British American Tobacco Backs Full-Year Targets, Lowers Cigarette Market Outlook

By Andrea Figueras

British American Tobacco said it remains on track to reach its full-year ambitions, but lowered its expectations for global industry sales volumes in the company's traditional cigarette market.

The owner of Lucky Strike and Kent cigarette brands has been investing in expanding its portfolio of alternatives to cigarettes such as vapes and nicotine pouches as smokers increasingly switch to new categories. Last month, BAT said it planned to shrink its workforce by nearly a fifth, aiming to cut costs and simplify its operations.

"We are building momentum as we transform," Chief Executive Tadeu Marroco said.

For this year, BAT continues to expect full-year growth to come in at the lower end of its medium-term guidance range, with 3% to 5% revenue growth and 4% to 6% growth in adjusted profit from operations. However, it expects global cigarette industry sales volumes to be down around 3% this year, while it previously forecast a 2.5% decline.

For the first half, the company booked revenue of 12.24 billion pounds ($16.36 billion), up 1.4 % compared with the same period a year earlier in reported terms.

Profit from operations dropped 16% on year to 4.27 billion pounds.

Write to Andrea Figueras at andrea.figueras@wsj.com

(END) Dow Jones Newswires

July 30, 2026 02:49 ET (06:49 GMT)