25 July 2024 – Press Release/Interim Results | ![]() |
British American Tobacco p.l.c. | |
Half-Year Report for the six months to 30 June 2024 | |
Building a Smokeless World |
Performance highlights | Reported | Adjusted2 | Adjusted Organic3 | ||||
For six months to 30 June 2024 | Current | vs 2023 | Current | vs 2023 | vs 2023 | ||
rates | (current) | rates | (constant) | (constant) | |||
Cigarette and HP volume share | +30 bps | ||||||
Cigarette and HP value share | -20 bps | ||||||
Consumers of Smokeless products1 | 26.4m | +1.4m | |||||
Revenue (£m) | £12,340m | -8.2% | £12,340m | -3.7% | -0.8% | ||
Revenue from New Categories (£m) | £1,651m | -0.4% | £1,651m | +3.1% | +7.4% | ||
Profit from operations (£m) | £4,258m | -28.3% | £5,564m | -3.5% | -0.9% | ||
Operating margin (%) | 34.5% | -9.7 ppts | 45.1% | +10 bps | flat | ||
Diluted EPS (pence) | 200.3p | +13.8% | 169.3p | -2.1% | +1.3% | ||
Net cash generated from operating activities (£m) | £3,165m | -6.2% | |||||
Borrowings4 (£m) | £40,158m | -4.8% |
For six months to 30 June 2024 | Volume | Revenue | ||||||||||
Reported | Organic | Reported | Organic | |||||||||
Current | Exchange | Constant | Constant | |||||||||
Unit | vs 2023 | vs 2023 | £m | vs 2023 | £m | £m | vs 2023 | vs 2023 | ||||
New Categories | 1,651 | -0.4% | 58 | 1,709 | +3.1% | +7.4% | ||||||
Vapour (units mn) | 290 | -9.0% | -9.0% | 869 | +0.3% | 20 | 889 | +2.6% | +2.6% | |||
HP (sticks bn) | 9.9 | -17.8% | -1.0% | 441 | -19.9% | 28 | 469 | -14.7% | -4.0% | |||
Modern Oral (pouches mn) | 3,522 | +50.0% | +52.4% | 341 | +41.9% | 10 | 351 | +46.2% | +48.7% | |||
Traditional Oral (stick eq bn) | 3.1 | -6.6% | -6.6% | 555 | -2.7% | 14 | 569 | -0.3% | -0.3% | |||
Total Smokeless | 2,206 | -1.0% | 72 | 2,278 | +2.3% | +5.4% | ||||||
Cigarettes (sticks bn) | 250 | -12.5% | -6.8% | |||||||||
OTP incl RYO/MYO (stick eq bn) | 6 | -12.6% | -12.6% | |||||||||
Total Combustibles | 256 | -12.5% | -6.9% | 9,856 | -10.1% | 513 | 10,369 | -5.5% | -2.6% | |||
Other | 278 | +12.8% | 19 | 297 | +20.9% | +21.9% | ||||||
Total | 12,340 | -8.2% | 604 | 12,944 | -3.7% | -0.8% | ||||||
Cigarettes and HP (sticks bn) | 260 | -12.7% | -6.6% |
BAT Interim Announcement 2024 | |||||||||
For six months to 30 June 2024 | Reported | Adj. | Exchange | Adjusted | Adjusted Organic | ||||
Current | Constant | Constant | |||||||
£m | vs 2023 | £m | £m | £m | vs 2023 | vs 2023 | |||
Profit from Operations (PfO) | 4,258 | -28.3% | 1,306 | 245 | 5,809 | -3.5% | -0.9% | ||
Operating Margin | 34.5% | -9.7 ppts | 44.9% | +10 bps | flat | ||||
BAT Interim Announcement 2024 | |||||||||
BAT Interim Announcement 2024 | |||||||||
For more information, please contact Investor Relations: Victoria Buxton +44 (0)20 7845 2012 Amy Chamberlain +44 (0)20 7845 1124 John Harney+44 (0)20 7845 1263 Jane Henderson +44 (0)20 7845 1117 BAT IR Team | Press Office: +44 (0)20 7845 2888 | @BATplc BAT Media Team |
BAT Interim Announcement 2024 | |||||||||
For six months to 30 June 2024 | Volume | Revenue | ||||||||||
Reported | Organic | Reported | Organic | |||||||||
Current | Exchange | Constant | Constant | |||||||||
Unit | vs 2023 | vs 2023 | £m | vs 2023 | £m | £m | vs 2023 | vs 2023 | ||||
New Categories | 1,651 | -0.4% | 58 | 1,709 | +3.1% | +7.4% | ||||||
Vapour (units mn) | 290 | -9.0% | -9.0% | 869 | +0.3% | 20 | 889 | +2.6% | +2.6% | |||
HP (sticks bn) | 9.9 | -17.8% | -1.0% | 441 | -19.9% | 28 | 469 | -14.7% | -4.0% | |||
Modern Oral (pouches mn) | 3,522 | +50.0% | +52.4% | 341 | +41.9% | 10 | 351 | +46.2% | +48.7% | |||
BAT Interim Announcement 2024 | |||||||||
BAT Interim Announcement 2024 | |||||||||
For six months to 30 June 2024 | Volume | Revenue | ||||||||||
Reported | Organic | Reported | Organic | |||||||||
Current | Exchange | Constant | Constant | |||||||||
Unit | vs 2023 | vs 2023 | £m | vs 2023 | £m | £m | vs 2023 | vs 2023 | ||||
New Categories | 529 | -0.3% | 13 | 542 | +2.2% | +2.2% | ||||||
Vapour (units mn) | 142 | -8.1% | -8.1% | 507 | -2.6% | 13 | 520 | -0.1% | -0.1% | |||
HP (sticks bn) | — | —% | —% | — | —% | — | — | —% | —% | |||
Modern Oral (pouches mn) | 365 | +226% | +226% | 22 | +117% | — | 22 | +122% | +122% | |||
Traditional Oral (stick eq bn) | 2.7 | -6.4% | -6.4% | 537 | -2.9% | 13 | 550 | -0.4% | -0.4% | |||
Total Smokeless | 1,066 | -1.6% | 26 | 1,092 | +0.9% | +0.9% | ||||||
Total Combustibles | 22 | -13.7% | -13.7% | 4,281 | -10.8% | 109 | 4,390 | -8.5% | -8.5% | |||
Other | 31 | +14.2% | 1 | 32 | +17.8% | +17.8% | ||||||
Total | 5,378 | -9.0% | 136 | 5,514 | -6.7% | -6.7% | ||||||
For six months to 30 June 2024 | Reported | Adj. | Exchange | Adjusted | Adjusted Organic | ||||
Current | Constant | Constant | |||||||
£m | vs 2023 | £m | £m | £m | vs 2023 | vs 2023 | |||
Profit from Operations | 1,775 | -44.0% | 1,278 | 82 | 3,135 | -5.1% | -5.1% | ||
Operating Margin | 33.0% | -20.6 ppts | 56.9% | 100 bps | 100 bps |
BAT Interim Announcement 2024 | |||||||||
For six months to 30 June 2024 | Volume | Revenue | ||||||||||
Reported | Organic | Reported | Organic | |||||||||
Current | Exchange | Constant | Constant | |||||||||
Unit | vs 2023 | vs 2023 | £m | vs 2023 | £m | £m | vs 2023 | vs 2023 | ||||
New Categories | 839 | +4.4% | 16 | 855 | +6.3% | +15.8% | ||||||
Vapour (units mn) | 122 | -16.3% | -16.3% | 301 | -0.5% | 4 | 305 | +0.7% | +0.7% | |||
HP (sticks bn) | 4.2 | -31.8% | +2.2% | 235 | -17.5% | 4 | 239 | -16.3% | +6.8% | |||
Modern Oral (pouches mn) | 2,656 | +43.0% | +45.8% | 303 | +40.1% | 8 | 311 | +44.1% | +47.0% | |||
Traditional Oral (stick eq bn) | 0.4 | -7.9% | -7.9% | 18 | +0.7% | 1 | 19 | +3.7% | +3.7% | |||
Total Smokeless | 857 | +4.3% | 17 | 874 | +6.3% | +15.5% | ||||||
Total Combustibles | 120 | -14.9% | -2.9% | 3,334 | -10.7% | 184 | 3,518 | -5.8% | +3.0% | |||
Other | 185 | +6.3% | 3 | 188 | +8.6% | +9.9% | ||||||
Total | 4,376 | -7.5% | 204 | 4,580 | -3.2% | +5.4% |
For six months to 30 June 2024 | Reported | Adj. | Exchange | Adjusted | Adjusted Organic | ||||
Current | Constant | Constant | |||||||
£m | vs 2023 | £m | £m | £m | vs 2023 | vs 2023 | |||
Profit from Operations | 1,473 | -16.6% | 14 | 80 | 1,567 | -4.9% | +5.3% | ||
Operating Margin | 33.7% | -3.7 ppts | 34.2% | -60 bps | flat |
BAT Interim Announcement 2024 | |||||||||
For six months to 30 June 2024 | Volume | Revenue | ||||||||||
Reported | Organic | Reported | Organic | |||||||||
Current | Exchange | Constant | Constant | |||||||||
Unit | vs 2023 | vs 2023 | £m | vs 2023 | £m | £m | vs 2023 | vs 2023 | ||||
New Categories | 283 | -12.2% | 29 | 312 | -3.3% | -3.3% | ||||||
