UK
British American Tobacco (BAT) is expecting revenue from its “new category” products, which include its Vype and Vuse vaping pens, to increase by 30-50% this year against declining tobacco sales in its US market.
Nielsen figures have shown continuously declining cigarette sales numbers month-on-month in the US market, which counts for about 40% of BAT’s revenue. Volume in the year was down by 8.2%, with May figures down 11.2%.
BAT said that it expected cigarette volumes to be 3.5% lower over the year but that revenue growth would still be at the upper end of the 3-5% forecast.
New c.e.o Jack Bowles said, “We are creating a stronger, simpler business and driving a step change in new categories, built on the foundation of a strong combustible business,” also adding that BAT’s key cigarette brands continued to take market share and that the company was on track for 2019.