Imperial Brands said today that it was on track to meet earnings expectations for the full year to the end of September at both constant currency and reported exchange rates.
In a trading update posted on its website, the company said it was continuing to invest in its strategy to drive sustainable growth in a ‘particularly challenging industry environment’. ‘The impact of this investment on earnings is mitigated by our cost programs, pension scheme restructuring and ongoing efficiencies,’ it said.
‘Our increased investment is delivering a stronger second half performance with market share gains in most of our priority markets and continued outperformance of our Growth Brands…
‘In next generation products, we are gearing up for new launches in an extended footprint in the coming year focused on improving the consumer experience and further building the blu brand…
‘Earlier in the month we took the opportunity to realise value via a further sell-down of our Logista holding, and we are using the proceeds to buy-back shares and reduce debt, redeploying capital in an efficient manner.
‘Further to overnight media speculation, we confirm that we have been working, together with other stakeholders, to seek to create a sustainable future for the UK wholesaler, Palmer & Harvey, with whom we have a close trading relationship.’
Imperial is due to announce on November 7 its preliminary results for the year to the end of September.