Vapour (units mn) | 26 | +40.0% | +40.0% | 61 | +41.1% | 3 | 64 | +48.4% | +48.4% | |||
HP (sticks bn) | 5.7 | -3.1% | -3.1% | 206 | -22.4% | 24 | 230 | -13.1% | -13.1% | |||
Modern Oral (pouches mn) | 501 | +32.6% | +32.6% | 16 | +15.6% | 2 | 18 | +23.6% | +23.6% | |||
Traditional Oral (stick eq bn) | — | —% | —% | — | —% | — | — | —% | —% | |||
Total Smokeless | 283 | -12.2% | 29 | 312 | -3.3% | -3.3% | ||||||
Total Combustibles | 114 | -9.5% | -9.5% | 2,241 | -7.9% | 220 | 2,461 | +1.2% | +1.2% | |||
Other | 62 | +37.0% | 15 | 77 | +70.1% | +70.1% | ||||||
Total | 2,586 | -7.7% | 264 | 2,850 | +1.8% | +1.8% |
For six months to 30 June 2024 | Reported | Adj. | Exchange | Adjusted | Adjusted Organic | ||||
Current | Constant | Constant | |||||||
£m | vs 2023 | £m | £m | £m | vs 2023 | vs 2023 | |||
Profit from Operations | 1,010 | +1.0% | 14 | 83 | 1,107 | +3.8% | +3.8% | ||
Operating Margin | 39.1% | 3.4 ppts | 38.8% | 70 bps | 70 bps |
BAT Interim Announcement 2024 | |||||||||
For six months to 30 June 2024 | Reported | vs 2023 | Adj Items1 | Adjusted | vs 2023 | Exch. | Adjusted at CC2 | vs 2023 | vs 2023 (Adjusted Organic at CC2) | |
£m | % | £m | £m | % | £m | £m | % | % | ||
Profit from Operations | ||||||||||
U.S. | 1,775 | -44.0% | 1,278 | 3,053 | -7.6% | 82 | 3,135 | -5.1% | -5.1% | |
AME | 1,473 | -16.6% | 14 | 1,487 | -9.8% | 80 | 1,567 | -4.9% | 5.3% | |
APMEA | 1,010 | 1.0% | 14 | 1,024 | -4.0% | 83 | 1,107 | 3.8% | 3.8% | |
Total Region | 4,258 | -28.3% | 1,306 | 5,564 | -7.6% | 245 | 5,809 | -3.5% | -0.9% | |
Net finance costs | (305) | -66.9% | (516) | (821) | -8.6% | (9) | (830) | -7.6% | -9.1% | |
Associates and joint ventures | 1,647 | 470% | (1,367) | 280 | -7.9% | 12 | 292 | -4.1% | -3.9% | |
Profit before tax | 5,600 | 5.6% | (577) | 5,023 | -7.4% | 248 | 5,271 | -2.9% | 0.4% | |
Taxation | (1,041) | -17.9% | (115) | (1,156) | -8.7% | (56) | (1,212) | -4.3% | -1.2% | |
Non-controlling interests | (67) | -11.8% | — | (67) | -11.8% | (4) | (71) | -6.6% | -6.6% | |
Coupons relating to hybrid bonds net of tax | (21) | -4.5% | — | (21) | -4.5% | — | (21) | -4.5% | -4.5% | |
Profit attributable to shareholders | 4,471 | 13.6% | (692) | 3,779 | -7.0% | 188 | 3,967 | -2.3% | 1.0% | |
Diluted number of shares (m) | 2,232 | -0.2% | 2,232 | -0.2% | 2,232 | -0.2% | -0.2% | |||
Diluted earnings per share (pence) | 200.3 | 13.8% | 169.3 | -6.8% | 177.7 | -2.1% | 1.3% |
BAT Interim Announcement 2024 | |||||||||
For six months to 30 June | |||
2024 | 2023 | Change | |
£m | £m | % | |
Net cash generated from operating activities | 3,165 | 3,375 | -6.2% |
As at 30 June | |||
2024 | 2023 | Change | |
£m | £m | % | |
Borrowings (including lease liabilities) | 40,158 | 42,169 | -4.8% |
BAT Interim Announcement 2024 | |||||||||
As at 30 June | As at 31 December | ||||
2024 | 2023 | Change | 2023 | ||
£m | £m | % | £m | ||
Borrowings (including lease liabilities) | (40,158) | (42,169) | -4.8% | (39,730) | |
Derivatives in respect of net debt | (130) | (308) | -57.8% | (170) | |
Cash and cash equivalents | 5,934 | 3,681 | +61.2% | 4,659 | |
Current investments held at fair value | 696 | 451 | +54.3% | 601 | |
Net debt | (33,658) | (38,345) | -12.2% | (34,640) | |
Maturity profile of net debt: | |||||
Net debt due within one year | (686) | (909) | -24.5% | 852 | |
Net debt due beyond one year | (32,972) | (37,436) | -11.9% | (35,492) | |
Net debt | (33,658) | (38,345) | -12.2% | (34,640) |
BAT Interim Announcement 2024 | |||||||||
Average for the period ended | As at | ||||||||
30 June | 31 December | 30 June | 31 December | ||||||
2024 | 2023 | 2023 | 2024 | 2023 | 2023 | ||||
Australian dollar | 1.922 | 1.826 | 1.873 | 1.893 | 1.910 | 1.868 | |||
Bangladeshi taka | 141.684 | 131.958 | 134.747 | 149.132 | 137.535 | 139.909 | |||
Brazilian real | 6.431 | 6.253 | 6.208 | 7.021 | 6.133 | 6.192 | |||
Canadian dollar | 1.718 | 1.662 | 1.678 | 1.730 | 1.682 | 1.681 | |||
Chilean peso | 1,190.267 | 994.090 | 1,044.498 | 1,193.216 | 1,019.813 | 1,113.264 | |||
Euro | 1.170 | 1.141 | 1.150 | 1.179 | 1.165 | 1.154 | |||
Indian rupee | 105.275 | 101.424 | 102.707 | 105.410 | 104.297 | 106.081 | |||
Japanese yen | 192.515 | 166.538 | 174.883 | 203.343 | 183.755 | 179.721 | |||
Romanian leu | 5.821 | 5.632 | 5.688 | 5.870 | 5.779 | 5.741 | |||
Russian rouble1 | 95.605 | 102.662 | 113.786 | 120.111 | |||||
South African rand | 23.692 | 22.495 | 22.962 | 23.082 | 24.017 | 23.313 | |||
Swiss franc | 1.125 | 1.125 | 1.117 | 1.136 | 1.137 | 1.073 | |||
US dollar | 1.265 | 1.234 | 1.244 | 1.264 | 1.271 | 1.275 |
BAT Interim Announcement 2024 | |||||||||
BAT Interim Announcement 2024 | |||||||||
Dividends paid | For the six months to 30 June 2024 | |
Pence per share | USD per ADS | |
Quarterly Payment paid February 2024 | 57.72 | 0.7006050 |
Quarterly Payment paid May 2024 | 58.88 | 0.7348510 |
116.60 | 1.4354560 |
Event | Payment No. 2 | Payment No. 3 | Payment No. 4 |
Preliminary announcement (includes declaration data required for JSE purposes) | 8 February | ||
Publication of finalisation information (JSE) | 18 June | 16 September | 9 December |
No removal requests permitted (in either direction) between the UK main register and the South Africa branch register | 18 June - 1 July | 17 September - 30 September | 10 December - 23 December |
Last Day to Trade (LDT) cum-dividend (JSE) | 25 June | 23 September | 17 December |
Shares commence trading ex-dividend (JSE) | 26 June | 25 September | 18 December |
No transfers permitted between the UK main register and the South Africa branch register | 26 June - 1 July | 25 September - 30 September | 18 December - 23 December |
No shares may be dematerialised or rematerialised on the South Africa branch register | 26 June - 1 July | 25 September - 30 September | 18 December - 23 December |
Shares commence trading ex-dividend (LSE) | 27 June | 26 September | 19 December |
Shares commence trading ex-dividend (NYSE) | 28 June | 27 September | 20 December |
Record date (JSE, LSE and NYSE) | 28 June | 27 September | 20 December |
Last date for receipt of Dividend Reinvestment Plan (DRIP) | 12 July | 11 October | 13 January 2025 |
Payment date (LSE and JSE) | 2 August | 1 November | 3 February 2025 |
ADS payment date (NYSE) | 7 August | 6 November | 6 February 2025 |
BAT Interim Announcement 2024 | |||||||||
BAT Interim Announcement 2024 | |||||||||
BAT Interim Announcement 2024 | |||||||||
BAT Interim Announcement 2024 | |||||||||
Six months ended 30 June | ||
2024 | 2023 | |
£m | £m | |
Revenue1 | ||
Raw materials and consumables used | ( | ( |
Changes in inventories of finished goods and work in progress | ||
Employee benefit costs | ( | ( |
