Category: News This Week

Universal Reports Preliminary Results

Photo: Taco Tuinstra
Universal Corp. reported preliminary unaudited financial results for the second quarter of fiscal year 2025. Sales and other operating revenue were $710.8 million, operating income was $70.7 million, and net income attributable to Universal Corp. was $27.6 million. Tobacco operations sales and other operating revenues amounted to $630.2 million while tobacco operations operating income totaled $79.3 million.
“The Universal team delivered another quarter of solid results, driven by strong customer demand from our tobacco operations segment and larger, higher-quality and better-yielding crops in Africa. We believe our tobacco operations segment will continue its strong performance in the second half of our fiscal year,” said Universal Corp. chairman, President and CEO Preston D. Wigner in a statement.
While presenting preliminary figures, Universal Corp. delayed the release of its second quarter 2025 earnings due to an internal investigation regarding certain allegations related to embezzlement by a former senior finance employee at the company’s Mozambique subsidiary, Mozambique Leaf Tobacco.
The company has identified approximately $7 million of unauthorized payments during fiscal years 2022 through 2025. Universal Corp. said it intends to pursue sources of recovery, including company-maintained insurance. As of Nov. 12, the firm does not believe the matter under investigation will have a material negative impact on its financial results for fiscal year 2025.
“Integrity is a core value of ours and a key to everything we do at Universal,” said Wigner. “We are committed to ensuring that this matter is handled appropriately, and we are working to complete this investigation as soon as practicable.”
November 13, 2024
Pyxus International Posts ‘Solid’ Quarter

Photo: AOI
Pyxus International announced results for its fiscal quarter ended Sept. 30, 2024.
“We are pleased to report a solid first half, establishing the necessary foundation to achieve strong full-year results,” said Pyxus President and CEO Pieter Sikkel in a statement.
The company reported second-quarter sales and other operating revenues of $566.3 million compared to $624.3 million for the prior fiscal year’s second quarter. The change versus the prior year primarily reflects a shift in timing of certain shipments, a portion of which were accelerated into the company’s first quarter of the current fiscal year, with shipments being delayed out of the second quarter being expected to benefit second-half results.
The 9.3 percent reduction in second-quarter revenue compared to the prior-year second quarter was the result of a volume decline of 23 percent, partially offset by a 14.5 percent improvement from pricing driven by cost increases.
The company’s reported gross profit was $75.4 million in the second quarter compared to $88.7 million in the second quarter of fiscal 2024. This reduction was associated with the shipment of inventory purchased during El Nino market conditions in South America.
November 13, 2024
Juul Labs Appoints MD

Image: Cagkan
Wisdom comes from the Stonegate Group, where she served as chief commercial officer. Prior to that, she also served as a commercial director at Diageo and held senior positions at prominent national and global brands.
In her new role, Wisdom will oversee all Juul Labs U.K. commercial activities as the company seeks to bring its next-generation product technology to more parts of the world.
“Joining Juul Labs as its new managing director is an exciting opportunity to contribute to the company’s bold vision for the future—one where long-term success is achieved through responsible innovation and investment in high-quality, scientifically supported products,” said Wisdom in a statement.
“I look forward to advancing Juul’s commercial objectives across this rapidly changing industry to ensure we are delivering the best possible alternatives for adult smokers whilst taking serious action to prevent underage access to and appeal of our products.”
“We are thrilled to welcome Melissa Wisdom as Juul Labs’ new managing director,” said Juul Labs CEO K.C. Crosthwaite. “Melissa’s extensive commercial experience and her commitment to responsible growth in consumer markets make her an invaluable addition to the team.
“With new U.K. legislation coming down the track and the regulatory environment evolving in many markets, Melissa’s leadership will play a pivotal role in advancing our efforts to drive tobacco harm reduction by offering adult smokers high-quality product technology designed specifically to help them move away from traditional cigarettes.
“I am confident that Melissa will be a huge asset at this exciting time of opportunity for the company.”
November 13, 2024
‘Switchers’ See Improved Respiratory Health

