Japan Tobacco's first half and Q2 financial reports: Heat-not-burn product revenue increased by more than 25.5%; Ploom expanded to 21 markets worldwide

Japan Tobacco's first half and Q2 financial reports: Heat-not-burn product revenue increased by more than 25.5%; Ploom expanded to 21 markets worldwide

Japan Tobacco released its financial report for the second quarter and first half of 2024. Operating income in the second quarter increased by 14% year-on-year to 829.6 billion yen (approximately US$5.58 billion); net profit increased by 3.9% year-on-year to 147.9 billion yen. yuan (approximately US$1 billion). In the six months to date this year, operating income has increased by 12.7% to 1,569.9 billion yen (approximately US$10.6 billion) compared with the same period in 2023; net profit has increased by 6.3% year-on-year to 305.2 billion yen (approximately US$2.05 billion).

 

On August 2, Japan Tobacco Company (JT) released its financial report for the second quarter and first half of 2024, showing that the company achieved significant financial growth during the quarter. Operating income in the second quarter increased by 14% year-on-year to 829.6 billion yen (approximately US$5.58 billion); net profit increased by 3.9% year-on-year to 147.9 billion yen (approximately US$1 billion). In the six months to date this year, operating income has increased by 12.7% to 1,569.9 billion yen (approximately US$10.6 billion) compared with the same period in 2023; net profit has increased by 6.3% year-on-year to 305.2 billion yen (approximately US$2.05 billion).

JT2024 Q2 Key Financial Highlights (vs. Q2 2023):

 

Total Revenue: Up 14.0% to 82.96 billion yen.

Core Revenue (at constant exchange rates): Up 6.7% to 74.57 billion yen.

Adjusted Operating Profit (at constant exchange rates): Up 2.0% to 22.38 billion yen.

Operating Profit: Up 4.7% to 21.68 billion yen.

Net Profit: Up 3.9% to 14.79 billion yen.

 

JT2024 H1 Key Financial Highlights (vs. H1 2023):

 

Total Revenue: Up 12.7% to 156.99 billion yen.

Core Revenue (at constant exchange rates): Up 6.2% to 142.24 billion yen.

Adjusted Operating Profit (at constant exchange rates): Up 2.7% to 45.48 billion yen.

Operating profit: up 4.6% to 43.27 billion yen.

Net profit: up 6.3% to 30.52 billion yen.

 

Full-year 2024 forecast adjustments:

 

Revenue: expected to increase by 93 billion yen, up 9.4% for the full year.

 

Core income (at constant exchange rates): expected to increase by 20 billion yen, up 4.7% for the full year.

 

Adjusted operating profit (at constant exchange rates): expected to increase by 17 billion yen, up 2.3% for the full year.

Operating profit: expected to increase by 12 billion yen, but down 1.8% year-on-year.

Net profit: expected to increase by 20 billion yen, but down 1.5% year-on-year.

Free cash flow: expected to decrease by 67.7 billion yen.

 

Masamichi Terabatake, President and CEO of JT Group, said:

 

"JT Group performed well in the first half of the year, with the growth of tobacco business driven by the strengthening of market share and pricing strategies. Total sales volume increased by 2.0% year-on-year, with combustible products increasing by 1.7% and heat-not-burn products (RRP) increasing by 25.5%. In particular, in the Japanese market, Ploom sales increased by 36%, and sales have steadily increased in 21 markets around the world."