Imperial Brands warned of modest first-half profit growth and expected market share declines across its key markets, sending shares down more than 8%, as the company pivots toward profitability over volume. While reaffirming its FY26 guidance, including low-single-digit tobacco growth, double-digit next-generation product (NGP) revenue growth, and £2.2 billion in free cash flow, the group said performance would be weighted to the second half, supported by pricing in combustibles and continued momentum in heated tobacco, vaping, and oral nicotine.
The shift comes as Imperial accelerates its five-year strategy to expand alternatives while stabilizing its core tobacco business, though weaker trends in the U.S. and Australia and heightened geopolitical risks linked to Middle East tensions could impact the outlook.