Depreciation, amortisation and impairment costs | ( | ( |
Other operating income | ||
Loss on reclassification from amortised cost to fair value | ( | ( |
Other operating expenses | ( | ( |
Profit from operations | ||
Net finance costs | ( | ( |
Share of post-tax results of associates and joint ventures | ||
Profit before taxation | ||
Taxation on ordinary activities | ( | ( |
Profit for the period | ||
Attributable to: | ||
Owners of the parent | ||
Non-controlling interests | ||
Earnings per share | ||
Basic | ||
Diluted |
BAT Interim Announcement 2024 | |||||||||
Six months ended 30 June | |||
2024 | 2023 | ||
£m | £m | ||
Other comprehensive income | |||
Items that may be reclassified subsequently to profit or loss: | ( | ( | |
Foreign currency translation and hedges of net investments in foreign operations | |||
– differences on exchange from translation of foreign operations | ( | ( | |
– net investment hedges - net fair value (losses)/gains on derivatives | ( | ||
– net investment hedges - differences on exchange on borrowings | |||
Cash flow hedges | |||
– net fair value gains | |||
– reclassified and reported in profit for the period | ( | ||
– tax on net fair value gains in respect of cash flow hedges | ( | ( | |
Investments held at fair value | |||
– net fair value gains | |||
Associates | |||
– share of OCI, net of tax | ( | ||
– differences on exchange reclassified to profit or loss | |||
Items that will not be reclassified subsequently to profit or loss: | |||
Retirement benefit schemes | |||
– net actuarial gains | |||
– movements in surplus restrictions | ( | ||
– tax on actuarial gains in respect of subsidiaries | |||
Associates – share of OCI, net of tax | ( | ||
Total other comprehensive income/(expense) for the period, net of tax | ( | ||
Total comprehensive income/(expense) for the period, net of tax | ( | ||
Attributable to: | |||
Owners of the parent | ( | ||
Non-controlling interests | |||
( |
BAT Interim Announcement 2024 | |||||||||
At 30 June 2024 | Attributable to owners of the parent | |||||||
Share capital | Share premium, capital redemption and merger reserves | Other reserves | Retained earnings | Total attributable to owners of parent | Perpetual hybrid bonds | Non- controlling interests | Total equity | |
£m | £m | £m | £m | £m | £m | £m | £m | |
Balance at 1 January 2024 | ( | |||||||
— | — | — | ||||||
— | — | — | — | |||||
Other comprehensive income/(expense) for | — | — | ( | — | ( | |||
Other changes in equity | ||||||||
Cash flow hedges reclassified and reported in total assets | — | — | — | — | — | |||
Employee share options | ||||||||
–value of employee services | — | — | — | — | — | |||
–proceeds from new shares issued | — | — | — | — | — | |||
Dividends and other appropriations | ||||||||
–ordinary shares | — | — | — | ( | ( | — | — | ( |
–to non-controlling interests | — | — | — | — | — | ( | ( | |
Purchase of own shares | ||||||||
–held in employee share ownership trusts | — | — | — | ( | ( | — | — | ( |
–share buy-back programme | ( | — | ( | ( | — | — | ( | |
Other movements | — | — | — | — | — | |||
Balance at 30 June 2024 | ( |
BAT Interim Announcement 2024 | |||||||||
At 30 June 2023 | Attributable to owners of the parent | ||||||||
Share capital | Share premium, capital redemption and merger reserves | Other reserves | Retained earnings | In respect of assets held- for-sale | Total attributable to owners of parent | Perpetual hybrid bonds | Non- controlling interests | Total equity | |
£m | £m | £m | £m | £m | £m | £m | £m | £m | |
Balance at 1 January 2023 | ( | ||||||||
— | — | ( | — | ( | — | ( | |||
— | — | — | — | — | |||||
— | — | ( | — | ( | — | ( | ( | ||
Other changes in equity | |||||||||
Cash flow hedges reclassified and reported in total assets | — | — | — | — | — | — | |||
Employee share options | |||||||||
–value of employee services | — | — | — | — | — | — | |||
–proceeds from new shares issued | — | — | — | — | — | — | |||
Dividends and other appropriations | |||||||||
–ordinary shares | — | — | — | ( | — | ( | — | — | ( |
–to non-controlling interests | — | — | — | — | — | — | ( | ( | |
Purchase of own shares | |||||||||
–held in employee share ownership trusts | — | — | — | ( | — | ( | — | — | ( |
Reclassification of equity in respect of assets classified as held-for-sale | — | — | — | ( | — | — | |||
Other movements | — | — | — | — | — | — | |||
Balance at 30 June 2023 | ( | ( |
BAT Interim Announcement 2024 | |||||||||
As at 30 June | As at 31 December | |||
2024 | 2023 | 2023 | ||
£m | £m | £m | ||
Assets | ||||
Intangible assets | ||||
Property, plant and equipment | ||||
Investments in associates and joint ventures | ||||
Retirement benefit assets | ||||
Deferred tax assets | ||||
Trade and other receivables | ||||
Investments held at fair value | ||||
Derivative financial instruments | ||||
Total non-current assets | ||||
Inventories | ||||
Income tax receivable | ||||
Trade and other receivables | ||||
Investments held at fair value | ||||
Derivative financial instruments | ||||
Cash and cash equivalents | ||||
Assets classified as held-for-sale | ||||
Total current assets | ||||
Total assets | ||||
Equity – capital and reserves | ||||
Share capital | ||||
Share premium, capital redemption and merger reserves | ||||
Other reserves | ( | ( | ( | |
Retained earnings | ||||
In respect of assets held-for-sale | ( | |||
Owners of the parent | ||||
Perpetual hybrid bonds | ||||
Non-controlling interests | ||||
Total equity | ||||
Liabilities | ||||
Borrowings | ||||
Retirement benefit liabilities | ||||
Deferred tax liabilities | ||||
Other provisions for liabilities | ||||
Trade and other payables | ||||
Derivative financial instruments | ||||
Total non-current liabilities | ||||
Borrowings | ||||
Income tax payable | ||||
Other provisions for liabilities | ||||
Trade and other payables | ||||
Derivative financial instruments | ||||
Liabilities associated with assets classified as held-for-sale | ||||
Total current liabilities | ||||
Total equity and liabilities |
BAT Interim Announcement 2024 | |||||||||
Six months ended 30 June | ||
2024 | 2023 | |
£m | £m | |
Cash flows from operating activities | ||
Dividends received from associates | ||
Tax paid | ( | ( |
Net cash generated from operating activities | ||
Cash flows from investing activities | ||
Interest received | ||
Purchases of property, plant and equipment | ( | ( |
Proceeds on disposal of property, plant and equipment | ||
Purchases of intangibles | ( | ( |
Purchases of investments | ( | ( |
Proceeds on disposals of investments | ||
