British American Tobacco’s Cigarette Volume Demonstrates Great Results

December 9th, 2015 00:00
British American Tobacco

British American Tobacco’s cigarette volumes in the course of the nine months to the end of September have decreased by 1.8 % on those of the nine months to the end of September 2014.
Based on an interim management report shared on the company’s website, volumes decreased in all of the company’s regions: by about 1.3 % in the Asia-Pacific region; by 5.1 % in the Americas; by 0.7 % in Western Europe; and by 0.8 % in the EEMEA (Eastern Europe, Middle East and Africa).
Entire tobacco volumes, including OTPs measured as stick-equivalents, decreased by 2.0 % to 505 billion. BAT stated that its 1.8 % volume drop in the course of the first nine months was a lower rate of decrease than that for the entire market.
BAT explained that the volume of its five Global Drive Brands (GDB) has boosted by 7.2 % during the nine months, with the 3Q larger by 9.5 %.
Dunhill’s volume amplified by 4.7 % in the year to date, pushed by a 20 bps boost in market share, with bigger volume in Indonesia, Brazil, South Africa and Hungary to some extent compensated by South Korea and Malaysia,’ it noted.
Kent’s market share was slightly higher, with increased volume by 2.4 % in the nine months as the overall performance in Iran, Turkey and Japan, greatly compensated the lower volume in Russia.
Lucky Strike’s volume on the contrary has increased by 3.4 % in the nine months, with raises in Belgium, France and Mexico compensating reduction in Russia and Spain, and an boost in market share of 10 bps.
Pall Mall market share raised by 10 bps, with the nine month volume slightly lower as increase in Poland, Mexico, Canada and Pakistan was compensated by the impact of the brand migration to Rothmans in Italy.
Rothmans market share was larger by more than 50 bps as volume increased by 43.2 % in the year to date with robust performances in Russia, Turkey, Ukraine, Italy, Kazakhstan, Australia, Algeria and the UK.’
“The Group proceeds to carry out perfectly, with a strong 3Q,” stated chief executive, Nicandro Durante. “Our excellent market share development was pushed by the outstanding performance of our GDB whilst the boost in earnings, at constant rates of exchange, was due to solid pricing in the the greater part of our markets

By Steve Shepherd, Staff Writer. Copyright © 2015 All rights reserved.

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