Imperial Tobacco Forecasts Increased Revenue on Eastern Europe
Net revenue from tobacco will probably increase 2 percent excluding currency shifts in the 12 months through September, the Bristol, England-based company said today in a statement. That matched the median of three estimates in a Bloomberg News survey. Results will be “in line” with the company’s expectations, the Davidoff maker said.
Imperial Tobacco is looking to emerging markets such as eastern Europe to offset declining consumption in Spain and North America. The company said in July that lower cigarette prices in Spain would cut operating profit this year by as much as 70 million pounds ($110 million), below a previous forecast of 100 million pounds.
The total volume of tobacco sold by the producer will probably decrease 2 percent in the 12 month period, Europe’s second-biggest tobacco company said. Imperial Tobacco is scheduled to report full-year results on Nov 1.
Imperial Tobacco said recent price increases in Spain will help business in that market.
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