British American Tobacco Zimbabwe Limited (BAT.zw) Q32022 Interim Report

British American Tobacco Zimbabwe Limited (BAT.zw) listed on the Zimbabwe Stock Exchange under the Agricultural sector has released it’s 2022 interim results for the third quarter.

The company faced a challenging operating environment during the period under review, characterised by shortages of foreign currency, devaluation of the local currency, high inflation, and persistent power outages. These challenges led to a decline in consumer uptake, resulting in the company implementing a pricing strategy to mitigate cost pressures and protect volumes. The company recorded an 18% decline in volumes compared to the same period last year, driven by pressure on consumers’ disposable income. The Premium brand Dunhill saw a 92% decline due to the company’s inability to import the brand, while other brands saw single-digit declines. Despite the decline in volume, the company recorded growth in revenue and remained profitable.

For more information about British American Tobacco Zimbabwe Limited (BAT.zw) reports, abridged reports, interim earnings results and earnings presentations visit the British American Tobacco Zimbabwe Limited (BAT.zw) company page on AfricanFinancials.

British American Tobacco Zimbabwe Limited 2022 interim results for the third quarter

Company Profile

British American Tobacco (BAT) Zimbabwe Holdings Limited manufactures, distributes and sells tobacco products for local consumption through a network of independent retailers and distributors. Zimbabwe is the 6th largest tobacco grower in the world and the largest in Africa. Three types of tobacco are grown in the country; Virginia flue-cured, burley and oriental tobacco. Over 95% of Zimbabwe’s tobacco is flue-cured; and more than half of its production is exported to China. The company has recently adopted a mutually-beneficial contract system which is reaping rich rewards; the entire crop is bought from the farmer at the end of the season in return for a supply of seed and fertilizer, and expert training by an agronomist on agricultural techniques. Its head office is in Harare, Zimbabwe. British American Tobacco is listed on the Zimbabwe Stock Exchange