Investment in associates and acquisitions of other subsidiaries net of cash acquired | ( | ( |
Net proceeds from disposal of shares in associate, net of tax | ||
Net cash generated from investing activities | ||
Cash flows from financing activities | ||
Interest paid on borrowings and financing related activities | ( | ( |
Interest element of lease liabilities | ( | ( |
Capital element on lease liabilities | ( | ( |
Proceeds from increases in and new borrowings | ||
Reductions in and repayments of borrowings | ( | ( |
Outflows relating to derivative financial instruments | ( | ( |
Purchases of own shares - share buy-back programme | ( | |
Purchases of own shares held in employee share ownership trusts | ( | ( |
Dividends paid to owners of the parent | ( | ( |
Dividends paid to non-controlling interests | ( | ( |
Other | ( | |
Net cash used in financing activities | ( | ( |
Net cash flows generated from operating, investing and financing activities | ||
Transferred from held-for-sale | ||
Differences on exchange | ( | ( |
Increase in net cash and cash equivalents in the year | ||
Net cash and cash equivalents at 1 January | ||
Net cash and cash equivalents at period end | ||
Cash and cash equivalents per balance sheet | ||
Overdrafts and accrued interest | ( | ( |
Net cash and cash equivalents at period end |
BAT Interim Announcement 2024 | |||||||||
Six months ended 30 June | 2024 | 2023 | |||||||
Reported | Exchange | Reported at CC2 | Reported | ||||||
Revenue | £m | £m | £m | £m | |||||
U.S. | |||||||||
AME | |||||||||
APMEA | |||||||||
Total Region | |||||||||
Six months ended 30 June | 2024 | 2023 | |||||||
Reported | Adj Items1 | Adjusted | Exchange | Adjusted at CC2 | Reported | Adj Items1 | Adjusted | ||
Profit from Operations | £m | £m | £m | £m | £m | £m | £m | £m | |
U.S. | |||||||||
AME | ( | ||||||||
APMEA | |||||||||
Total Region |
BAT Interim Announcement 2024 | |||||||||
Six months ended 30 June | ||
2024 | 2023 | |
£m | £m | |
Restructuring and integration costs | ( | |
(a) Amortisation and impairment of trademarks and similar intangibles | ||
(b) Credit in respect of settlement of historical litigation in relation to the Fox River | ( | |
(b) Credit in respect of calculation of excise on social contributions in Brazil | ( | |
(b) Credit in respect of calculation of VAT on social contributions in Brazil | ( | |
(b) Charges in respect of DOJ and OFAC investigations | ||
(b) Other adjusting items (including Engle) | ||
(c) Impairment of goodwill | ||
Charges in connection with planned disposal of subsidiaries | ||
Credit in connection with disposal of subsidiaries | ( | |
Charges in connection with disposal of an associate | ||
Total adjusting items included in profit from operations |
BAT Interim Announcement 2024 | |||||||||
Grizzly: Carrying amount £ | |
Assumptions | |
Reduction in the five-year volume forecast from CAGR of | £ |
Decrease in long-term growth rate to reduce headroom to nil | |
Increase in pre-tax discount rate to reduce headroom to nil |
Camel Snus: Carrying amount £ | £m |
Assumptions | |
Volume decline by additional | |
Decrease in long-term growth rate by | |
Increase in pre-tax discount rate by |
Pall Mall: Carrying amount £ | |
Assumptions | |
Volume decline by additional | £ |
Decrease in average operating margin by | £ |
Increase in pre-tax discount rate to reduce headroom to nil |
BAT Interim Announcement 2024 | |||||||||
BAT Interim Announcement 2024 | |||||||||
BAT Interim Announcement 2024 | |||||||||
Six months ended 30 June | ||
2024 | 2023 | |
£m | £m | |
Profit for the period | ||
Taxation on ordinary activities | ||
Share of post-tax results of associates and joint ventures | ( | ( |
Net finance costs | ||
Profit from operations | ||
Adjustments for: | ||
– depreciation, amortisation and impairment costs | ||
– increase in inventories | ( | ( |
– increase in trade and other receivables | ( | ( |
– decrease in Master Settlement Agreement payable | ( | ( |
– increase in trade and other payables | ||
– decrease in retirement benefit liabilities | ( | ( |
– decrease in other provisions for liabilities | ( | ( |
– other non-cash items | ( | |
Cash generated from operating activities | ||
Dividends received from associates | ||
Tax paid | ( | ( |
Net cash generated from operating activities |
BAT Interim Announcement 2024 | |||||||||
As at 30 June | As at 31 December | |||
2024 | 2023 | 2023 | ||
£m | £m | £m | ||
Assets at fair value | ||||
Derivatives relating to | ||||
– interest rate swaps | ||||
– cross-currency swaps | ||||
– forward foreign currency contracts | ||||
Assets at fair value | ||||
Liabilities at fair value | ||||
Derivatives relating to | ||||
– interest rate swaps | ||||
– cross-currency swaps | ||||
– forward foreign currency contracts | ||||
– embedded derivative relating to associates | ||||
Liabilities at fair value |
BAT Interim Announcement 2024 | |||||||||
Six months ended 30 June | ||
2024 | 2023 | |
£m | £m | |
Earnings attributable to owners of the parent | ||
Coupon on perpetual hybrid bonds | ( | ( |
Tax on coupon on perpetual hybrid bonds | ||
Earnings |
Reported | Adjusted | Headline | |||||||
Basic | Diluted | Basic | Diluted | Basic | Diluted | ||||
Six months to 30 June 2024 | |||||||||
– Earnings | £m | ||||||||
– Shares | m | ||||||||
– Per share | p | ||||||||
Six months to 30 June 2023 | |||||||||
– Earnings | £m | ||||||||
– Shares | m | ||||||||
– Per share | p |
BAT Interim Announcement 2024 | |||||||||
Six months ended 30 June | ||
2024 | 2023 | |
pence | pence | |
Diluted earnings per share | ||
Effect of amortisation and impairment of goodwill, trademarks and similar intangibles | ||
Effect of settlement of historical litigation in relation to the Fox River | ( | |
Net effect of Excise and VAT cases | ( | |
Effect in operating profit of partial disposal of an associate | ||
Effect of charges in respect of DOJ and OFAC investigations | ||
Effect of planned disposal of subsidiaries | ||
Effect of other adjusting items in operating profit | ||
Effect of adjusting items in net finance costs | ( | |
Effect of gains related to the partial divestment of shares held in ITC | ( | |
Tax associated with the partial divestment of shares held in ITC | ||
Effect of associates’ adjusting items | ( | |
Effect of adjusting items in respect of deferred taxation | ( | |
Adjusting items in tax | ||
Adjusted diluted earnings per share | ||
Impact of translational foreign exchange | ||
Adjusted diluted earnings per share translated at 2023 exchange rates |
Six months ended 30 June | ||
2024 | 2023 | |
pence | pence | |
Diluted earnings per share | ||
