: British American Tobacco reports first-half profit rises despite volume decline

Published: July 31, 2020 at 2:23 a.m. ET

(FILES) This file photo taken on September 25, 2014 shows a packet of Camel cigaretes taken in Paris.

joel saget/Agence France-Presse/Getty Images

British American Tobacco said its first-half profit edged higher, as sales of higher-priced items and cost cuts offset a fall in volume.
British American Tobacco
said its profit from operations rose 3.3% to £5.37 billion, with revenue up 1.1% to £12.27 billion. Its adjusted EPS of 157.8 pence came in ahead of a FactSet-compiled analyst estimate of 156.54 pence on sales of £12.16 billion.
Volume fell 6.3%, which the company blamed on international travel restrictions, but a greater proportion of higher-priced cigarette sales helped sales to rise.
The company reiterated it expects revenue growth between 1% and 3% for the year at constant currencies — it had lowered that target in June — and mid-single figure adjusted EPS growth. The company said U.S. industry volumes will fall 2.5% instead of a previously estimated 4%, citing the continued resilience of consumer demand and higher trade stock levels being maintained as a result of COVID-19.



Investing for Retirement

Retirement may be a long way off for you – or...

Long Term Investments for the Future

If you are ready to invest money for a future event,...

Understanding Bonds

There are certain things you must understand about bonds before you...

How Much Money Should You Invest?

Many first time investors think that they should invest all of...