Annual Report 2025

A STRONGER CHALLENGER BUSINESS

Imperial Brands is a global consumer business with a distinctive challenger role in the transforming tobacco and nicotine industry.

Our refreshed strategy is building a more consumer-centric, focused and agile enterprise, delivering consistent, sustainable growth.

Building on our strong foundations, we are getting even closer to consumers, creating differentiated combustible and next generation products (NGPs), and evolving into a simpler, data-led organisation which enables our people to do their best work, every day.

FOCUSED INTERNATIONAL PORTFOLIO

An International Market
Portfolio with Focus

35%

42%

23%

Chart illustrating regional split of FY25 Tobacco & NGP net revenue of £8.3 billion. Reported revenue £32.2 billion

*Africa, Asia, Australasia and Central & Eastern Europe.

With Brands Reflecting Our Consumer Preferences

International and local combustible brands

Brands in each NGP category

Prioritising Our Highest Value Combustible Markets

USA
Spain
Germany
Australia
UK

Strategic overview

SET UP FOR SUSTAINABLE GROWTH

During the past five years, we have comprehensively refreshed our senior leadership team with strong hires from other global consumer businesses and by nurturing internal talent. This means we now have a strong and deep management bench ready to lead the company through the next strategic period.

Thérèse Esperdy
Chair

CHAIR’S STATEMENT

EXTENDING OUR HIGH-QUALITY TRACK RECORD

Our strong operational and financial delivery during fiscal year 2025 and over the past five years provides a firm platform on which to build as we embark on the next phase of our strategy.

Lukas Paravicini
Chief Executive Officer

CHIEF EXECUTIVE’S STATEMENT

OUR 2030 STRATEGY

In March 2025, we laid out a five-year strategy which is both a confident evolution and a step-up in our ambitions. Our strategy is built around the simple idea that, as the smallest of the global tobacco and nicotine businesses, we are at our best when we behave as a challenger. For us, being a challenger is, above all, about getting closest to our consumers, staying focused on the biggest opportunities for growth, and investing to enable our people to act with greater agility.

DOWNLOAD OUR STRATEGY

Financial highlights

Tobacco & NGP net revenue (£bn)

+4.1%

at constant currency

Adjusted operating cash conversion

97%

2024: 100%

Reported operating profit change

-1.8%

Group adjusted operating profit change

+4.6%

at constant currency

Free cash flow

£2.7bn

2024: £2.4bn

Reported basic EPS

251.1p

2024: 300.7p

Adjusted EPS growth

+9.1%

at constant currency

Adjusted net debt/EBITDA

2.0x

2024: 1.8x

Download our KPIs

Operating review

EUROPE

Strong financial performance driven by pricing as volume decline rates eased across the region
Germany turnaround continued with market share growth
Spanish market share performance improved in second half
UK market an important profit contributor to the Group
NGP net revenue growth supported by innovation

AMERICAS

Financial performance reflects strong combustible pricing and NGP growth
Strong pricing in combustibles
Mass market cigar performance improved, benefiting from product innovation and brand loyalty
NGP net revenue growth driven by continued roll-out of Zone

AFRICA, ASIA, AUSTRALASIA AND CENTRAL & EASTERN EUROPE

Solid operational and financial performance
Market size pressures offset market share growth in Australia
Strong combustible contributions from our broader market clusters
NGP net revenue declined over the period

DISTRIBUTION

Distribution consists of our 50.01% stake in Logista
Financial performance was in line with expectations
Gross Profit reflected strong tobacco and pharmaceutical performance and weakness in transportation
Adjusted operating profit contribution to the Group increased 0.9% on a constant currency basis

DOWNLOAD OUR OPERATING REVIEW

ACCELERATING RETURNS

Fiscal year 2025 was the fifth and final year of our 2021 strategy and our performance provides strong foundations for the next phase of our strategy out to 2030.

Murray McGowan
Chief Financial Officer

GROUP FINANCIAL REVIEW

ESG review

OUR CHALLENGER APPROACH TO ESG

We believe ESG is a strategic enabler
that underpins our ambition to become
a high-performing, consumer-centric
and responsible business.

Who we are

Our Brands

People and planet

Investor hub

Careers at Imperial

News

A STRONGER CHALLENGER BUSINESS

A STRONGER CHALLENGER BUSINESS

An International Market Portfolio with Focus

With Brands Reflecting Our Consumer Preferences

Prioritising Our Highest Value Combustible Markets

Strategic overview

SET UP FOR SUSTAINABLE GROWTH

EXTENDING OUR HIGH-QUALITY TRACK RECORD

OUR 2030 STRATEGY

OUR STRATEGY

STRATEGIC PILLARS

STRATEGIC ENABLERS

Financial highlights

+4.1%

97%

-1.8%

+4.6%

£2.7bn

251.1p

+9.1%

2.0x

Operating review

EUROPE

AMERICAS

AFRICA, ASIA, AUSTRALASIA AND CENTRAL & EASTERN EUROPE

DISTRIBUTION

ACCELERATING RETURNS

ESG review

OUR CHALLENGER APPROACH TO ESG

Download hub

You might also be interested in

Investor hub

Results, reports, presentations

Connect with us

Contact us

Useful links

Registered office

A STRONGER CHALLENGER BUSINESS

An International Market
Portfolio with Focus