Financial Data and Key Metrics Changes - Group revenue decreased by 0.8%, while new category revenue grew over 7% [35] - Profit from operations was down 0.9%, and diluted EPS increased by 1.3% [35] - Adjusted profit from operations was down 5%, but efficiency gains allowed for a 100 basis point margin expansion [18] Business Line Data and Key Metrics Changes - Smokeless products accounted for 18% of group revenue, up 1.4 percentage points year-on-year [3] - Modern Oral revenue increased by 49%, with market share growing by 30 basis points [14] - Combustibles volume declined by 6.9% on an organic basis, primarily due to wholesaler inventory movements [16] Market Data and Key Metrics Changes - In the U.S., total revenue was down 7%, mainly driven by combustibles performance and the impact of illicit products on the vapor category [46] - AME region saw smokeless products represent 25% of regional revenues, driving strong regional delivery [48] - Vapor revenue in AME grew by 15%, while total vapor revenue was up nearly 3% globally [37][40] Company Strategy and Development Direction - The company is focused on balancing top and bottom line delivery while investing in innovation and R&D [33] - Full year gross capex is expected to be around GBP600 million, reflecting an increase to expand production capacity in the Modern Oral category [22] - The company aims to deliver low-single digit organic revenue and adjusted profit from operations growth for the full year [23] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in delivering full year guidance despite macroeconomic pressures [5][28] - There are signs of improving consumer sentiment and potential stabilization in the U.S. market [25][67] - The company anticipates an acceleration in second half performance driven by new category launches and unwinding of inventory movements [91] Other Important Information - The company is committed to a sustainable share buyback, starting with GBP700 million in 2024 [51] - The cash flow conversion rate was 78% in the first half, with expectations of exceeding 90% for the full year [50] - The company is actively advocating for better regulation and enforcement of new categories, especially in the U.S. vapor market [56][87] Q&A Session All Questions and Answers Question: On combustibles market and consumer elasticity - Management noted that the decline in premium volumes is correlated with consumer sentiment and macroeconomic pressures, including high inflation and interest rates [66][67] Question: On EPS growth and currency impact - Management expressed confidence in driving EPS growth on a constant currency basis, despite structural FX headwinds [102][103] Question: On vapor performance outside the U.S. - The decline in vapor volume was attributed to regulatory impacts in Canada, while other markets like New Zealand and Korea showed strong growth [108][109] Question: On balancing revenue growth and margin expansion - Management emphasized the importance of targeted investments in categories with momentum to balance top and bottom line growth [110][111] Question: On poly-usage and conversion rates - Management clarified that vapor accounts for 65% of consumption in the new no-combustibles space, with both vapor and heated tobacco showing growth potential [114] Question: On PMTA pipeline and future approvals - Management highlighted the successful approval of several PMTAs and ongoing efforts to secure additional approvals for new products [128]

Group 1: Dividend Stocks Overview - Seven outstanding dividend stocks are highlighted for their attractive yields and solid fundamentals, making them ideal for long-term investment strategies [1] - These companies exhibit solid dividend yields, strategic growth initiatives, and diversified portfolios, which are essential for long-term dividend stocks [2] Group 2: Pfizer (PFE) - Pfizer returned $2.4 billion to shareholders via dividends and invested $2.5 billion in internal research in Q1 2024 [3] - The company paid down approximately $1.25 billion in maturing debt and reduced its equity position in Haleon from 32% to 23% [3] - Pfizer's stock has a forward dividend yield of 5.7%, with a goal of achieving at least $4 billion in net cost savings by the end of 2024 [7] Group 3: Oaktree Specialty Lending (OCSL) - Oaktree Specialty Lending focuses on first-lien loans, enhancing portfolio security and stability, with a forward dividend yield of 12.3% [4] - The company's first-lien investments increased from 71% of the portfolio in September 2022 to 81% currently [4] - In Q1 2024, Oaktree Specialty made $396 million in new commitments, with a weighted average yield on new debt investments at 11.1% [10] Group 4: Realty Income (O) - Realty Income is a monthly dividend company with a forward dividend yield of 5.5%, investing $598 million across various regions in Q1 2024 [13] - Over half of the investments, approximately $323 million, were directed towards Europe and the U.K., achieving an initial weighted average cash yield of 8.2% [13] - The company diversifies its investments across retail, industrial, and data centers, leading to risk spread and demand capture [14] Group 5: Verizon (VZ) - Verizon's stock has a forward dividend yield of 6.8%, with significant growth in its broadband business, adding 391,000 broadband users in Q2 2024 [17] - The company now has over 11.5 million broadband customers, reflecting a 17.2% yearly increase, with fixed wireless subscribers growing by approximately 69% [18] - Verizon's focus on broadband expansion and customer retention strategies supports its long-term dividend stock status [19] Group 6: AT&T (T) - AT&T's stock has a forward dividend yield of 6%, with 252,000 new AT&T Fiber subscribers added in Q1 2024 [21] - The total number of fiber locations reached 27.1 million, with nearly 8.6 million fiber subscribers, and consumer broadband revenues increased by 7.7% [21] - The integration of 5G and fiber services enhances customer retention and profitability, solidifying AT&T's position among long-term dividend stocks [22] Group 7: British American Tobacco (BTI) - British American Tobacco has a forward dividend yield of 8.9%, with consumer numbers reaching 23.9 million, excluding 1.5 million in Russia [25] - The company achieved profitability in new categories two years ahead of schedule, with a £400 million improvement from last year [26] - The contribution margin in top new category markets exceeded 20%, indicating strong market demand and strategic execution [26] Group 8: Altria (MO) - Altria's stock has a forward dividend yield of 7.9%, with its e-vapor division (NJOY) expanding to over 80,000 locations [28] - NJOY's retail share in the U.S. multi-outlet and convenience channel grew to 4.3%, indicating strong consumer acceptance [29] - Altria's increasing market share and strong retail presence position it among the top long-term dividend stocks [29]

