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Tag: JTI

  • JT Reports Strong Q3 2025 Results, Raises Full-Year Forecasts

    JT Reports Strong Q3 2025 Results, Raises Full-Year Forecasts

    Japan Tobacco Inc. (JT) reported robust growth for the first nine months of 2025, with revenue up 13.2% to ¥2.63 trillion ($17.1 billion) and adjusted operating profit at constant FX up 27.2% to ¥849 billion ($5.5 billion), driven by solid pricing and higher tobacco volumes. The company also completed the transfer of its pharmaceutical business to Shionogi & Co., Ltd. and its subsidiary TORII PHARMACEUTICAL, marking a strategic shift to focus on its core tobacco operations.

    At the end of September 2025, total assets stood at ¥8.2 trillion ($53.2 billion), down ¥175.7 billion ($1.1 billion) year-to-date, mainly due to lower cash holdings, while equity increased to ¥4.17 trillion ($27.1 billion) on higher retained earnings. Operating cash flow remained strong at ¥287 billion ($1.9 billion), supported by steady contributions from the tobacco business, despite payments related to the Canadian litigation settlement.

    Reflecting strong performance, JT raised its full-year forecasts across all metrics, projecting a 13.1% rise in revenue and a 24.3% increase in adjusted operating profit at constant FX. CEO Masamichi Terabatake credited growth in the Ploom heated tobacco segment, with Ploom AURA and EVO premium sticks boosting Japan’s HTS market share to 15.5%. JT also announced a revised annual dividend of ¥234 ($1.52) per share, up ¥26 ($0.17), in line with record-high earnings and its shareholder return policy.

  • JTI UK Launches Strongest Nordic Spirit Nicotine Pouch Yet

    JTI UK Launches Strongest Nordic Spirit Nicotine Pouch Yet

    JTI UK announced the launch of its most potent nicotine pouch to date, Nordic Spirit Frosty Mint Max (17mg), which is now available via JTI360 and key multiple grocers, with wider rollout to independent and symbol retailers from November 3. Priced at £6.50 RRP, JTI said it is targeting the fast-growing “max strength” segment, which now accounts for 16% of nicotine pouch sales in the Independents & Symbols channel.

    The new variant debuts Nordic Spirit’s refreshed branding, featuring darker tones and bold design cues to emphasize strength. With the UK nicotine pouch market valued at £15.9 million per month, JTI says the product will help retailers meet rising demand for high-strength options.

  • JTI Introduces Ploom AURA in Romania

    JTI Introduces Ploom AURA in Romania

    Japan Tobacco International launched its latest heated tobacco device, Ploom AURA, in Romania, offering adult consumers a modern and premium experience. The device features “SMART HEATFLOW technology, which preserves authentic tobacco flavors without combustion or smoke, while its sleek, curved design ensures ease of use and a sophisticated look.” Sobranie refills with CleanSeal technology complement the device, preventing tobacco leakage and enhancing the overall experience.

    Marian Zamfir, Marketing Director for JTI Romania, Moldova, and Bulgaria, said the device meets three essential consumer needs: taste, experience, and style, saying, “Ploom AURA was designed for adult consumers seeking solutions that align with their lifestyle and evolving preferences.” The launch follows JTI’s entry into Romania’s heated tobacco market in 2023 with the Ploom X device.

    Alexander Pitchka, General Manager of JTI Romania, Moldova, and Bulgaria, highlighted the company’s long-term vision in the country, citing its success in developing premium brands like Sobranie. He emphasized that the launch reflects JTI’s commitment to sustainability, consumer choice, and innovation.

  • JTI Malaysia Backs Phased Tobacco Excise Hike, Stresses Illicit Concerns

    JTI Malaysia Backs Phased Tobacco Excise Hike, Stresses Illicit Concerns

    JTI Malaysia voiced support for the government’s phased tobacco excise increases for budget 2026, starting November 1, describing the approach as balanced for revenue stability and enforcement continuity. The company emphasized that illicit cigarettes remain a major concern, urging continued coordination between the Ministry of Finance, Royal Malaysian Customs, and industry players to ensure tax adjustments are matched by strong border enforcement.

    JTI also expressed disappointment that vape products were excluded from excise measures, despite full regulatory parity under the 2024 Control of Smoking Products for Public Health Act.

  • JTI Releases White Paper on Tobacco Farmer Supply Chains

    JTI Releases White Paper on Tobacco Farmer Supply Chains

    JTI published a white paper highlighting its evolving relationship with tobacco farmers, focusing on improving yields, product quality, and sustainability. Paulo Saath, Global Head of Leaf Operations, emphasizes balancing business growth with environmental, social, and governance (ESG) goals.

    Titled, “Changes and Innovation in the Tobacco Supply Chain,” the paper details how JTI is tackling challenges like climate change and geopolitical volatility through digitization, AI, and integrated analytics, centralizing 15–20 systems into a unified data platform for better visibility across its global supply chain.

