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Tag: British American Tobacco

  • Japan’s Heated Tobacco Market Reaches New Milestone

    Japan’s Heated Tobacco Market Reaches New Milestone

    Heated tobacco and other noncombustible products accounted for a larger share of Japan’s tobacco sales than cigarettes in 2025, marking a significant shift in the country’s market, according to Toyo Keizai. Philip Morris International’s IQOS leads the heated tobacco category with about 70% market share, followed by Japan Tobacco’s Ploom at 16.4% and British American Tobacco’s glo at 14.3%, based on Euromonitor data cited by the publication.

    According to the article, Japan’s Oct. 1 tax changes narrowed the price gap between cigarettes and heated tobacco, while potentially tighter regulation could create additional challenges. BAT and PMI have also entered Japan’s nicotine-pouch market, with JT following this year.

  • Kenya Approves Signature Leaf Acquisition of Mastermind Tobacco Assets

    Kenya Approves Signature Leaf Acquisition of Mastermind Tobacco Assets

    Kenya’s Competition Authority approved Signature Leaf Ltd.’s acquisition of certain assets belonging to Mastermind Tobacco (K) Ltd., which is under administration. The approval was published in the Kenya Gazette Oct. 2, under Gazette Notice No. 15916, following a decision dated Aug. 21 under Section 46(6)(a)(ii) of the Competition Act. The transaction could mark a new chapter for the Kenyan tobacco manufacturer, which stopped production in June 2023 and was placed under administration by I&M Bank in December 2023.

    According to The Kenya Times, Mastermind was founded in 1987 by the late Wilfred M’iti Murungi, a former British American Tobacco Kenya executive, and grew to become Kenya’s second-largest cigarette manufacturer after BAT. Its cigarette brands included Supermatch and Rocket. The company later faced financial difficulties, including a tax dispute with the Kenya Revenue Authority involving reported arrears of about KSh2.9 billion ($22.3 million), and subsequently dismissed about 1,000 employees as its financial position deteriorated.

  • BAT Survey Highlights Potential Impact of UK Vape Rules on Retailers

    BAT Survey Highlights Potential Impact of UK Vape Rules on Retailers

    A survey commissioned by British American Tobacco suggests proposed UK rules on the packaging and display of vapes and nicotine pouches could affect small retailers by limiting product choice and visibility. The Censuswide survey of 2,000 former smokers found that 31% buy nicotine products from corner shops or local newsagents, while 79% said flavor choice is important when selecting products and 31% said seeing multiple options on display influenced their purchase.

    BAT said restrictions on flavors, standardized packaging, and product displays could make it harder for retailers to manage stock and could contribute to missed sales. The government consultation on the proposed rules closes Oct. 2.

  • Oxford Economics Report Links High Cigarette Taxes to Illicit Growth

    Oxford Economics Report Links High Cigarette Taxes to Illicit Growth

    A new Oxford Economics report commissioned by British American Tobacco found an average correlation of 80% between real duty-paid cigarette prices and illicit cigarette market share across nine countries from 2015 to 2025. The study found that taxes accounted for an average of 77% of the retail price of duty-paid cigarettes in 2025, while illicit cigarettes were priced between 1.5 and 3.5 times lower than legal products. Across the countries studied, illicit market share increased by an average of 25 percentage points, from 18% in 2015 to 43% in 2025.

    Australia and Chile recorded some of the largest increases. Australia’s illicit cigarette market share rose from 13% in 2015 to at least 55% in 2025, with Oxford Economics estimating A$7.1 billion ($5 billion) in lost tobacco tax revenue. In Chile, illicit market share increased from 12% to 53% over the same period, with estimated tax losses of CLP 1.4 trillion ($1.4 billion). The report, which also examined Bangladesh, Brazil, France, Malaysia, the Netherlands, Pakistan, and Ukraine, said illicit trade is influenced by factors beyond price and called for strategies combining tax policy with enforcement measures. BAT said the findings highlight the need for policymakers to consider illicit-market risks when setting tobacco excise rates.

  • BAT Hosts Capital Markets Day

    BAT Hosts Capital Markets Day

    British American Tobacco hosted its Capital Markets Day for institutional investors and analysts today (Sept. 29) in Winston-Salem, North Carolina, outlining its Horizon 2030 strategy. Chief Executive Tadeu Marroco and members of BAT’s management team highlighted the company’s global multi-category nicotine portfolio and capabilities. BAT said it expects New Category revenue to grow at a mid-teens rate through 2030 and New Category contribution margin to reach at least 30% by 2030, driven by premiumization, improved product mix, increased scale, and more targeted resource allocation.

    BAT said it remains on track to deliver toward the lower end of its 3%-5% revenue growth and 4%-6% adjusted profit from operations growth targets for 2026, with adjusted diluted EPS growth toward the middle of its 5%-8% range, all at constant currency rates. The company also expects to reach its 2.0-2.5x target leverage range by year-end and said it expects a 2%-2.5% translational foreign-exchange headwind to 2026 adjusted diluted EPS growth based on current spot rates.

