Cigarette manufacturer British American Tobacco Kenya posted Sh2.5billion in profit after tax in the last financial year, with the company blaming the COVID-19 pandemic and new excise taxes for a 13 per cent fall in earnings.
The company’s latest financial report indicates gross revenues fell from sh19.2billion in 2019 to Sh16.6 billion on account of closed retail stores and economic constraints faced by consumers.
“Gross revenue reduced by 13.6 per cent to Sh16.6 billion driven by lower domestic and export revenue reflecting the adverse economic impact of the COVID-19 pandemic and the impact of excise-led price increases at the beginning of the year on consumer affordability and illicit trade incidence in Kenya,” said the company in a statement accompanying the results.
The company has approved an interim dividend of Sh3.50 for the year ended 31st December 2020.
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