Imperial Brands Backs Full-Year View; To Launch GBP1.1 Billion Buyback

By Elena Vardon

Imperial Brands said it expects to meet its guidance for fiscal 2023 and that it will launch a bigger share buyback in fiscal 2024.

The tobacco group--which houses Davidoff, Gauloises and JPS among its brands--said its trading for the year ended Sept. 30 is seen in line with its guidance of low-single-digit growth in tobacco and next-generation products net revenue. It had also guided for group adjusted operating profit growth to accelerate to the lower end of its mid-single-digit range.

It said it had seen improved tobacco net revenue growth over the second half of the year on strong pricing, which offset higher volume declines. Next-generation products--which include vape, heated tobacco and oral nicotine--revenue growth also accelerated in the period on strong growth in Europe, it added.

The FTSE 100-listed company said it is undertaking a 1.1 billion pounds ($1.33 billion) share buyback for fiscal 2024, which will start on Oct. 6 and end in September 2024 and represents a 10% increase on the previous year's program. It added that it expects total capital returns in the year to exceed GBP2.4 billion, including dividends and buybacks.

Write to Elena Vardon at [e-mail]

(END) Dow Jones Newswires

October 05, 2023 02:42 ET (06:42 GMT)

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