Share Dealing
British American Tobacco profits up in first half
Rob Langston, 27 July 2011
British American Tobacco (BATS.L) has revealed profit from operations grew by 18 per cent year-on-year in the first six months of the year to £2.7 billion.
According to British American Tobacco, the strong rise in profit from operations in the six months to 30 June 2011 was fuelled by additional shipments to Japan.
The company pointed to a disruption to domestic production in the aftermath of the earthquake and subsequent tsunami.
It added, 'With increased pricing, underlying share growth and higher volumes, profit grew strongly.'
The tobacco company saw a slight rise in revenue, growing to £7.4 billion in the first six months of the year, compared with £7.3 billion in the prior-year period.
Richard Burrows, chairman of British American Tobacco, said, 'With continued pricing momentum, an increase in market share and the rate of volume decline moderating, we are on track for another very good year.'
The company also reported a 15 per cent rise in its interim dividend per share to 38.1p.
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