Japan Tobacco International (JTI) increased share in key markets but shipped 5.1 per cent less product in the three months to 30 Sept as the global cigarette market continued to shrink, the company announced.

Sales rose 3.3 per cent to USD 3.2 billion (EUR 2.3 billion) and profit 13.6 per cent to USD 1.3 billion (adjusted earnings before interest, tax, depreciation and amortization – EBITDA) in the quarter, due to a favourable price/product mix that generated more revenue.
Lower shipping volume at 109.6 billion cigarettes included declines of around 1 per cent for key brands Mevius/Mild Seven, Winston and Camel, JTI said.
In Japan, where Japan Tobacco yesterday said it will close factories and reduce the domestic workforce by 1,600 to remain competitive in a contracting market, tobacco division sales in the April-Sept period were nearly unchanged at JPY 336 billion (EUR 2.5 billion) and adjusted EBITDA dipped 0.6 per cent to JPY 153 billion. Previously announced shipping volume for the period was flat at 59.6 billion units.
“Internationally, despite the challenging environment, we continued to grow share in most key markets”, said JT Chief Executive Officer Mitsuomi Koizumi. “In Japan, several products and marketing initiatives have been taken to further strengthen the brand equity of Mevius.”