooms have more flavor than white button mushrooms. Chop them finely so they almost melt into the gravy, creating body without chunks.
- Shallot adds sweetness without the bite of onion. One medium shallot is enough — you want it to disappear into the gravy.
- Dry sherry deglazes the pan and adds nutty complexity. Dry white wine works as a substitute. Skip cooking wine — it’s too salty and harsh.
- Vegetable broth is the liquid base. Use low-sodium so you can control the salt. The gravy reduces, so regular broth can get too salty.
- Soy sauce adds umami depth without any identifiable soy flavor. Low-sodium is essential here.
- Fresh thyme tastes cleaner than dried in a quick-cooking sauce like this. Strip the leaves from the stems — the stems are woody.
- Vegan butter stirred in at the end adds richness and shine. It’s optional but makes a noticeable difference.
TIPS & TRICKS
Shruthi’s top tips
- Cook mushrooms until the pan is completely dry. This takes 8-10 minutes. If there’s any liquid left, the gravy will taste watery instead of rich.
- Scrape up the browned bits when you add the sherry. That fond is where most of the flavor lives.
- Stir in the butter off the heat. This helps it emulsify into a silky sauce rather than separating into oil.
- Thin with broth when reheating. The gravy thickens as it sits. A splash of broth brings it back.
How to make vegan mushroom gravy
- Heat olive oil in a medium saucepan over medium-high heat. Add shallot and cook until softened.
- Add garlic and mushrooms. Cook, stirring occasionally, until mushrooms release their liquid and the pan is dry.
- Sprinkle flour over mushrooms and stir constantly for 1 minute.
- Add sherry and stir, scraping up any browned bits, until mostly evaporated.
- Gradually whisk in vegetable broth. Add soy sauce, thyme, salt, and pepper. Bring to a simmer and cook until thickened. Remove from heat and stir in butter, if using. Taste and adjust seasoning.





How to serve sherry mushroom gravy
This is the gravy for mushroom Wellington, mashed potatoes, biscuits, or really anything that needs a rich, savory pour. Drizzle over my roasted vegetable salad or use as a sauce for seitan-based turkey or vegan ham.
Variations:
- Gluten-free: Use gluten-free all-purpose flour. The gravy thickens the same way.
- Richer: Use 2 tablespoons vegan butter instead of 1, or stir in 2 tablespoons coconut cream at the end.
- Herby: Add ½ teaspoon fresh rosemary along with the thyme.
- Smoky: Add ¼ teaspoon smoked paprika with the flour.

Storage and reheating suggestions
Store leftover mushroom gravy in an airtight container in the refrigerator for up to 3 days. Reheat gently over medium-low heat, stirring often, and add a splash of vegetable broth to loosen it as needed — the gravy thickens as it sits. Freezing is not recommended, as the texture becomes grainy once thawed.
This gravy is ideal for making ahead; prepare it up to 3 days in advance, refrigerate, and reheat while the main dish rests.
More holiday sides
Love this recipe? Here are more easy, festive sides for your holiday table.
Savory Sweet Potato Casserole
Cranberry Sauce with Dried Cranberries
Green Bean Casserole with Cream Cheese
Flaky Buttermilk Cheddar Cheese Biscuits

Mushroom Gravy
Ingredients
- 2 tablespoons olive oil
- 1 medium shallot, minced
- 2 cloves garlic, minced
- 8 oz cremini mushrooms, finely chopped
- 2 tablespoons all-purpose flour, or gluten-free flour
- ½ cup dry sherry, or dry white wine
- 1½ cups vegetable broth, low-sodium preferred
- 1 tablespoon low-sodium soy sauce
- 1 teaspoon fresh thyme leaves
- ½ teaspoon kosher salt
- ¼ teaspoon black pepper
- 1 tablespoon vegan butter, optional, for richness
Instructions
- Heat olive oil in a medium saucepan over medium-high heat. Add shallot and cook until softened, 2-3 minutes.
- Add garlic and mushrooms. Cook, stirring occasionally, until mushrooms release their liquid and the pan is dry, 8-10 minutes.
- Sprinkle flour over mushrooms and stir constantly for 1 minute.
- Add sherry and stir, scraping up any browned bits, until mostly evaporated, about 1 minute.
- Gradually whisk in vegetable broth. Add soy sauce, thyme, salt, and pepper. Bring to a simmer and cook until thickened, 5-7 minutes.
- Remove from heat and stir in butter, if using. Taste and adjust seasoning.
Notes
- Cooking the mushrooms until the pan is dry concentrates their flavor and prevents watery gravy
- The sherry adds depth — don’t skip the deglazing step
- For a smoother gravy, blend half with an immersion blender
- Use vegan butter or omit entirely.
- Substitute gluten-free all-purpose flour.
- Replace sherry with ½ cup extra vegetable broth plus 1 teaspoon apple cider vinegar for a non-alcoholic version.
- Refrigerate up to 3 days and reheat gently over low heat, adding a splash of broth if too thick.
Nutrition
Nutrition information is automatically calculated, so should only be used as an approximation.