  • BAT Completes CFO Leadership Transition   

    BAT Completes CFO Leadership Transition   

    Dragos Constantinescu officially began his position as Chief Financial Officer and Executive Director of British American Tobacco today (Sept. 1), according to separate LinkedIn posts by BAT and CEO Tadeu Marroco. The appointment was first announced in April. Constantinescu returns to BAT after previously spending 16 years with the company across senior finance, strategy and general management roles before leaving in 2019, where he most recently served as CEO of Asahi Europe & International.  

    Constantinescu’s return completes BAT’s CFO leadership transition, with interim CFO Javed Iqbal moving to his permanent role as Director, Digital and Information. BAT said Constantinescu’s international experience across the nicotine and broader FMCG sectors, combined with his previous knowledge of the company, will support its ongoing “A Better Tomorrow” transformation, strategic priorities and focus on sustainable growth and shareholder returns.  

  • BAT Expands Technology Partnership with ITC Infotech

    BAT Expands Technology Partnership with ITC Infotech

    British American Tobacco (BAT) signed a multi-year strategic technology agreement with ITC Infotech to accelerate the transformation of its technology operations, with a focus on AI-assisted innovation, skills development, and efficiency improvements.

    Under the expanded partnership, ITC Infotech will provide technology services to BAT in Poland, Romania, and India, while continuing to scale capabilities at BAT’s Future Capabilities Centre in India. The company will also support BAT’s technology centers in Malaysia and Mexico.

  • BAT Announces Marketing Board Changes

    BAT Announces Marketing Board Changes

    British American Tobacco announced a series of senior leadership changes, with Chief Marketing Officer Luciano Comin set to retire on Feb. 28, 2027, after a 34-year career with the company. Comin, who has served on the Management Board for eight years, including the past three as CMO, will be succeeded by Pascale Meulemeester, currently regional director for Asia Pacific, Middle East, and Africa (APMEA). Meulemeester will become Chief Marketing Officer Designate on Jan. 1, 2027, and assume the role on March 1, 2027.

    The company also appointed Celina Li as regional director designate for APMEA, effective Sept. 1. Li, currently Chief Commercial Officer and general manager, International & Ingredients at Ocean Spray Cranberries, will take over as APMEA Regional Director and join BAT’s management board on Jan. 1, 2027. CEO Tadeu Marroco said the appointments support BAT’s ongoing transformation strategy, highlighting Meulemeester’s brand-building expertise and Li’s international leadership and consumer business experience.

  • BAT Reports H1 Growth, Raises Confidence in 2026 Outlook

    BAT Reports H1 Growth, Raises Confidence in 2026 Outlook

    British American Tobacco reported H1 2026 revenue of £12.24 billion, up 1.4% on a reported basis and 2.9% at constant currency, with growth led by the U.S. and AME (Americas, Middle East, and Africa). New Categories revenue increased 18% at constant currency to £1.93 billion, driven by Modern Oral and a return to double-digit growth in U.S. Vapor. Smokeless products reached 35 million consumers and accounted for 19.8% of group revenue, while New Category contribution rose 54.7% to £257 million.

    U.S. revenue increased 8.5%, including 58.1% growth in New Categories, while AME revenue rose 0.9% and APMEA declined 6.3%. Modern Oral revenue grew 65.9%, extending BAT’s leadership with a 39.2% volume share in its top markets. Combustibles revenue increased 2.1%, helping fund the company’s transformation. Adjusted diluted EPS rose 7.9% on a Canada-adjusted constant-currency basis, while adjusted operating profit increased 3.5%.

    BAT expects full-year adjusted diluted EPS growth toward the middle of its 5%-8% guidance range and plans to roll out Velo Max nationally and selected adult-focused Vuse flavors in the U.S. during H2.

  • BAT Kenya Says Illicit Cigarettes Costing $92M in Lost Taxes

    BAT Kenya Says Illicit Cigarettes Costing $92M in Lost Taxes

    BAT Kenya warned that illicit cigarettes now account for about 45% of Kenya’s cigarette market, costing the government an estimated Sh12 billion ($92.4 million) annually in lost tax revenue. The company said the illegal trade is undermining legitimate manufacturers and threatening an industry that supports about 80,000 livelihoods across farming, manufacturing, distribution, and retail.

    BAT Kenya Managing Director Sidney Wafula said illicit cigarettes, particularly those entering through porous borders including Uganda, are the company’s biggest challenge. “The continued rise in illicit cigarette trade remains the most significant threat to the sustainability of the legitimate industry and its value chains,” Wafula said, calling for sustained enforcement and stronger border controls.

    The warning came as BAT Kenya reported half-year revenue growth of 5% to Sh12.3 billion ($94.7 million), supported by export recovery and growth in nicotine pouches. The company said it expects continued growth in modern oral nicotine products while urging predictable tax policies and stronger action against illicit tobacco trade.