UK
Imperial Brands Plc. said it expected annual net revenue growth to be at or above the upper-end of its forecast range.
The company said it expected volumes at its core tobacco business to be “slightly” behind the second half of last year, including in the US, after recent price increases. It also expects revenue from tobacco to grow modestly in the year. Imperial said it was on track to meet its full-year earnings expectations, with growth in the range of 4-8% and has forecast revenue to grow between 1-4%.
In the next generation product segment, Imperial said that overall its myblu was performing well with increased investment driving brand awareness with smokers and vapers and significant year on year revenue growth. “In the US, we have achieved good year-on-year revenue growth, despite some constraints due to market uncertainty following statements by the US Food & Drug Administration,” it said.
Operating profit for the first half of the year benefited from underlying tobacco profit growth offsetting the investment of £100 million into e-cigarette blu.