BATs Trading to Date in Line; Sees Earnings Boost from Weak Pound

By Ian Walker Features Dow Jones Newswires

British American Tobacco PLC (BATS.LN) said Wednesday trading for the year to date is in line with its expectations, and that earnings are expected to benefit from the current weakness of the British pound.

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The maker of Dunhill and Lucky Strike cigarettes said that if current exchange rates remain unchanged, first-half operating profit would be 13% higher, and earnings a share up 14%. For the full year, operating profit is expected to be 7% higher, the company said.

London-headquartered BAT said it continues to grow its share of the cigarette market, with sales volumes ahead of last year's, though future growth would reflect the phasing of shipments in a number of the company's main markets, including Pakistan.

Full-year volumes are is expected to outperform the industry, the company said.

-Write to Ian Walker at ian.walker@wsj.com; @IanWalk40289749

(END) Dow Jones Newswires

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June 14, 2017 02:39 ET (06:39 GMT)