Market share increases in most key markets. Pricing drives revenue growth in spite of industry contraction

Japan Tobacco International (JTI) business results for April-June and January-June 2013

Highlights (change versus prior year)

April-June 2013

  • Core revenue, at constant rates of exchange, grew 5.8% driven by strong price/mix, compensating for the volume decline.

  • Core revenue grew 3.8%, on a reported basis.

  • GFB shipment volume remained flat underpinned by growth in Russia, in the Caucasus markets, Kazakhstan and a number of markets in the North & Central Europe cluster while industry contraction in many markets continued. Total shipment volume declined 3.9% despite market share gains in several markets and fine cut growth of 24.6%.

January-June 2013

  • Core revenue, at constant rates of exchange, grew 4.1% driven by strong price/mix.

  • Core revenue increased 2.0%, on a reported basis.

  • Total and GFB shipment volume declined 5.1% and 2.3% respectively. This was mainly due to continued industry contraction across a number of key markets and one-off trade inventory adjustments in the first quarter.

Year-on-year market share continued to grow in most key markets including France, Italy, Spain, Taiwan, Turkey, and the UK. In Russia, share of value continued to grow.

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