Latest news with #ImperialBrands
Time of India
15-05-2025
- Business
- Time of India
Imperial Brands CEO departure spooks market, CFO to take reins
HighlightsStefan Bomhard, the CEO of Imperial Brands, announced his retirement after five years, leading to a more than 7 percent drop in the company's shares as investors reacted negatively to the unexpected news. Lukas Paravicini, the Chief Financial Officer, will succeed Bomhard as CEO on October 1, and is expected to continue the company's growth strategy targeting up to 5 percent annual profit growth until 2030. Under Bomhard's leadership, Imperial Brands experienced a significant turnaround, restoring market share and achieving nearly 90 percent share price growth during his tenure, despite challenges in expanding smoking alternatives. Imperial Brands said CEO Stefan Bomhard will retire after five years in the job, sending the British cigarette maker's shares down more than 7 per cent as investors lamented the unexpected loss of a leader credited with turning its performance around. Under Bomhard, the maker of Winston, Davidoff and Gauloises cigarettes has enjoyed a rebound in sales and returns as it focused on core markets and its tobacco business , while also looking to expand in smoking alternatives . Finance chief Lukas Paravicini will take over as CEO on October 1 and will be tasked with driving that growth strategy forward as the company targets up to 5 per cent annual profit growth until 2030. Shares in the company, which also owns e-cigarette brand blu, nicotine pouch brand Zone and heated tobacco device Pulze, were trading 7.9% lower at 0930 GMT on Wednesday, having gained nearly 90% during Bomhard's tenure. Prior to Bomhard's arrival Imperial had lost market share in its core tobacco business and failed to gain any real traction with new products like vapes, resulting in years of missed sales targets and a 2020 write-down. Bomhard restored that market share, sales growth and healthy investor returns by retreating to focus on traditional tobacco in Imperial's key markets. He also fine-tuned the company's strategy on smoking alternatives - a portfolio which delivered double-digit growth in the first half of this year. "There is no doubting the disappointment in Stefan Bomhard announcing his retirement... after an exceptional five-year run," Panmure Liberum analyst Rae Maile said in a note. While the departure of such a well-regarded CEO after a strong run always causes investor concern, CFO Paravicini's appointment as Bomhard's successor should give shareholders confidence, Barclays analyst Gaurav Jain said. CONTINUITY Paravicini told investors on an analysts' call he was committed to Imperial's five-year strategy set out in March and a capital allocation framework based around healthy returns for shareholders. Under that strategy, Paravicini is tasked with stepping up growth in smoking alternatives, where Imperial lags competitors, and compounding progress on tobacco in difficult markets like Germany, where Imperial has struggled to regain lost share amid stiff competition. Bomhard portrayed his departure as "a very personal decision" related to freeing up personal time for himself and his family after 11 years leading large UK companies. He was previously CEO of car distributor Inchcape and held senior roles at Unilever and Bacardi. Bomhard will remain on the board until December 31 and will be available until May 2026 to support the transition. Imperial Brands' Chief Strategy and Development Officer Murray McGowan will replace Paravicini as CFO. The company also reported a 1.8 per cent rise in first-half adjusted operating profit at constant currency, just shy of analysts' estimates of 2%, and reaffirmed its annual forecast.
Irish Times
14-05-2025
- Business
- Irish Times
European stock rally hurt by healthcare woes
The pan-European Stoxx 600 remained largely steady in trading even as the index saw its recent four-day rally fractured by healthcare stocks, ending the day 0.2 per cent weaker. The big markets stayed relatively stable as investors assess developments in US trade policy following a period of share rebounds. DUBLIN Bucking the European trend, the Iseq All-Share index ended the session up 1 per cent to 11,163.34. READ MORE The index's advance was led by banking stocks, with AIB Group leading the way. It finished 2.3 per cent stronger on €6.64 following the news that the bank had completed a stock buyback from the State. Elsewhere in the sector, Bank of Ireland jumped 1.69 per cent to €11.76, and Permanent TSB Group saw a 1.43 per cent gain to 1.775. Ryanair was the most actively traded stock of the day and rose 2.27 per cent to €22.50. The biggest drops of the day were both in property with Cairn Homes down 2.60 per cent and Glenveagh falling 2.12 per cent. LONDON Britain's blue-chip FTSE 100 index closed lower on Wednesday, while mid-caps clocked gains as investors assessed a mixed bag of corporate earnings, and the focus shifted to the state of the country's economy. The FTSE 100 was down 0.2 per cent, while the domestically focused FTSE 250 was up 0.3 per cent. Despite the day's muted performance, Goldman Sachs raised its 12-month forecast for the FTSE 100 to 8,800 from 8,500. Shares of Imperial Brands fell 7.3 per cent to the bottom of the index after the cigarette maker said chief executive Stefan Bomhard will retire after five years in the role. Compass Group's stock fell 2.5 per cent after the catering firm released unchanged annual profit