British American Tobacco PLC 

British American Tobacco PLC (LSE: BATS) is an FTSE 100 index-listed entity focused on manufacturing and selling cigarettes, tobacco, and other nicotine products internationally. The company distributes its products to retail outlets across the U.S., Europe, and North Africa (ENA), Americas and Sub-Saharan Africa (AMSSA), and the Asia Pacific and Middle East (APME) regions. The Company operates through the retail of homewares in the United Kingdom segment.

FY23 Results (Released on 08 February 2024)

• Revenue Update: The company reported the overall revenue declined by 1.3% but on an organic basis the revenue improved by 3.1% in FY23. Most of the revenues were derived from the New Categories organic sales which increased by 21.0% on constant rates and improved pricing.
• Volumes: The new category volumes sales were mainly derived by Vuse and Velo along with sales from non-combustibles which constitute 16.5% of the total group sales, increasing by 170 bps in FY23 vs FY22.
• Dividend: The management announced an interim dividend of GBX 235.50 per share for the year ended 31 December 2024. This will be payable in four quarters equally in installments of GBX 58.87 per share payable in May 2024, August 2024, November 2024, and February 2025.
• Outlook: The management expects the Global tobacco industry volume to be down by 3% on the worries of the USA and Indonesia. The organic revenue could be in the single digits and the company is estimated to head towards GBP 5 bn new category revenues by FY25. The operating cash flow conversion could be more than 90% in the near term.

Share Price Chart

Markets are trading in a highly volatile zone currently due to certain macroeconomic issues and geopolitical tensions prevailing. Therefore, it is prudent to follow a cautious approach while investing.

British American Tobacco PLC (LSE: BATS) was trading at the current market price of GBX 2,460.50 (as of 09 February 2024 at 09:25 AM GMT)

Note 1: Past performance is not a reliable indicator of future performance.

Note 2: The reference date for all price data, currency, technical indicators, support, and resistance level is 09 February 2024. The reference data in this report has been partly sourced from REFINITIV.

Note 3: ‘Kalkine reports are prepared based on the stock prices captured either from the London Stock Exchange (LSE) and or REFINITIV. Typically, both sources (LSE and or REFINITIV) may reflect stock prices with a delay which could be a lag of 15-20 minutes. There can be no assurance that future results or events will be consistent with the information provided in the report. The information is subject to change without any prior notice.

Note 4: Dividend Yield may vary as per the stock price movement.