    Saath also stressed that technology succeeds when paired with human engagement, advising leaders to address concerns transparently and support teams through transitions, ensuring sustainable and efficient operations.

    Find the white paper here (e-mail registration required).

  • Bloomberg: JTI Bets on Discount Cigarettes Amid Global Shift to Smoke-Free Products

    Bloomberg: JTI Bets on Discount Cigarettes Amid Global Shift to Smoke-Free Products

    Today (September 25), Bloomberg published an article titled “Japan Tobacco is Doubling Down on Cheap Cigarettes,” examining Japan Tobacco International’s (JTI) revenue strategy since its $2.4 billion acquisition of Vector Group in October 2024.

    “While rivals Philip Morris International Inc. and British American Tobacco Plc have set ambitious targets for ‘smoke-free’ products such as e-cigarettes, heated tobacco sticks and nicotine pouches, JTI has focused more on conventional combustible tobacco products,” the article said. The strategy is paying off, according to the article, as JTI’s cigarette volumes rose 2%, revenue 9%, and profit 10%. While smoke-free products like Ploom and Nordic Spirit are expanding, JTI remains focused on conventional cigarettes in both mature and emerging markets.

    “In the U.S., the Vector acquisition has given JTI an advantageous position, as smokers contend with inflation and higher taxes, and tobacco makers increase prices to help compensate for a decline in cigarette volumes,” the article said. “Since 2021, premium brands have steadily lost share, falling from about 80% of tracked cigarette sales to about 70%, according to Connor Rattigan, analyst at Consumer Edge.”

  • JT Completes €500 Million Subordinated Bond Issuance

    JT Completes €500 Million Subordinated Bond Issuance

    Japan Tobacco International Financial Services B.V. (JTIFS), a subsidiary of Japan Tobacco Inc. (JT), completed the issuance and settlement of €500 million Euro-denominated subordinated bonds due 2055. The transaction was first announced on August 27.

    The securities, which carry equity-like features while being classified as debt, were launched to refinance JTIFS’s existing subordinated bonds due 2081.

    JT said the transaction, which also included the settlement of a related tender offer, will help strengthen the group’s financial foundation. The new securities are callable at the issuer’s discretion from March 2031 and on subsequent interest payment dates.

  • JTI: Mayfair Gold Strengthens Market Position in UK

    JTI: Mayfair Gold Strengthens Market Position in UK

    JTI says its Mayfair Gold continues with strong momentum in 2025, and is the UK’s fastest-growing low-price ready-made cigarette brand. With a 4.4% market share, the brand has established itself as a key player among independents and symbols, driven by strong demand for high-quality products at ultra-value prices since its launch in September 2024, JTI said. The company also said Mayfair Gold’s rolling tobacco is on track to exceed £200 million in retail sales within its first year, underscoring the brand’s rapid ascent in both the RMC and RYO categories.

    The growth comes alongside a series of retailer engagement initiatives on JTI360, including the Mayfair Gold Super Competition, which recently rewarded Salim Patel of The Swan Service Station, Mirfield, England, with a VIP cricket experience at Lord’s Cricket Ground in London.

  • U.S. Judge Grants Recognition to $23B Canadian Tobacco Settlement

    U.S. Judge Grants Recognition to $23B Canadian Tobacco Settlement

    A New York bankruptcy judge yesterday (August 26) approved U.S. recognition of Imperial Tobacco Canada Ltd.’s restructuring plan, a key step in a landmark C$32.5 billion (US$23.6 billion) settlement resolving decades of Canadian tobacco litigation. Judge John P. Mastando III granted Chapter 15 approval without objection, clearing the way for the settlement, one of the largest restructurings in Canadian history, to take effect across both jurisdictions.

    The deal, approved by an Ontario court in March, involves Imperial, JTI-Macdonald Corp., and Rothmans Benson & Hedges Inc. It will be funded over 20 years, beginning with a C$12 billion (US$8.7 billion) upfront payment, followed by profit-sharing contributions.

    The agreement resolves more than a trillion Canadian dollars in claims from class actions and provincial governments over smoking-related health costs.

  • Japan Tobacco to Issue Euro-Denominated Subordinated Bonds

    Japan Tobacco to Issue Euro-Denominated Subordinated Bonds

    Japan Tobacco Inc. said today (August 27) its foreign subsidiary, JT International Financial Services B.V. (JTIFS), will issue Euro-denominated Ordinary Subordinated Guaranteed Fixed Rate Resettable Capital Securities due 2055. The new hybrid-style subordinated bonds, which combine debt and equity characteristics, will be offered in international markets. Proceeds will be used to refinance JTIFS’s outstanding Euro-denominated deeply subordinated guaranteed bonds due 2081, for which a tender offer has been launched.

    JT said the move will help strengthen the group’s financial base, noting that rating agencies may recognize the new issuance as having partial equity credit.