British American Tobacco (BTI) FY23 – Results Snapshot

Diluted HEPS 366.5pps (+10.8% y-y).
Revenue down -1.3% y-y.
Expense growth 143.5% y-y, primarily due to a £27.6bn non-cash impairment charge. Expense-to-sales ratio up to 159.3% from 64.6% LY.
OPM fell to -57.7% from 38.1% LY.
Dividend of 235.5pps (LY: 230.9pps).
Gross debt down to £39.7bn (LY: £43.1bn) with cash £4.5bn (LY: £3.3bn).
BTI revised their regional structure and now reports on three segments, which includes the United States, Asia-Pacific, Middle East and Africa (APMEA); and Americas and Europe (AME).
Vuse extended leadership in value share (in total Vapour) by 470bps to 45.6%.
Cigarette volume declined c.8.2%, a decline of 5.3% on organic basis.
In February 2024, BTI announced they had reached a global patent settlement with competitor Phillip Morris International that resolves ongoing patent infringement litigations between parties.