Imperial expects full-year volumes to be down by three per cent

The Imperial Tobacco Group said today that its overall financial position and operational performance for the financial year to September 30 was in line with the board’s expectations.

‘We are delivering strong gains from our key strategic brands and improving our revenue momentum through our focus on driving quality growth across our total tobacco portfolio,’ the company said in a note posted on its website.

‘Tobacco net revenues (at constant currency) are expected to be up by around four per cent with particularly good performances in ourEastern Europe, Africa & Middle East and Asia-Pacific regions.

‘Stick equivalent volumes are expected to decline by up to three per cent (compared to re-stated 2011 volumes of 346 billion as disclosed in the group’s 2012 half year results), the majority of which is due to ongoing market weakness in Ukraine (cigarette) and Poland (fine cut tobacco), and compliance with international trade sanctions against Syria.

‘We are making excellent progress with our key strategic brands Davidoff, Gauloises Blondes, West and JPS, and expect this to be reflected in further strong volume and revenue gains from these brands, which continue to represent an increasing proportion of our volumes.’

Imperial said it expected to release its results for the year ending September 30 on October 30.