Stock Market Impact: The upgrade of the New Categories revenue growth outlook to mid‑teens for H1 and full‑year may bolster investor sentiment toward British American Tobacco and the broader tobacco sector.
Listed Companies and Sectors: British American Tobacco (BAT) announced the revised outlook for its New Categories unit, which includes Velo nicotine pouches, Vuse e‑cigarettes and glo heated‑tobacco sticks. CEO Tadeu Marroco highlighted accelerating demand for vapes and nicotine pouches and a softer FDA regulatory stance. BAT kept its overall 2026 guidance unchanged (group revenue 3‑5%, adjusted profit 4‑6%, EPS 5‑8%) and reaffirmed targets to reduce leverage to 2‑2.5x by year‑end 2026, maintain progressive dividends and share buy‑backs, and rely on cost reductions from the Fit2Win efficiency programme.