Effect of impairment of intangibles, property, plant and equipment, associates and held-for-sale assets (net of tax) | ||
Effect of gains on disposal of property, plant and equipment, trademarks, held-for-sale assets, partial/full termination of IFRS 16 leases, and sale and leaseback (net of tax) | ( | ( |
Issue of shares and change in shareholding of an associate | ( | ( |
Gain on partial disposal of an associate and associated capital gains tax | ( | |
Diluted headline earnings per share |
Six months ended 30 June | ||
2024 | 2023 | |
£m | £m | |
Earnings | ||
Effect of impairment of intangibles, property, plant and equipment, associates and held-for-sale assets (net of tax) | ||
Effect of gains on disposal of property, plant and equipment, trademarks, held-for-sale assets, partial/full termination of IFRS 16 leases, and sale and leaseback (net of tax) | ( | ( |
Effect of impairment of subsidiaries transferred to held-for-sale and associated costs (net of tax) | ( | |
Issue of shares and change in shareholding of an associate | ( | ( |
Gain on partial disposal of an associate and associated capital gains tax | ( | |
Headline earnings |
BAT Interim Announcement 2024 | |||||||||
BAT Interim Announcement 2024 | |||||||||
BAT Interim Announcement 2024 | |||||||||
BAT Interim Announcement 2024 | |||||||||
BAT Interim Announcement 2024 | |||||||||
Six months ended 30 June 2024 | BAT p.l.c. | BATCAP | BATIF | BATNF | RAI | BATHTN |
£m | £m | £m | £m | £m | £m | |
Income Statement | ||||||
Revenue | ||||||
(Loss)/profit from operations | ( | ( | ( | ( | ||
Dividend income | ||||||
Net finance income/(costs) | ( | ( | ( | |||
Profit/(loss) before taxation | ( | ( | ||||
Taxation on ordinary activities | ( | ( | ( | |||
Profit/(loss) for the period | ( | ( | ||||
Intercompany transactions - Income Statement | ||||||
Transactions with non-issuer/non-guarantor subsidiaries (expense)/income | ( | |||||
Transactions with non-issuer/non-guarantor subsidiaries net finance income | ||||||
Dividend income from non-issuer/non-guarantor subsidiaries | ||||||
Six months ended 30 June 2023 | BAT p.l.c. | BATCAP | BATIF | BATNF | RAI | BATHTN |
£m | £m | £m | £m | £m | £m | |
Income Statement | ||||||
Revenue | ||||||
(Loss)/profit from operations | ( | ( | ||||
Dividend income | ||||||
Net finance income/(costs) | ( | ( | ||||
(Loss)/profit before taxation | ( | ( | ||||
Taxation on ordinary activities | ( | ( | ||||
(Loss)/profit for the period | ( | ( | ||||
Intercompany transactions - Income Statement | ||||||
Transactions with non-issuer/non-guarantor subsidiaries (expense)/income | ( | ( | ||||
Transactions with non-issuer/non-guarantor subsidiaries net finance income | ||||||
Dividend income from non-issuer/non-guarantor subsidiaries |
BAT Interim Announcement 2024 | |||||||||
As at 30 June 2024 | BAT p.l.c. | BATCAP | BATIF | BATNF | RAI | BATHTN |
£m | £m | £m | £m | £m | £m | |
Balance Sheet | ||||||
Non-current assets | ||||||
Current assets | ||||||
Non-current liabilities | ||||||
Non-current borrowings | ||||||
Other non-current liabilities | ||||||
Current liabilities | ||||||
Current borrowings | ||||||
Other current liabilities | ||||||
Intercompany transactions - Balance Sheet | ||||||
Amounts due from non-issuer/non-guarantor subsidiaries | ||||||
Amounts due to non-issuer/non-guarantor subsidiaries | ||||||
Investment in subsidiaries (that are not issuers or guarantors) | ||||||
As at 31 December 2023 | BAT p.l.c. | BATCAP | BATIF | BATNF | RAI | BATHTN |
£m | £m | £m | £m | £m | £m | |
Balance Sheet | ||||||
Non-current assets | ||||||
Current assets | ||||||
Non-current liabilities | ||||||
Non-current borrowings | ||||||
Other non-current liabilities | ||||||
Current liabilities | ||||||
Current borrowings | ||||||
Other current liabilities | ||||||
Intercompany transactions - Balance Sheet | ||||||
Amounts due from non-issuer/non-guarantor subsidiaries | ||||||
Amounts due to non-issuer/non-guarantor subsidiaries | ||||||
Investment in subsidiaries (that are not issuers or guarantors) |
As at 30 June | As at 31 December | |||
2024 | 2023 | 2023 | ||
£m | £m | £m | ||
Total Equity | ||||
Share capital | ||||
Share premium | ||||
Perpetual hybrid bonds | ||||
Other Equity |
BAT Interim Announcement 2024 | |||||||||
BAT Interim Announcement 2024 | |||||||||
Million consumers | 2023 | 2022 | 2021 |
As previously reported | 23.9 | 20.7 | 17.1 |
Back trended to reflect enhanced adult consumer tracking | 25.0 | 22.3 | 17.7 |
Equivalent to one cigarette | |
Heated sticks | 1 heat stick |
Cigars | 1 cigar (regardless of size) |
Oral | |
– Pouch | 1 pouch |
– Moist Snuff | 2.8 grams |
– Dry Snuff | 2.0 grams |
– Loose leaf, plug, twist | 7.1 grams |
Pipe tobacco | 0.8 grams |
Roll-your-own | 0.8 grams |
Make-your-own | |
– Expanded tobacco | 0.5 grams |
– Optimised tobacco | 0.7 grams |
BAT Interim Announcement 2024 | |||||||||
Event | |
Pre-close Trading Update | December 2024 |
Preliminary Statement 2024 | 13 February 2025 |
Event | Payment No. 1 | Payment No. 2 | Payment No. 3 | Payment No. 4 |
Last Day to Trade (LDT) cum-dividend (JSE) | 25 March | 24 June | 30 September | 29 December |
Shares commence trading ex-dividend (JSE) | 26 March | 25 June | 1 October | 30 December |
Shares commence trading ex-dividend (LSE) | 27 March | 26 June | 2 October | 31 December |
Shares commence trading ex-dividend (NYSE) | 28 March | 27 June | 3 October | 2 January 2026 |
Record date (JSE, LSE and NYSE) | 28 March | 27 June | 3 October | 2 January 2026 |
Payment date (LSE and JSE) | 7 May | 1 August | 7 November | 6 February 2026 |
ADS payment date (NYSE) | 12 May | 6 August | 13 November | 11 February 2026 |
BAT Interim Announcement 2024 | |||||||||
BAT Interim Announcement 2024 | |||||||||
BAT Interim Announcement 2024 | |||||||||
Term | Definition |
AME | Americas (excluding U.S.) and Europe. |
APMEA | Asia Pacific, Middle East and Africa. |
British American Tobacco, BAT, Group, we, us and our | When the reference denotes an opinion, this refers to British American Tobacco p.l.c. and when the reference denotes business activity, this refers to British American Tobacco Group operating companies, either collectively or individually, as the case may be. |
Carbon Dioxide equivalent emissions | Carbon Dioxide equivalent (CO2e) emissions include CO2, CH4 and N2O and are reported where we have operational control. We do not include data on other GHG emissions (HFCs, PFCs, SF6 and NF3) as they are estimated to be insignificant. |
Cigarette | Factory-made cigarettes (FMC) and products that have similar characteristics and are manufactured in the same manner, but due to specific features may not be recognised as cigarettes for regulatory, duty or similar reasons. |
