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British American Tobacco’s Cigarette Volume Dropped by 3.5%

Published on August 20th, 2013 00:00

British American Tobacco’s cigarette volume in the course of the six months has dropped by 3.5 %. Volume was boosted in the company’s Asia Pacific area by around 5.5 % to 100 billion, however it dropped in its several other regions, such as:  America by 9.4 % to 64 billion; Western Europe by 8.3 % and in the EEMEA (Eastern Europe, the Middle East and Africa) by 4.5 %.

The company’s key cigarette brands surpassed the wholeness of its offering. Dunhill’s volume raised by 6 %, with advancement registered in Indonesia, Chile, South Africa and South Korea to some extent compensated by decreases in Brazil, mostly due to the single effects in the similar period.

Kent preserved market share in spite of the lower volume of around 3 % caused by industry decreases in Russia and Romania, partly compensated by advancement in other Eastern European markets. Lucky Strike’s volume has fallen by 7 %, mostly motivated by the market shrinkage in Spain and lack of stability in the Middle East, in some measure compensated by bigger volumes in Germany, France and Argentina. And Pall Mall’s volume increased by 8 %, with solid expansion in Pakistan, Romania, Canada and Mexico somewhat compensated by decreased amounts in Russia and Spain.

Entire cigarette volume, which consists of some other smoking products, turned to cigarette equivalents, declined by 3.1 % to 346 billion.

BAT’s profit in the course of six months raised by 2 % in comparison to the one registered at the end of June 2012. “We demonstrated great results within the first six months of the year with robust pricing momentum, elevated market share and continuing expansion in our key brands, fortifying the fundamentals for one more year of excellent results in accordance with our long lasting strategic objectives,” CEO Nicandro Durante stated in the interview. “We went on to increase cigarette market share in our major cigarette markets, driven by the great performances of the key cigarette brands. Internationally, Dunhill, Lucky Strike and Pall Mall all increased market share, whilst Kent was rather steady. Jointly, our main brands obtained positive volume growth of 2.5 %. As to the other global brands they increased by 1.9 % and, along with our top cigarette brands, currently constitute almost 60 % of our entire cigarette volume.