Imperial Tobacco pre-tax profits fell by 50% compared to last year, while net revenue from tobacco was up by 60% for the year ending 30 September, the company announced today.
Chief executive Gareth Davis said that in mature markets the company has been boosted by the popularity of value brands, something that has allowed it to “capitalise on downtrading”.
He also said the firm has been helped by its purchase and integration of Altadis, which was a rival.
Last month, the company said it is launching economy JPS cigarettes as more adult smokers are “moving down through the cigarette price sectors” during a difficult economic period.
Davis said: “We are resilient in times of economic downturn and remain focused on efficiently integrating the two businesses, whilst maximising the enhanced growth opportunities.”
Imperial Tobacco said it sold 292bn cigarettes in the year, a rise of 46% from 2007.
Retailers are waiting to hear the outcome of the government’s consultation on tobacco displays in shops.