Circular Economy | The circular economy is a model of production and consumption, which involves sharing, leasing, reusing, repairing, refurbishing and recycling existing materials and products as long as possible. |
Combustibles | Cigarettes and OTP. |
Constant Currency/ Constant rates | Presentation of results in the prior year’s exchange rate, removing the potentially distorting effect of translational foreign exchange on the Group’s results. The Group does not adjust for normal transactional gains or losses in profit from operations which are generated by exchange rate movements. |
Developed Markets | As defined by the World Economic Outlook as Advanced Economies and those within the European Union. |
Double Materiality Assessment/Material topic | Although financial materiality has been considered in the development of our Double Materiality Assessment (“DMA”), our DMA/Material topic and any related conclusions as to the materiality of sustainability or ESG matters do not imply that all topics discussed therein are financially material to our business taken as a whole, and such topics may not significantly alter the total mix of information available about our securities. |
Emerging Markets | Those markets not defined as Developed Markets. |
HP | Heated Products, including the devices, which include glo and our hybrid products, which are used to heat our consumables being the Tobacco Heated Products or Herbal Products for Heating. |
Modern Oral | Includes Velo, Grizzly and Lundgrens and products that are characterised as nicotine replacement therapy (including oral pouches, gums, lozenges and sprays). |
New Categories | Includes Vapour, HP and Modern Oral. |
Organic | Performance presented excluding businesses sold or acquired that may significantly affect the users understanding of the Group's performance when compared across periods. Organic measures exclude the performance of such businesses in the current and comparator periods to ensure like-for-like assessment across all periods. In 2023, organic measures exclude the performance of Russia and Belarus as those businesses (in aggregate) were deemed to be significant to the users' understanding of the financial performance. The exits referred to in respect of other markets, including in Africa, are not deemed significant for users understanding. |
OTP | Other Tobacco Products, including make-your-own, roll-your-own, Pipe and Cigarillos. |
Poly-usage/Poly-use | Refers to a transitional period for smokers towards complete switching to potentially reduced-risk products during which period such smokers reduce cigarette consumption and choose to consume one or more New Category products. |
Reduced risk† | Based on the weight of evidence and assuming a complete switch from cigarette smoking. These products are not risk free and are addictive. |
Smokeless | New Categories plus Traditional Oral. |
Solus usage | Consumers using only one category of combustible or nicotine products. |
THP | Tobacco Heated Products (i.e., the consumables that contain tobacco used by Heated Product devices). |
Top Cigarettes markets | Being the Top markets for industry Cigarettes sales by revenue – the U.S., Japan, Bangladesh, Brazil, Germany, Pakistan, Mexico, and Romania. These markets represent c. 65% of global industry Cigarettes revenue in 2023. |
Top HP markets | Being the Top markets for industry HP revenue – Japan, South Korea, Italy, Germany, Greece, Hungary, Poland, Romania and the Czech Republic. These markets represent c. 80% of Global industry HP revenue in 2023. |
Top Modern Oral markets | Being the Top markets for industry Modern Oral sales by revenue – the U.S., Sweden, Norway, Denmark, Switzerland, Poland and the U.K. These markets represent c. 90% of global industry Modern Oral revenue in 2023. |
Top Vapour Markets | Being the Top markets for industry Vapour sales by revenue – the U.S., the UK, France, Germany, Canada, Poland and Spain. These markets represent c. 90% of global industry closed systems consumables revenue (being rechargeable closed systems and single-use products) in 2023. |
Traditional Oral | Including Moist Snuff (including Granit, Mocca, Grizzly, Kodiak) and other traditional snus products (including Camel Snus and Lundgrens). |
U.S. | United States of America. |
Value share | Value share is the estimated retail value of units bought by consumers of a particular brand or combination of brands, as a proportion of the total estimated retail value of units bought by consumers in the industry, category or other sub-categorisation in discussion. Except when referencing particular markets, value share is based on our Top markets. |
Vapour | Battery-powered devices (rechargeable or single-use) that heat liquid formulations – e-liquids – to create a vapour which is inhaled. Vapour products include Vuse. |
Volume share | Offtake volume share, as independently measured by retail audit agencies and scanner sales to consumers, where possible or based on movements within the supply chain (such as sales to retailers) to generate an estimate of shipment share, based upon latest available data. Except when referencing particular markets, volume share is based on our Top markets. |
BAT Interim Announcement 2024 | |||||||||
Group Volume | ||||||
Six months ended 30 June | 2024 | 2023 | ||||
Reported | Organic growth % | Reported | Inorganic adjust's | Organic | ||
New Categories: | ||||||
Vapour (units mn) | 290 | -9.0% | 319 | — | 319 | |
HP (bn sticks) | 9.9 | -1.0% | 12.1 | (2.1) | 10.0 | |
Modern Oral (mn pouches) | 3,522 | +52.4% | 2,348 | (36) | 2,312 | |
Traditional Oral (bn sticks eq) | 3 | -6.6% | 3 | — | 3 | |
Cigarettes (bn sticks) | 250.0 | -6.8% | 286.1 | (17.6) | 268.5 | |
OTP (bn sticks) | 6.4 | -12.6% | 7.3 | — | 7.3 | |
Total Combustibles (bn sticks) | 256.4 | -6.9% | 293.4 | (17.6) | 275.8 | |
Memo: Cigarettes + HP (bn sticks) | 259.9 | -6.6% | 298.2 | (19.6) | 278.5 |
Six months ended 30 June | 2024 | ||||||
Reported | Adj Items1 | Adjusted | Exchange | Adjusted at CC2 | |||
£m | £m | £m | £m | £m | |||
Profit from Operations | |||||||
U.S. | 1,775 | 1,278 | 3,053 | 82 | 3,135 | ||
AME | 1,473 | 14 | 1,487 | 80 | 1,567 | ||
APMEA | 1,010 | 14 | 1,024 | 83 | 1,107 | ||
Total Region | 4,258 | 1,306 | 5,564 | 245 | 5,809 | ||
Net finance costs | (305) | (516) | (821) | (9) | (830) | ||
Associates and joint ventures | 1,647 | (1,367) | 280 | 12 | 292 | ||
Profit before tax | 5,600 | (577) | 5,023 | 248 | 5,271 | ||
Taxation | (1,041) | (115) | (1,156) | (56) | (1,212) | ||
