BAT half-year profit rises to Sh2.5b

Tobacco firm BAT Kenya has shrugged off a drop in sales in the local market to register a 25 per cent increase in profit after tax.

The company yesterday reported a profit after tax of Sh2.5 billion for the half-year to June, a 25.5 per cent growth compared to Sh2 billion reported over a similar period in 2018.

Revenues grew 10 per cent to Sh19 billion from Sh17.4 billion last year.

The company said while higher taxes in Kenya had the effect of pushing up revenues, they also resulted in a drop in sales volumes. The revenue increase was also buoyed by the sale of cut rag tobacco to markets like Sudan.