Japan Tobacco published its financial statements and independent auditor’s report for the 2025 fiscal year yesterday (March 24). The company reported strong year-on-year growth in 2025, with revenue rising to ¥3.5 trillion ($21.9 billion) from ¥3.06 trillion ($19.3 billion) in 2024 and gross profit increasing to ¥2 trillion ($12.3 billion). Operating profit more than doubled to ¥867 billion ($5.5 billion), driven by higher income and significantly lower selling and administrative expenses, while profit before tax climbed to ¥739.8 billion ($4.7 billion). Net profit for the period surged to ¥513.2 billion ($3.2 billion), up from ¥182.6 billion ($1.2 billion) the previous year, with earnings per share nearly tripling. Comprehensive income also rose sharply to ¥686.4 billion ($4.3 billion), reflecting stronger foreign exchange gains and overall improved performance.
According to Investing.com, JT’s outlook for 2026 remains optimistic, with an expected core revenue increase of 3.6% and an 8.9% rise in adjusted operating profit at constant currency. The company plans to invest ¥800 billion ($5 billion) in reduced-risk products (RRP) from 2026 to 2028, focusing on consumer acquisition and retention. JT is also exploring mergers and acquisitions opportunities to further strengthen its position in both combustibles and RRP markets.
