British American Tobacco Sees GBP25 Billion Impairment But Backs Guidance
06 Dicembre 2023 - 8:50AM
Dow Jones News
By Joe Hoppe
British American Tobacco said it expects a one-off impairment of
around 25 billion pounds ($31.49 billion) in 2023, though it backed
its full-year guidance.
The FTSE 100 cigarette maker--which houses the Kent, Dunhill and
Lucky Strike brands among its portfolio--said Wednesday that it
expects 2023 revenue growth at the low end of its previously guided
3% to 5% range at constant currency.
It reported strong volume and revenue growth in new categories,
which it expects to be broadly breakeven.
The company said macroeconomic pressures were hitting its
combustibles performance in the U.S., and in conjunction with
investment in its noncombustibles business it will take an
accounting noncash adjusting impairment charge of around GBP25
billion.
It said the adjustment mainly relates to some of its acquired
U.S. combustibles brands, and will now assess their carrying value
and useful economic lives over an estimated period of 30 years.
BATs said it will commit to driving noncombustibles revenue up
to 50% of its revenue by 2035, and said it will drive investment
into 2024 to accelerate its transformation.
"We expect a progressive improvement to 3-5% revenue growth, and
mid-single digit adjusted profit from operations growth on an
organic basis at constant rates by 2026," the company said.
Write to Joe Hoppe at joseph.hoppe@wsj.com
(END) Dow Jones Newswires
December 06, 2023 02:35 ET (07:35 GMT)
Copyright (c) 2023 Dow Jones & Company, Inc.
Grafico Azioni British American Tobacco (NYSE:BTI)
Storico
Da Apr 2024 a Mag 2024
Grafico Azioni British American Tobacco (NYSE:BTI)
Storico
Da Mag 2023 a Mag 2024