Image: leszekglasner
People who switch from smoking to vaping see improved respiratory health, but people who begin consuming electronic cigarettes while continuing to smoke regular cigarettes do not report improved respiratory symptoms, according to a new paper in Nicotine and Tobacco Research, published by Oxford University Press.
Adults increasingly use electronic cigarettes to try to quit smoking because of the perceived reduced risk. But while vaping reduces exposure to toxic chemicals, it has been unclear whether switching from cigarettes to e-cigarettes results in a reduction of the respiratory problems—like wheezing and coughing—common in regular cigarette smokers.
Researchers used data from the Population Assessment of Tobacco and Health (PATH) study, a national longitudinal measure of tobacco use in the United States performed by the National Institutes of Health. The investigators here observed adult participants between 2013 and 2019 who reported smoking cigarettes exclusively at the beginning of the investigation and reported a baseline cough or wheeze.
The researchers divided the subjects into four groups: those who transitioned from exclusive cigarette smoking to quitting nicotine altogether, those who switched from cigarette smoking to vaping exclusively, those who continued to smoke cigarettes only, and those who kept smoking and also began vaping.
Completely switching from cigarettes to e-cigarettes led to a moderate increase in the resolution of wheeze symptoms compared with persistent smoking. However, there were lower rates of respiratory symptom resolution among those transitioning to vaping while maintaining or increasing their smoking.
Among 5,210 subjects with a baseline cough, 3,362 (65 percent) saw their coughs go away. Of the 5,367 people who reported a baseline wheeze, the researchers observed that 2,862 (53 percent) saw improvements. Switching from cigarettes to e-cigarettes exclusively resulted in significantly reduced wheezing but not cough resolution. Transitioning to both smoking and vaping (versus just continuing to smoke cigarettes) was not associated with respiratory improvement overall or even among participants who reduced their cigarette smoking intensity.
The researchers note that the rates of symptom resolution were 14 percent lower (for cough) and 15 percent lower (for wheeze) among those who switched to dual use and maintained or increased their smoking intensity; those who started using electronic cigarettes while continuing to smoke the same number of regular cigarettes saw their wheeze and coughing get worse.
Switching from smoking cigarettes to quitting nicotine altogether was, perhaps unsurprisingly, associated with the best improvements in both coughs and wheezing.
November 12, 2024
Ispire Net Loss Widens to $5.6 Million

Image: Nawarit
Ispire Technology reported revenue of $39.3 million for the first quarter of 2025, down from $42.9 million in the comparable 2024 quarter. Gross profit increased 13.2 percent to $7.7 million. Net loss was $5.6 million as compared to net loss of $1.3 million in the fiscal first quarter of 2024.
“Our results from the fiscal first quarter of 2025 reflect our commitment to our growth strategy of becoming the leading innovative vaping technology and precision dosing solutions company worldwide,” said Inspire Co-CEO Michael Wang in a statement.
“While our financial results were slightly impacted due to the strategic shifts we have made in our U.S. business to focus on high-quality customers and to improve payment terms and gross profit, I am pleased with our team’s overall performance given the challenging macroeconomic environment and look forward to the remainder of fiscal 2025 and the opportunities that lay ahead.”
According to Wang, Ispire continues to make progress with its point-of-use age gating technology. He also expressed excitement about the recent expansion of Ispire’s global reach through a five-year master distributor agreement with ANDS for the Middle East and North Affrica region and global duty-free markets
“The results from our fiscal first quarter were in line with our internal projections as we shifted our U.S. strategy while we also had a few delayed shipments which impacted our quarterly results,” said Ispire Chief Financial Officer Jim McCormick.
“As we head into the remainder of fiscal 2025, we are confident that we are well-positioned to continue delivering value to our shareholders as we advance our mission of becoming a global leading provider of innovative vaping technology and precision dosing solutions.”
November 12, 2024
Boredom, Relaxation Top Drivers of Teen Vaping

Boredom, relaxation and experimentation are the key drivers of teen vaping, according to new research from University of Michigan (U-M).
Published in Pediatrics, the study “Reasons for Vaping Among U.S. Adolescents” examined data from in-school surveys of U.S. students in eighth, 10th and 12th grades.
“Vaping has become the primary way that adolescents use nicotine,” said author Megan Patrick of U-M’s Institute for Social Research. “Understanding why adolescents vape is important for figuring out how to reduce and prevent nicotine use among teenagers.”
Of the 5,082 respondents, data showed relaxation was the most common reason cited, no matter the grade or frequency of vaping. Boredom landed in the top three reasons across frequency groups as well.
Among 12th graders who reported vaping near-daily, a third said they vaped to feel good or because it is more convenient than cigarettes. Less than 10 percent of that same group said vaping helped them quit smoking cigarettes.
Near-daily vaping in the past 30 days was reported by 1.7 percent of eighth graders, 4.2 percent of 10th graders and 7.8 percent of 12th graders. “Relaxation” emerged as the top reason for vaping, cited by nearly half of adolescents who vaped in the past year and over 70 percent of near-daily vapers.
The study stresses the importance of understanding the diverse reasons behind teen vaping, particularly the significant role of stress relief. Given that a large proportion of near-daily vapers use vaping to relax, incorporating mental health support into prevention programs is crucial.
“Our findings illustrate a shift over the past decade in the reasons adolescents vape, moving from experimentation to stress relief and relaxation, highlighting key areas for intervention,” Patrick said.
Other frequently mentioned reasons include “experimentation” and “boredom,” with “taste” also ranking high. Among near-daily vapers, significant numbers noted they vaped to “feel good” or because it is “more convenient than cigarettes,” with a smaller percentage aiming to “help quit cigarettes.”
“Among the adolescents who vape near-daily, 43 percent report that they vape because they are hooked or have to have it,” Patrick said. “The fact that so many adolescents feel addicted to nicotine is concerning. Another reason, reported by almost one in five near-daily vapers, was to manage their weight. Additional research is needed on this, but parents and health care professionals should be aware that many adolescents are vaping to try to lose weight or control their weight.”
The authors of the study argue that screening for stress and anxiety should be conducted alongside nicotine screenings to provide early intervention. These experts also noted a shift in why adolescents are vaping, as 2015 data listed relaxation as only the fifth most common reason.
They argue further research is needed to understand those adolescents vaping for weight management—reported by nearly a fifth of 12th graders who vaped near-daily.
The research was funded by the National Institute on Alcohol Abuse and Alcoholism and the National Institute on Drug Abuse.
.
November 12, 2024
Ondato Launches Age-Verification System

