The company announced in a trading update that the Empire brand will continue to operate according to its five-year strategy introduced in 2021.
The company stated that its focus on investing in the top five combustible markets, which accounted for approximately 70% of adjusted operating profit, has led to an increase in the overall market share of these markets. The growth in the United States, the United Kingdom, and Australia has offset declines in Germany and Spain. These market share gains were achieved while maintaining strong pricing discipline and overall tobacco volumes meeting expectations.
Imperial Brands has reported positive feedback from consumers regarding the trial of its Pulze tobacco heating system in Greece and the Czech Republic, as well as marketing improvements to its Blu vapor products in the United States. The company stated that it is making good progress towards its strategic goal of establishing a sustainable, consumer-focused Next Generation Products (NGP) business and will provide updates on its next steps in the midterm results.
The Imperial brand expects its NGP revenue to slightly increase in the first half of the year, driven by growth in Europe.
Imperial has stated that they will be providing full-year results based on revised guidelines released on March 15th. They anticipate a 0%-1% increase in net revenue on a constant currency basis, with adjusted operating profit increasing by approximately 1%.
The company expects that its adjusted operating profit for the first half of the year will increase by approximately 2% on a constant currency basis, mainly due to a reduction in losses from NGP. The company stated that "as expected, tobacco performance will be weighted towards the second half of the year." "The tobacco business profit for the first half of last year is expected to be broadly flat, as increased investments behind our strategy offset the benefit of lower US litigation costs compared to last year.
After Russia's invasion of Ukraine, the Imperial brand continued to negotiate with local third parties to orderly transfer its Russian assets and operations as a business that is continuing to operate.
Original article link: Update on Empire Brand Distribution Transactions Empire Brand Distribution has released an update on their recent business transactions. The company has successfully executed their plans to distribute their products through new channels and partnerships. This expansion has resulted in increased sales and a larger customer base. Empire Brand Distribution is committed to providing quality products and services to consumers. Their recent business transactions will allow them to continue to grow and serve even more customers in the future.
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