and revenue forecasts. Losses were kept in check as Burberry's stock jumped 17 per cent to lead mid-cap performers after the British luxury brand announced plans to shed 1,700 jobs – about a fifth of its global workforce. Sticking with fashion, Asos shares gained 3.2 per cent after parcel locker company InPost announced a partnership with the British online fashion retailer to introduce a next-day out-of-home delivery service. EUROPE The Stoxx 600 dropped 0.2 per cent, but stayed well above its early April lows in light of Trump's tariff announcement. The announcement of a number of trade deals has led to Goldman Sachs raising its 12-month forecast for the Stoxx 600 to 570 points, from 520. Healthcare shares were the biggest drag on the market on Wednesday, down 1.5 per cent. Alcon logged its biggest one-day fall since March 2020 after missing expectations for quarterly results and revising its 2025 outlook to reflect the impact of US tariffs. Most sectors ended the day slightly lower, although banks rallied 1.4 per cent to trade at the highest since August 2010. Train-maker Alstom was the poorest performer on the Stoxx 600, tumbling over 17 per cent after its forecast for the current year disappointed investors. Tui, Europe's largest travel operator, was down about 11 per cent after flagging a 1 per cent drop in summer bookings. NEW YORK The three big New York indices were on a knife edge in late afternoon trading as investors watched for trade developments during Donald Trump's tour of the Gulf states. Technology companies helped to keep the S&P 500 in the black, with Nvidia among top gainers alongside Advanced Micro Devices (AMD) after the latter approved a new $6 billion share buyback programme. Boeing gained after state carrier Qatar Airways signed a deal to purchase jets from the plane maker during Trump's visit to Doha. But eight of the 11 S&P sectors traded lower, with utilities worst hit. American Eagle Outfitters was among the few earnings-related movers, falling after the apparel company withdrew its annual forecasts, citing tariff-fuelled economic uncertainty. – Additional reporting, Reuters.
Yahoo
14-05-2025
- Business
- Yahoo
London stock close lower as miners hit by slumping gold price
London top index took a step back on Wednesday from a month-high, as metal stocks were dented by slumping gold prices. It came amid a weaker session from commodity firms, while a negative reception to updates from Experian and Imperial Brands also proved to be a drag. The FTSE 100 finished down by 0.21%, or 17.91 points, to close at 8,585.01. It comes ahead of key UK economic growth figures on Thursday morning, which are expected to show a 0.6% increase in GDP over the first quarter. The other major European markets also drifted further into the red during trading on Thursday. The Cac 40 ended 0.47% lower for the day and the Dax index was down 0.57%. Stateside, US equities had a mixed start to trading, with tech-focused Nasdaq starting slightly higher, as it benefited from rises for Nvidia and AMD. Chris Beauchamp, chief market analyst at IG, said: 'Investors continue to pile back into US markets, but European markets have seen some losses today. 'Having returned to record highs, the Dax looks vulnerable to some short-term selling, while the FTSE 100 seems to have a ceiling for the time being around 8600. 'Nonetheless, the tariff truce and cooling inflation should continue to underpin gains for stocks in the weeks to come.' Meanwhile, sterling was a touch lower at the close after early gains against the dollar were entirely wiped out. The pound was 0.06% lower at 1.329 US dollars and was down 0.14% at 1.187 euro when London's markets closed. In company news, Burberry shares shot higher after the luxury fashion firm unveiled plans to axe nearly a fifth of its global workforce, including UK factory workers, in a bid to slash costs and return to profit. Shareholders welcomed the proposals to cut about 1,700 jobs worldwide over the next two years in an effort to reverse recent losses. Burberry shares lifted by 17% to 967.6p at the close of trading, marking its highest level for two months. JPS and Gauloises maker Imperial Brands finished firmly lower after its boss said he will retire after five years leading the tobacco giant. The London-listed firm said Lukas Paravicini, the company's current chief financial officer, will replace Stefan Bomhard as chief executive on October 1. Shares dropped by 7.3% to 2,680p as investors digested the surprise departure of the successful chief. Pawnbroker H&T rocketed in value after it agreed to be the latest UK-listed firm to be taken private by a US buyer. H&T said on Wednesday that it had accepted an offer from Texas-based FirstCash to buy the company for £297 million. Shares rose by 40.6% to 644p. Elsewhere, the price of oil pulled back slightly from Tuesday's highs, which had benefited from progress in trade talks between the US and China. A barrel of Brent crude oil was 0.92% lower at 66.02 dollars (£49.65) as markets were closing in London. The biggest risers on the FTSE 100 were: Entain, up 26.8p to 790.8p; Airtel Africa, up 5.5p to 174.6p; Mondi, up 38p to 1,226.5p; Marks & Spencer, up 9.8p to 355.2p; and Beazley, up 18.5p to 893p. The biggest fallers on the FTSE 100 were: Imperial Brands, down 210p to 2,680p; Spirax, down 395p to 6,190p; Experian, down 114p to 3,868p; Fresnillo, down 28.5p to 981.5p; and Compass Group, down 66p to 2,540p. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Business Recorder
