By Aimee Look and Dominic Chopping
British American Tobacco slightly raised its expectations for revenue growth from smoking alternatives such as vapes, but said global industry volumes in its traditional cigarette market would likely be lower than previously expected this year.
Shares fell 3.2% in early London trade.
Despite continued revenue and profit momentum in combustible products like cigarettes, cigars, and pipe tobacco in the U.S., it noted a drop in market share amid pressure from heightened competition, while progress has been slower than anticipated in the Asia-Pacific, Middle East, and Africa region.
The Lucky Strike and Kent cigarette maker now expects global cigarette industry sales volumes to be down around 2.5% this year, having previously guided for a drop of around 2%.
