British American Tobacco has adjusted its revenue predictions as a result of the COVID-19 pandemic, according to a company press release.

Despite the uncertainty presented by the COVID-19 pandemic, BAT is still performing well, but the company has adjusted its revenue predictions for this quarter to grow by 1 to 3 per cent, which were previously predicted to grow between 3 to 5 per cent. The company’s second half begins on July 1. BAT has also pushed its USD 6.3 billion revenue goal back to 2025, which it was previously aiming to achieve in either 2023 or 2024.
According to the report, different markets have been differently affected by the COVID-19 pandemic. Countries with developed markets, such as the US, have continued to see good results, with little evidence of accelerated downtrading to date. Countries with emerging markets, such as Bangladesh, Vietnam and Malaysia have been more affected, due to the closures and lock-downs that have taken place. The lockdown measures in South Africa, Mexico and Argentina have persisted longer than anticipated, which has also influenced their results.
Overall, BAT anticipates a FY headwind of around 3 percent from COVID-19 on constant currency adjusted revenue. As a result, the company anticipates a FY20 constant currency adjusted revenue growth in the 1 to 3 per cent range. Jack Bowles, Chief Executive, said of the results, “Thanks to the hard work and dedication of our teams around the world, I am pleased to say that we continue to perform well and expect a good performance in 2020, in the context of very challenging circumstances.”