Non-controlling interests | (67) | — | (67) | (4) | (71) | ||
Coupons relating to hybrid bonds net of tax | (21) | — | (21) | — | (21) | ||
Profit attributable to shareholders | 4,471 | (692) | 3,779 | 188 | 3,967 | ||
Diluted number of shares (m) | 2,232 | 2,232 | 2,232 | ||||
Diluted earnings per share (pence) | 200.3 | 169.3 | 177.7 |
Six months ended 30 June | 2023 | ||||||
Reported | Adj Items1 | Adjusted | Inorganic Adjs | Adjusted Organic | |||
£m | £m | £m | £m | £m | |||
Profit from Operations | |||||||
U.S. | 3,168 | 137 | 3,305 | — | 3,305 | ||
AME | 1,767 | (119) | 1,648 | (160) | 1,488 | ||
APMEA | 1,000 | 67 | 1,067 | — | 1,067 | ||
Total Region | 5,935 | 85 | 6,020 | (160) | 5,860 | ||
Net finance costs | (921) | 23 | (898) | (15) | (913) | ||
Associates and joint ventures | 289 | 15 | 304 | — | 304 | ||
Profit before tax | 5,303 | 123 | 5,426 | (175) | 5,251 | ||
Taxation | (1,268) | 2 | (1,266) | 39 | (1,227) | ||
Non-controlling interests | (76) | — | (76) | — | (76) | ||
Coupons relating to hybrid bonds net of tax | (22) | — | (22) | — | (22) | ||
Profit attributable to shareholders | 3,937 | 125 | 4,062 | (136) | 3,926 | ||
Diluted number of shares (m) | 2,237 | 2,237 | 2,237 | ||||
Diluted earnings per share (pence) | 176.0 | 181.6 | 175.5 |
BAT Interim Announcement 2024 | |||||||||
BAT Interim Announcement 2024 | |||||||||
Six months ended 30 June | 2024 | 2023 |
£m | £m | |
Revenue | 12,340 | 13,441 |
Impact of translational foreign exchange | 604 | |
Revenue translated at 2023 exchange rates | 12,944 | 13,441 |
Inorganic adjustments translated at 2023 exchange rates | — | (385) |
Organic revenue translated at 2023 exchange rates | 12,944 | 13,056 |
Six months ended 30 June | 2024 | 2023 | |||||
Group Revenue | Reported | Impact of exchange | Revenue at CC | Reported | Inorganic Adjs | Organic revenue | |
£m | £m | £m | £m | £m | |||
New Categories | 1,651 | 58 | 1,709 | 1,656 | (66) | 1,590 | |
Vapour | 869 | 20 | 889 | 866 | — | 866 | |
HP | 441 | 28 | 469 | 550 | (62) | 488 | |
Modern Oral | 341 | 10 | 351 | 240 | (4) | 236 | |
Traditional Oral | 555 | 14 | 569 | 571 | — | 571 | |
Smokeless | 2,206 | 72 | 2,278 | 2,227 | (66) | 2,161 | |
Combustibles | 9,856 | 513 | 10,369 | 10,967 | (317) | 10,650 | |
Other | 278 | 19 | 297 | 247 | (2) | 245 | |
Total Revenue | 12,340 | 604 | 12,944 | 13,441 | (385) | 13,056 |
Six months ended 30 June | 2024 | 2023 | |||||
U.S. Revenue | Reported | Impact of exchange | Revenue at CC | Reported | Inorganic Adjs | Organic revenue | |
£m | £m | £m | £m | £m | |||
New Categories | 529 | 13 | 542 | 530 | — | 530 | |
Vapour | 507 | 13 | 520 | 520 | — | 520 | |
HP | — | — | — | — | — | — | |
Modern Oral | 22 | — | 22 | 10 | — | 10 | |
Traditional Oral | 537 | 13 | 550 | 553 | — | 553 | |
Smokeless | 1,066 | 26 | 1,092 | 1,083 | — | 1,083 | |
Combustibles | 4,281 | 109 | 4,390 | 4,800 | — | 4,800 | |
Other | 31 | 1 | 32 | 27 | — | 27 | |
Total Revenue | 5,378 | 136 | 5,514 | 5,910 | — | 5,910 |
BAT Interim Announcement 2024 | |||||||||
Six months ended 30 June | 2024 | 2023 | |||||
AME Revenue | Reported | Impact of exchange | Revenue at CC | Reported | Inorganic Adjs | Organic revenue | |
£m | £m | £m | £m | £m | |||
New Categories | 839 | 16 | 855 | 804 | (66) | 738 | |
Vapour | 301 | 4 | 305 | 303 | — | 303 | |
HP | 235 | 4 | 239 | 285 | (62) | 223 | |
Modern Oral | 303 | 8 | 311 | 216 | (4) | 212 | |
Traditional Oral | 18 | 1 | 19 | 18 | — | 18 | |
Smokeless | 857 | 17 | 874 | 822 | (66) | 756 | |
Combustibles | 3,334 | 184 | 3,518 | 3,734 | (317) | 3,417 | |
Other | 185 | 3 | 188 | 174 | (2) | 172 | |
Total Revenue | 4,376 | 204 | 4,580 | 4,730 | (385) | 4,345 |
Six months ended 30 June | 2024 | 2023 | |||||
APMEA Revenue | Reported | Impact of exchange | Revenue at CC | Reported | Inorganic Adjs | Organic revenue | |
£m | £m | £m | £m | £m | |||
New Categories | 283 | 29 | 312 | 322 | — | 322 | |
Vapour | 61 | 3 | 64 | 43 | — | 43 | |
HP | 206 | 24 | 230 | 265 | — | 265 | |
Modern Oral | 16 | 2 | 18 | 14 | — | 14 | |
Traditional Oral | — | — | — | — | — | — | |
Smokeless | 283 | 29 | 312 | 322 | — | 322 | |
Combustibles | 2,241 | 220 | 2,461 | 2,433 | — | 2,433 | |
Other | 62 | 15 | 77 | 46 | — | 46 | |
Total Revenue | 2,586 | 264 | 2,850 | 2,801 | — | 2,801 |
Six months ended 30 June | 2024 | 2023 |
£m | £m | |
Profit from operations | 4,258 | 5,935 |
Add: | ||
Restructuring and integration costs | — | (2) |
Amortisation and impairment of trademarks and similar intangibles | 1,295 | 108 |
Charges in connection with disposal of an associate | 6 | — |
Charges in connection with planned disposal of subsidiaries | — | 17 |
Charges in connection with disposal of subsidiaries | — | (1) |
Credit in respect of settlement of historical litigation in relation to the Fox River | (132) | — |
Credit in respect of calculation of excise on social contributions in Brazil | — | (147) |
Credit in respect of recovery of VAT on social contributions in Brazil | — | (13) |
Charges in respect of DOJ and OFAC investigation | 4 | 66 |
Other adjusting items (including Engle) | 133 | 57 |
Adjusted profit from operations | 5,564 | 6,020 |
Impact of translational foreign exchange on adjusted profit from operations | 245 | |
Adjusted profit from operations translated at 2023 exchange rates | 5,809 | 6,020 |
Inorganic adjustments translated at 2023 exchange rates | — | (160) |
Adjusted organic profit from operations translated at 2023 exchange rates | 5,809 | 5,860 |
Operating Margin (Profit from operations as % of revenue) | 34.5% | 44.2% |
Adjusted Operating Margin (Adjusted profit from operations as % of revenue) | 45.1% | 44.8% |
Adjusted Organic Operating Margin (Adjusted organic PFO as % of organic revenue) | 45.1% | 44.9% |
BAT Interim Announcement 2024 | |||||||||
Six months ended 30 June | 2024 | 2023 |
£m | £m | |
Finance costs | (424) | (1,006) |
Finance income | 119 | 85 |
Net finance costs | (305) | (921) |
Less: Adjusting items in net finance costs | (516) | 23 |
Adjusted net finance costs | (821) | (898) |
Comprising: | ||
Interest payable | (901) | (903) |
Interest and dividend income | 119 | 85 |
Fair value changes – derivatives | (49) | (496) |
Exchange differences | 10 | 416 |
Adjusted net finance costs | (821) | (898) |
Impact of translational foreign exchange | (9) | |
Adjusted net finance costs translated at 2023 exchange rates | (830) | (898) |
Six months ended 30 June | 2024 | 2023 |
£m | £m | |
Group’s share of post-tax results of associates and joint ventures | 1,647 | 289 |
Issue of shares and changes in shareholding | (6) | (16) |
