Imperial Tobacco Group yesterday reported adjusted operating profit rose 3 per cent to GBP 1.52 billion (EUR 1.86 billion) in the six months that ended 31 March.

The Bristol-based company reported adjusted earnings rose 5.3 per cent to 93.1 pence a share for the half year to end-March beating a forecast of 92.7 pence from Reuters estimates.
According to the Financial Times, volume sales dropped 4.1 per cent to 159.1 billion stick equivalent (i.e. volumes of cigarettes and loose-cut tobacco) in the six-month period. But the company gained from the ending of a price war in Spain and the unwinding of destocking in the United States and Ukraine.
The results are an improvement on Imperial’s first quarter, when cigarette volumes dropped 7 per cent and net tobacco revenue slipped 1 per cent.
In the U.K., where Imperial Tobacco is market leader with 45 per cent market share, profit rose 9 per cent after price increases in October and March. Selling volume rose 6.5 per cent as some smokers switched to cheaper brands such as JPS Silver, or to fine-cut tobacco. British consumers “continue to economize,” Chief Executive Officer Alison Cooper said in a statement. (pi)