15 May 2024
Half Year Results Statement
Report for the six months ended 31 March 2024
15 May 2024
Report for the six months ended 31 March 2024
| Reported | Adjusted2 | |||||||
|---|---|---|---|---|---|---|---|---|
| Six months ended 31 March 2024 | 2024 | 2023 | Change | 2024 | 2023 | Actual | Constant currency3 |
|
| Revenue | £m | 15,064 | 15,411 | -2.3% | - | - | - | - |
| Tobacco & NGP net revenue1 | £m | - | - | - | 3,637 | 3,663 | -0.7% | +2.8% |
| Operating profit | £m | 1,494 | 1,534 | -2.6% | 1,669 | 1,716 | -2.7% | +2.8% |
| Earnings per share | p | 96.0 | 117.0 | -18.0% | 120.2 | 118.5 | +1.4% | +7.7% |
| Net debt | £m | (10,585) | (10,239) | - | (10,085) | (9,799) | - | - |
| Dividend per share | p | 44.90 | 43.18 | +4.0% | 44.90 | 43.18 | +4.0% | +4.0% |
1 Tobacco & NGP net revenue is reported revenue less duty and similar items, sale of peripheral products and Distribution (Logista) gross profit.
2 See page 3 for the basis of presentation and the supplementary section at the end of the financial statements for the reconciliation between reported and adjusted measures.
3 Constant currency removes effect of exchange rate movements on the translation of the results of our overseas operations.
Investment in consumer capabilities, more agile ways of working and further progress with our performance culture have made Imperial Brands a stronger business better able to deliver an acceleration in financial delivery.
“Investment in consumer capabilities, more agile ways of working and further progress with our performance culture have made Imperial Brands a stronger business better able to deliver an acceleration in financial delivery. This is demonstrated in the first half with the strongest organic top-line growth in more than ten years, amid a challenging external environment.
“In tobacco, stronger brands and improved sales execution have enabled us both to consolidate the market share gains in our priority markets achieved in recent years and to deliver a strong price mix of 8.6%.
“In Next Generation Products (NGP), we are steadily building scale within our footprint and these efforts have resulted in net revenue growth of 16.8% on a constant currency basis. In the past six months, we have launched new products in all categories, including our entry into the US oral nicotine market with the new ‘zone’ brand. Our improved innovation capabilities, which now include three ‘Sense Hubs’ in Liverpool, Hamburg and Shenzhen, mean we are well set up to adapt to changing consumer preferences and regulatory requirements.
“Operational progress has translated into strong financial results and improving capital returns to shareholders. Alongside our progressive dividend, we are on track to complete our ongoing £1.1 billion share buyback programme and to deliver three-year cumulative returns of £6.0 billion including buybacks and our dividend.
“Pricing actions in tobacco taken in the first half and good momentum in NGP gives us confidence in our ability to deliver full-year results in line with our guidance.”
| Investor Contacts | Media Contacts | ||
| Peter Durman | +44 (0)7970 328 903 | Jonathan Oliver | +44 (0)7740 096 018 |
| Jennifer Ramsey | +44 (0)7974 615 739 | Simon Evans | +44 (0)7967 467 684 |
| Henry Dodd | +44 (0)7941 648 421 |