Interim Results 2024 The information contained in this presentation in relation to British American Tobacco p.l.c. ("BAT") and its subsidiaries has been prepared solely for use at this presentation. The presentation is not directed to, or intended for distribution to or use by, any person or entity that is a citizen or resident or located in any jurisdiction where such distribution, publication, availability or use would be contrary to law or regulation or which would require any registration or licensing w ...

For investors unbothered by "sin stocks," tobacco companies have been solid dividend plays for a great many years. That might be surprising given the concentrated anti-smoking movements throughout the world, but there are still millions of consumers who enjoy lighting up or puffing on a vape regardless. A veteran producer While tobacco consumption remains sufficient to prop up an industry, it hasn't escaped the effects of those antismoking moves. The sales needle isn't moving much for even the most successf ...

So, Is BTI Stock A Buy, Sell, or Hold? We previously covered British American Tobacco p.l.c. (NYSE:BTI) in April 2024, discussing its robust FY2023 financial metrics as the New Category segment achieved the first year of positive margins. Combined with the growing Free Cash Flow generation, healthier balance sheet, partial monetization of its ITC stake for share repurchases, and inherent undervaluation, we believed that the stock continued to offer a compelling investment thesis across capital appreciation ...

With most stocks trading at premium valuations, investors can get a safe and simple return from this dividend giant. The market has soared since the beginning of 2023. The S&P 500 index has posted a total return level of 48% over that time frame, pushing the index's price-to-earnings (P/E) ratio of nearly 29. This is much higher than the long-term market average, with many popular stocks such as Apple, Nvidia, and Microsoft trading at even higher multiples. High earnings ratios likely mean high risks for st ...

The stock market keeps hitting new all-time highs. For investors in growth and technology stocks, the future has never looked brighter. British American Tobacco (BTI) In fact, British American Tobacco took a large writedown on the value of its cigarette brands last year. At the same time, it noted that growth in its alternative nicotine products category is ahead of schedule. The company's long-term business model evolution is working. Even the normally recession-resistant consumer staples stocks are under ...

Tobacco and nicotine products company British American Tobacco (BTI 0.48%) recently said it had repurchased 150,000 shares of stock at an average price of about $32. Companies repurchase their stock all the time; once purchased, it's taken out of circulation, which reduces the number of shares outstanding. Many companies routinely repurchase shares, regardless of the stock's valuation. However, prudent management teams will consider the stock's valuation to ensure the repurchases are as effective as possibl ...

Source: Kristi Blokhin / Shutterstock.com Altria's forward price-to-earnings ratio of 8.97x might seem average. However, reinvigorated growth paired with its forward dividend yield of 8.61% speaks volumes. The stocks of iconic brands are en masse. However, the informational asymmetry linked to the financial markets means that few are undervalued. Methodologically, my screening process emphasized fundamental attributes, valuation multiples, technical analysis, and event-driven aspects. Moreover, I ensured th ...

British American Tobacco has a huge yield, but it also has a huge problem. Investors should probably temper their expectations. Could that high yield present an opportunity for investors who want to achieve millionaire status by retirement? From a big-picture point of view, British American Tobacco is trying to milk a cash cow business so that it can build up newer businesses to replace it. Along the way, it is pumping out cash to investors via dividends, too, so they stick around. This is a difficult balan ...