Imperial Tobacco said on Thursday that it was continuing to make “good progress” with its initiatives in the “e-vapor sector” through its subsidiary Fontem Ventures, and that it remained on track to launch its own products in 2014.
In publishing an interim management statement, Imperial reported that its stick equivalent [cigarettes and fine-cut] volume fell by 7 percent and its underlying volume [excluding the effect of trade destocking] was down by 5 percent during the nine months to the end of June.
The company’s key strategic brands were said to have outperformed market trends, but reported volume for these brands was down by 4 percent and underlying volume was down by 1 percent.
Within the overall trend, fine-cut tobacco performance was described as “excellent,” while there was said to have been good growth in premium cigars and snus.
“I’m pleased with the significant progress we’re making with the strategic transition of the business, which is strengthening our sustainable sales growth capabilities and optimizing our costs in line with our strategy,” said CEO Alison Cooper.
“Our full-year expectations remain unchanged. We continue to focus on maximizing opportunities for our total tobacco portfolio in the EU against a backdrop of weak industry volumes and are driving good in-market performances in Asia-Pacific and Africa and Middle East, with our share improving in many markets.
“Whilst opportunities to grow sales in the short term are being impacted by the environment challenges, we remain focused on generating high-quality returns and sustainable growth from our portfolio.”