Results for FY2013 First Quarter (April 1, 2013 through June 30, 2013)
Adjusted EBITDA at constant rates of exchange increased 4.0% driven by strong top-line growth in the International Tobacco Business and the depreciation of the Japanese Yen. On a reported basis, revenue and adjusted EBITDA grew 7.0% and 13.6% respectively. Profit attributable to owners of the parent increased 16.1%.
International Tobacco Business: At constant rates of exchange, adjusted EBITDA and core revenue in US dollars grew 10.5% and 2.1%, respectively, driven by an improved price/mix more than offsetting a volume decline due to industry contraction and trade inventory adjustments. Adjusted EBITDA grew 6.2% whereas core revenue remained flat. Due to the depreciation of the currency against the US dollar, core revenue and adjusted EBITDA in Japanese Yen increased 16.4% and 23.8% respectively.
Japanese Domestic Tobacco Business: Mevius drove steady market share growth to 60.5% in the quarter, following a number of new product and sales initiatives. As a result, total sales volume and core revenue remained flat, while industry volume declined. Adjusted EBITDA decreased slightly by 1.1%. Underlying performance provided a good start to the full year forecast.