Image: Ondato
Ondato has launched a reusable age-verification solution, called OnAge.
The technology is designed to streamline age-restricted access and ensure user anonymity for digital platforms. Combining AI device recognition with biometric algorithms, the system enables companies to determine the ages of their users with 98.7 percent to 100 percent accuracy and use the results of the verification for subsequent visits, eliminating friction in granting users repeat access, according to Ondato.
Because the system retains only the user’s age eligibility status after verification, it complies with the strictest privacy and security standards. In addition, OnAge can be implemented into any website or app without requiring additional downloads from users.
“We’re excited to launch OnAge as a response to both regulatory needs and user demands for a more seamless, secure age-verification solution,” said Liudas Kanapienis, CEO and co-founder of Ondato.
“Our OnAge solution combines cutting-edge AI and biometric technology to ensure age compliance in a way that doesn’t compromise user experience or data privacy while keeping verification costs lower than other similar solutions. By introducing reusable verification, we’re making it easier for companies to protect minors while offering users a smoother, faster process.”
One of the advantages of OnAge is reusable verification, which allows businesses to save costs and spares customers the hassle of repeated verification each time they want to access restricted content or services.
After verifying their age once, users can create a four-digit PIN to access age-restricted content for a specified period, as set by the platform.
November 12, 2024
Top Court Strikes Down Vape Import Ban

Image: nanoenomar
Mexico’s ban on imports of e-cigarettes and related products is unconstitutional, the nation’s top court ruled, reports Meganoticias.
The First Chamber of the Supreme Court of Justice of the Nation determined that the prohibition imposes excessive restrictions on commercial freedom of Philip Morris Mexico.
The ruling is limited to Philip Morris Mexico and does not affect similar products that could be brought to market in the future.
It protects Philip Morris Mexico from future restrictions and sets a legal precedent that could influence future litigation. The judgment specifies that this protection will be maintained until the government amends its General Import and Export Taxation Act.
According to the Mexican government, an estimated 938,000 teenagers have tried electronic nicotine delivery systems, and about 160,000 use them regularly
Despite the import ban, vaping has spread rapidly. In 2023, there were an estimated 2.1 million e-cigarette users in Mexico, compared with 975,000 in 2019.
The Philip Morris Mexico case stems from an October 2022 Supreme Court ruling that deemed some prohibitions on ENDS unconstitutional and allowed certain groups to apply for permission to continue the import and sale of these products.
November 11, 2024
KT&G Rejects Offer for Ginseng Business

Image: Photobeps
KT&G rejected an offer by Flashlight Capital Services (FCP) to purchase its ginseng business, reports Business Korea.
On Nov. 8, KT&G sent a response to FCP’s letter of intent. “We will do our best to foster the three core businesses, including health functional foods,” it stated.
“Last year, we announced a mid-to-long-term growth strategy to foster health functional foods along with overseas cigarettes and NGP [next-generation products] as our three core businesses, and we will do our best to achieve these goals,” a KT&G official emphasized.
On Oct. 14, KT&G also issued a statement dismissing FCP’s acquisition proposal, stating, “FCP’s acquisition proposal was unilaterally disclosed without any discussion with us.”
In its letter of intent, FCP offered to acquire all KGC’s shares for nearly KRW2 trillion ($1.47 billion), which represents a 50 percent premium over the enterprise value mentioned by some analysts during KT&G’s 2023 investor day.
Industry insiders believe the likelihood of the transaction being completed is low, given KT&G’s shareholding structure.
November 11, 2024
Chandrasiri Joins Ceylon Tobacco Board

Image: Ink Drop
BAT subsidiary Ceylon Tobacco Co. has appointed Samanmalee Chandrasiri as a non-executive director to its board, reports EconomyNext.
A globally experienced professional with nearly two decades of expertise in human resources, Chandrasiri started her career in 2006 with HR business partnering roles at BAT Sri Lanka.
As BAT South Asia area head of talent, she managed talent strategies across Pakistan, Bangladesh, and Sri Lanka. This led to her position as organization effectiveness advisor in BAT Indonesia.
She served as HR director for BAT Sri Lanka and for Malaysia and Singapore.
She assumed duties as group head of organization effectiveness and talent management in July 2019, operating from London.
Chandrasiri served as group head of HR for global marketing, scientific research and development before taking the role of group head of talent, organization effectiveness and inclusion (London), where she led the global center of expertise on talent, organization effectiveness, diversity and inclusion
In October 2024, she stepped into her current role as group head of HR and inclusion—global operations and R&D.

November 11, 2024