BAT Hit by Heated-Tobacco Slowdown as Japan Growth Stalls
- Investors losing faith in prospects of cigarette alternatives
- Rivals Philip Morris and Japan Tobacco face similar issues
Vype vapor products and Glo heated tobacco products sit on display at the British American Tobacco Plc research and development laboratories in Southampton.
Photographer: Luke MacGregor/BloombergThis article is for subscribers only.
British American Tobacco Plc said the rapid growth of tobacco-heating products in Japan has slowed, adding to doubts that the category can offset the decline in traditional cigarettes.
Market share gains of BAT’s Glo device have stalled over the last seven weeks, after the tobacco-heating product hit a 4.3 percent share of Japan’s tobacco market during its first six months on sale, the London-based company said Tuesday.