British American Tobacco (BAT) on Thursday announced a 19% increase in its net profit in the first half of 2018 to 2,7 billion pounds. The tobacco company has benefited in particular from the growth in its sales with the integration into its accounts of the American Reynolds.
TOBACCO, HEATED TOBACCO AND ELECTRONIC CIGARETTE!
Improving the profitability of British American Tobacco mainly illustrates the 57% jump in turnover to 11,6 billion pounds (15,04 billion Swiss francs). The rise in income is due to the contribution of Reynolds, whose takeover for 49,4 billions of dollars (48,5 billion Swiss francs) was completed in July 2017.
The takeover of the owner of the brands Camel, Winston and Newport, among others, has allowed it to become a leading player in the United States and in the field of electronic cigarettes. BAT is now the number one listed tobacco company in the world in terms of turnover and operating profit.
On a like-for-like basis, the sales volume of cigarettes, including electronic cigarettes, fell by 2,2% to 348 billion pounds. However, this figure remains above the market average, as the group believes that it fell between 3% and 4% in the first half of 2018.
A decline in Korea and Japan
« Despite the recent decline of e-cigarettes in some markets, such as Korea or Japan, we still believe we will exceed £ 2018bn in next-generation (NGP) product sales in XNUMX.“, Noted Nicandro Durante, CEO of the group.
NGP's sales, which include electronic vapor cigarettes and heated tobacco products, represented 3,5% of sales in the first half. The group also specifies that its results suffered the negative impact of exchange rates, up to 8% over the half-year, and estimates it at 5% or 6% over the whole year.
Source : Zonebourse.com