14-05-2025
- Business
- Business Recorder
London stocks end mixed as investors assess corporate earnings
Britain's blue-chip index closed lower on Wednesday, while mid-caps clocked gains as investors assessed a mixed bag of corporate earnings, with the focus shifting to the state of the country's economy. The benchmark FTSE 100 was down 0.2%, while the domestically focused FTSE 250 was up 0.3%. Despite the day's muted performance, Goldman Sachs raised its 12-month forecast for the FTSE 100 to 8,800 from 8,500, following a crucial U.S.-China trade agreement that has helped dial down global recession concerns. Shares of Imperial Brands fell 7.3% to the bottom of the blue-chip index after the cigarette maker said CEO Stefan Bomhard will retire after five years in the role. Compass Group's stock fell 2.5% after the catering firm released unchanged annual profit and revenue forecasts. Shares of Spirax Group dropped nearly 6% after the manufacturing firm reported a slightly lower four-month profit margin. Precious metal miners led the sectoral decline with a 2.5% drop, as gold prices fell more than 2% to a one-month low. Keeping losses in check, Burberry's stock jumped 17% to lead mid-cap performers after the British luxury brand announced plans to shed 1,700 jobs - about a fifth of its global workforce. ASOS shares gained 3.2% after parcel locker company InPost partnered with the British online fashion retailer to introduce a next-day out-of-home delivery service. On the economic front, Bank of England Monetary Policy Committee member Catherine Mann said she voted to keep borrowing costs on hold last week because Britain's labour market had been more resilient than she expected. Data published on Tuesday showed signs of a cooling UK labour market, but economists said the drop appeared modest. The BoE cut its benchmark Bank Rate by a quarter of a percentage point on May 8, a decision backed by five of the MPC's nine members. Meanwhile, Britain's finance ministry has hired Bank of America executive Jim O'Neil for a senior position as it tries to boost the country's weak economic growth, the government said.
The Independent
14-05-2025
- Business
- The Independent
London stock close lower as miners hit by slumping gold price
London top index took a step back on Wednesday from a month-high, as metal stocks were dented by slumping gold prices. It came amid a weaker session from commodity firms, while a negative reception to updates from Experian and Imperial Brands also proved to be a drag. The FTSE 100 finished down by 0.21%, or 17.91 points, to close at 8,585.01. It comes ahead of key UK economic growth figures on Thursday morning, which are expected to show a 0.6% increase in GDP over the first quarter. The other major European markets also drifted further into the red during trading on Thursday. The Cac 40 ended 0.47% lower for the day and the Dax index was down 0.57%. Stateside, US equities had a mixed start to trading, with tech-focused Nasdaq starting slightly higher, as it benefited from rises for Nvidia and AMD. Chris Beauchamp, chief market analyst at IG, said: 'Investors continue to pile back into US markets, but European markets have seen some losses today. 'Having returned to record highs, the Dax looks vulnerable to some short-term selling, while the FTSE 100 seems to have a ceiling for the time being around 8600. 'Nonetheless, the tariff truce and cooling inflation should continue to underpin gains for stocks in the weeks to come.' Meanwhile, sterling was a touch lower at the close after early gains against the dollar were entirely wiped out. The pound was 0.06% lower at 1.329 US dollars and was down 0.14% at 1.187 euro when London's markets closed. In company news, Burberry shares shot higher after the luxury fashion firm unveiled plans to axe nearly a fifth of its global workforce, including UK factory workers, in a bid to slash costs and return to profit. Shareholders welcomed the proposals to cut about 1,700 jobs worldwide over the next two years in an effort to reverse recent losses. Burberry shares lifted by 17% to 967.6p at the close of trading, marking its highest level for two months. JPS and Gauloises maker Imperial Brands finished firmly lower after its boss said he will retire after five years leading the tobacco giant. The London-listed firm said Lukas Paravicini, the company's current chief financial officer, will replace Stefan Bomhard as chief executive on October 1. Shares dropped by 7.3% to 2,680p as investors digested the surprise departure of the successful chief. Pawnbroker H&T rocketed in value after it agreed to be the latest UK-listed firm to be taken private by a US buyer. H&T said on Wednesday that it had accepted an offer from Texas-based FirstCash to buy the company for £297 million. Shares rose by 40.6% to 644p. Elsewhere, the price of oil pulled back slightly from Tuesday's highs, which had benefited from progress in trade talks between the US and China. A barrel of Brent crude oil was 0.92% lower at 66.02 dollars (£49.65) as markets were closing in London. The biggest risers on the FTSE 100 were: Entain, up 26.8p to 790.8p; Airtel Africa, up 5.5p to 174.6p; Mondi, up 38p to 1,226.5p; Marks & Spencer, up 9.8p to 355.2p; and Beazley, up 18.5p to 893p. The biggest fallers on the FTSE 100 were: Imperial Brands, down 210p to 2,680p; Spirax, down 395p to 6,190p; Experian, down 114p to 3,868p; Fresnillo, down 28.5p to 981.5p; and Compass Group, down 66p to 2,540p.
