Latest news with #BATMalaysia
BusinessToday
03-06-2025
- Business
- BusinessToday
BAT Malaysia's 1Q PAT Drops 20%, Revenue Down To RM322 Million
For the quarter under review, BAT Malaysia recorded a revenue of RM322 million, 21.8% lower compared to the same period last year. While profit from operations declined by 15.7% to RM39 million, the Group's gross profit margin rose by 2.9%, supported by a more effective portfolio mix strategy. However, its profit after tax dropped from RM29 million to RM23 million, Despite the Group experiencing softened demand due to seasonality factors and the early start of the Ramadhan fasting period in 2025, which saw a 20.6% decline in the Group's volume, the Group's flagship brand, Dunhill grew its market share and continued to strengthen its leadership position. The Board of Directors has declared a first interim ordinary dividend of 7.5 sen per ordinary share amounting to RM21.5 million, payable on 3 July 2025 to shareholders. The group said that despite the challenging operating landscape, the Group's flagship brand, Dunhill, continued to demonstrate strength, recording a 0.7 percentage point growth in market share compared to the same period last year. Related
The Star
12-05-2025
- Business
- The Star
BAT to focus on flagship products to boost sales
Illustration shows BAT (British American Tobacco) PETALING JAYA: British American Tobacco (M) Bhd (BAT Malaysia) will focus on its flagship products to boost sales and navigate the challenges of the tobacco black market. In a joint statement in the company's annual report, chairman Tan Sri Aseh Che Mat and managing director Nedal Louay Salem said the company would deliver sustainable value for shareholders by focusing on its brands. 'In 2024, BAT Malaysia continued to solidify its leadership in the premium segment by building on Dunhill, our flagship premium brand with 60 years of presence in Malaysia, to maintain its leadership position in the segment. 'We also continued to build the Rothmans and Luckies brands by reinforcing its premium cues to increase its competitiveness within the value-for-money segment.' Separately, Aseh and Salem said while the tobacco black market continues to pose a challenge to the legal industry, stabilising at approximately 55%, they noted that the Malaysian government has been intensifying enforcement action. However, macroeconomic factors such as inflation and reduced disposable incomes persist in driving demand for smuggled products. 'We remain dedicated to work with law enforcement agencies to seek solutions to address the issue and support intensified enforcement efforts.' For the financial year ended Dec 31, 2024 (FY24), BAT Malaysia's net profit dipped to RM183.14mil from RM194.75mil in the previous corresponding period, while revenue was flat at RM2.3bil. In a filing with Bursa Malaysia on its FY24 performance, BAT Malaysia said the legal combustible industry experienced a 2% decline in volume for the year as compared to the previous year. This, the company said, was despite the lower incidence of the tobacco black market by 0.6%, from 55.6% in FY23 to 55% in FY24. 'Combustible products continued to face challenges as consumer preference shifted to reduced-risk alternative products. The group achieved a 0.8% increase in volume as compared to the previous year, leading to a 0.2% increase in total revenue.' BAT Malaysia said this was largely driven by the product portfolio strategy in place. 'Despite the group's continued efforts to actively manage and optimise operating expenses, the profit from operations declined by 0.8% to RM279mil, mainly impacted by lower margins associated with vapour products and the downtrading trend within the combustible industry.' Going forward, BAT Malaysia said it considers 2025 to be a crucial year as the Control of Smoking Products for Public Health Act 2024 (Act 852) and its regulations will take effect in phases over the course of the year. 'The group is prepared to navigate these changes effectively,' it said.