Other exceptional items in ITC | — | (2) |
Gain on partial divestment of shares held in ITC | (1,361) | — |
Impairment in relation to Organigram (net of tax) | — | 33 |
Adjusted Group’s share of post-tax results of associates and joint ventures | 280 | 304 |
Impact of translational foreign exchange | 12 | |
Adjusted Group’s share of post-tax results of associates and joint ventures translated at 2023 exchange rates | 292 | 304 |
BAT Interim Announcement 2024 | |||||||||
Six months ended 30 June | 2024 | 2023 |
£m | £m | |
UK | ||
– current year tax | 83 | 15 |
– adjustment in respect of prior periods | — | — |
Overseas | ||
– current year tax | 1,208 | 1,443 |
– adjustment in respect of prior periods | 194 | (87) |
Current tax | 1,485 | 1,371 |
Pillar 2 income tax | 46 | — |
Total current tax | 1,531 | 1,371 |
Deferred tax | (490) | (103) |
Taxation on ordinary activities | 1,041 | 1,268 |
Adjusting items in taxation | (36) | (10) |
Taxation on adjusting items | 151 | 8 |
Adjusted taxation | 1,156 | 1,266 |
Six months ended 30 June | 2024 | 2023 |
£m | £m | |
Profit before taxation (PBT) | 5,600 | 5,303 |
Less: | ||
Share of post-tax results of associates and joint ventures | (1,647) | (289) |
Adjusting items within profit from operations | 1,306 | 85 |
Adjusting items within finance costs | (516) | 23 |
Adjusted PBT, excluding associates and joint ventures | 4,743 | 5,122 |
Impact of translational foreign exchange | 236 | |
Adjusted PBT, excluding associates and joint ventures translated at 2023 exchange rates | 4,979 | 5,122 |
Taxation on ordinary activities | (1,041) | (1,268) |
Adjusting items within taxation and taxation on adjusting items | (115) | 2 |
Adjusted taxation | (1,156) | (1,266) |
Impact of translational foreign exchange on adjusted taxation | (56) | |
Adjusted taxation translated at 2023 exchange rates | (1,212) | (1,266) |
Effective tax rate | 18.6% | 23.9% |
Underlying tax rate | 24.4% | 24.7% |
Underlying tax rate (constant rates) | 24.3% |
BAT Interim Announcement 2024 | |||||||||
Six months ended 30 June | 2024 | 2023 |
pence | pence | |
Diluted earnings per share | 200.3 | 176.0 |
Effect of amortisation and impairment of goodwill, trademarks and similar intangibles | 44.5 | 3.6 |
Effect of settlement of historical litigation in relation to the Fox River | (5.0) | — |
Net effect of Excise and VAT cases | — | (5.3) |
Effect in operating profit of partial disposal of an associate | 0.3 | — |
Effect of charges in respect of DOJ and OFAC investigations | 0.2 | 3.0 |
Effect of planned disposal of subsidiaries | — | 0.7 |
Effect of other adjusting items in operating profit | 4.6 | 1.9 |
Effect of adjusting items in net finance costs | (17.4) | 0.6 |
Effect of gains related to the partial divestment of shares held in ITC | (61.1) | — |
Tax associated with the partial divestment of shares held in ITC | 1.6 | — |
Effect of associates’ adjusting items | (0.3) | 0.7 |
Effect of adjusting items in respect of deferred taxation | (5.9) | 0.4 |
Adjusting items in tax | 7.5 | — |
Adjusted diluted earnings per share | 169.3 | 181.6 |
Impact of translational foreign exchange | 8.4 | |
Adjusted diluted earnings per share, at constant exchange rates | 177.7 | 181.6 |
Inorganic adjustments | (6.1) | |
Adjusted organic diluted earnings per share, at constant exchange rates | 177.7 | 175.5 |
BAT Interim Announcement 2024 | |||||||||
Six months ended 30 June | 2024 | 2023 |
£m | £m | |
Opening net debt | (34,640) | (39,281) |
Free cash flow (after dividends paid to shareholders) | (476) | (153) |
Other cash payments | (103) | (276) |
Net proceeds from partial divestment of shares held in ITC | 1,577 | — |
Purchase of own shares | (366) | — |
Other non-cash movements | 619 | (104) |
Transferred to held-for-sale | — | (4) |
Impact of foreign exchange | (269) | 1,473 |
Closing net debt | (33,658) | (38,345) |
BAT Interim Announcement 2024 | |||||||||
BAT Interim Announcement 2024 | |||||||||
Volume (unit) | |||||||||||
Six months ended 30 June | U.S. | AME | APMEA | Group | |||||||
2024 | % change | 2024 | % change | 2024 | % change | 2024 | % change | ||||
New Categories | |||||||||||
Vapour (units mn) | 142 | -8.1% | 122 | -16.3% | 26 | +40.0% | 290 | -9.0% | |||
HP (sticks bn) | — | —% | 4.2 | -31.8% | 5.7 | -3.1% | 9.9 | -17.8% | |||
Modern Oral (pouches mn) | 365 | +226% | 2,656 | +43.0% | 501 | +32.6% | 3,522 | +50.0% | |||
Traditional Oral (stick eq bn) | 2.7 | -6.4% | 0.4 | -7.9% | — | —% | 3.1 | -6.6% | |||
Cigarettes (sticks bn) | 22 | -13.7% | 115 | -15.1% | 113 | -9.5% | 250 | -12.5% | |||
OTP (stick eq bn) | — | -12.9% | 5 | -12.5% | 1 | -13.6% | 6 | -12.6% | |||
Total Combustibles | 22 | -13.7% | 120 | -14.9% | 114 | -9.5% | 256 | -12.5% | |||
Memo: Cigarettes and HP (sticks bn) | 22 | -13.7% | 119 | -15.8% | 119 | -9.2% | 260 | -12.7% | |||
Revenue - reported at current rates (£m) | |||||||||||
Six months ended 30 June | U.S. | AME | APMEA | Group | |||||||
2024 | % change | 2024 | % change | 2024 | % change | 2024 | % change | ||||
New Categories | 529 | -0.3% | 839 | +4.4% | 283 | -12.2% | 1,651 | -0.4% | |||
Vapour | 507 | -2.6% | 301 | -0.5% | 61 | +41.1% | 869 | +0.3% | |||
HP | — | —% | 235 | -17.5% | 206 | -22.4% | 441 | -19.9% | |||
Modern Oral | 22 | +117% | 303 | +40.1% | 16 | +15.6% | 341 | +41.9% | |||
Traditional Oral | 537 | -2.9% | 18 | +0.7% | — | —% | 555 | -2.7% | |||
Total Smokeless | 1,066 | -1.6% | 857 | +4.3% | 283 | -12.2% | 2,206 | -1.0% | |||
Total Combustibles | 4,281 | -10.8% | 3,334 | -10.7% | 2,241 | -7.9% | 9,856 | -10.1% | |||
Other | 31 | +14.2% | 185 | +6.3% | 62 | +37.0% | 278 | +12.8% | |||
Total | 5,378 | -9.0% | 4,376 | -7.5% | 2,586 | -7.7% | 12,340 | -8.2% | |||
Organic revenue - adjusted at constant rates (£m) | |||||||||||
Six months ended 30 June | U.S. | AME | APMEA | Group | |||||||
2024 | % change | 2024 | % change | 2024 | % change | 2024 | % change | ||||
New Categories | 542 | +2.2% | 855 | +15.8% | 312 | -3.3% | 1,709 | +7.4% | |||
Vapour | 520 | -0.1% | 305 | +0.7% | 64 | +48.4% | 889 | +2.6% | |||
HP | — | —% | 239 | +6.8% | 230 | -13.1% | 469 | -4.0% | |||
Modern Oral | 22 | +122% | 311 | +47.0% | 18 | +23.6% | 351 | +48.7% | |||
Traditional Oral | 550 | -0.4% | 19 | +3.7% | — | —% | 569 | -0.3% | |||
Total Smokeless | 1,092 | +0.9% | 874 | +15.5% | 312 | -3.3% | 2,278 | +5.4% | |||
Total Combustibles | 4,390 | -8.5% | 3,518 | +3.0% | 2,461 | +1.2% | 10,369 | -2.6% | |||
Other | 32 | +17.8% | 188 | +9.9% | 77 | +70.1% | 297 | +21.9% | |||
Total | 5,514 | -6.7% | 4,580 | +5.4% | 2,850 | +1.8% | 12,944 | -0.8% |
BAT Interim Announcement 2024 | |||||||||