Business UpdateSep 29, 2026, 09:56 AM
British American Tobacco Updates 2030 Strategy and 2026 Guidance
AI Summary
British American Tobacco (BAT) provided an update on its 'Horizon 2030' strategy, expecting New Category revenue to grow by mid-teens and contribution margin to reach at least 30% by 2030. The company remains on track to deliver towards the lower end of its full-year 2026 guidance for revenue and adjusted profit from operations growth, with adjusted diluted EPS growth towards the middle of its range. BAT also anticipates being within its target leverage range by year-end and continues to reward shareholders. A Capital Markets Day is scheduled to showcase BAT's global multi-category portfolio and capabilities.
Key Highlights
- New Category revenue expected to grow mid-teens through 2030.
- New Category contribution margin to reach at least 30% by 2030.
- On track for full-year 2026 guidance: 3-5% revenue growth, 4-6% adjusted profit from operations growth.
- Adjusted diluted EPS growth expected towards the middle of the 5-8% range for FY26.
- Expected to be within 2.0-2.5x target leverage range by year-end.
- Anticipate a translational FX headwind of c.2-2.5% on FY26 adjusted diluted EPS growth.
- Aim to reach 50 million adult consumers with Smokeless Products by 2030.
- Smokeless Products accounted for 19.8% of Group revenue as of June 30, 2026.
Price Impact
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