The Directors of British American Tobacco Uganda Limited announce the unaudited financial results for the six months ended 30 June 2023 as shown below:
Profit before tax
Cash generated from
Condensed Statement of Comprehensive Income for the six months
Condensed Statement of Financial Position as at
Capital and reserves
Excise Duty and Value Added Tax
Total cost of operations
Profit from operations
Finance income/ (costs)
Profit before tax
Income tax expense
Profit after tax
Total comprehensive income
Basic and diluted earnings per share (Ushs)
Net working capital
Condensed Statement of Cash Flows for the six months ended 30 June
Cash generated from operations
Net cash from operating activities
Net cash used in investing activities
Net cash used in financing activities
Movement in cash & cash equivalents
At the start of the period
Exchange (loss)/gain on cash at bank
At the end of the period
Condensed Statement of Changes in Equity
At 1 January 2022
Profit for the year
At 30 June 2022
At 1 January 2023
Profit for the year
At 30 June 2023
The condensed Financial Statements have been prepared in accordance with International Financial Reporting Standards ("IFRS") and in the manner required by Companies Act, 2012 Laws of Uganda.
These standards have been consistently applied to all years presented.
A challenging operating environment
During the period, business performance was adversely impacted by macro-economic volatility, high inflation, and the high prevalence of illicit trade in tax evaded cigarettes, which led to lower sales volume.
Legitimate industry volume and revenue continued to decline due to Illicit trade estimated at 29% as at the end of 2022 (Source: 3rd party research). Illicit products are characterised by lack of tax stamps, absent or altered graphic health warnings, flavor features and significantly low prices which drive their prevalence. This further impacts the overall economy as it denies the government an estimated Ushs 30 billion in revenue annually.
It is critical that the menace of illicit trade in tax evaded cigarettes is addressed urgently. This will ensure sustainability of legitimate industry and government revenues. We once again call for all relevant authorities to take a multi-agency approach to ramp-up enforcement of tobacco control laws.
The Board does not recommend an interim dividend.
BAT is on a transformation journey anchored on our purpose to build A Better Tomorrow™ by reducing the health impact of our business. This is underpinned by our Environment, Social and Governance priorities; driving excellence in environmental management, delivering a positive social impact and ensuring robust corporate governance across the business.
Looking ahead, we are confident that our continued investment in the simplification of our business, our consumer-centric brand portfolio and winning culture will enable us to deliver sustainable shareholder value and contribute to the socio-economic growth and development of the country.
By Order of the Board
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British American Tobacco Uganda published this content on 07 September 2023 and is solely responsible for the information contained therein. Distributed by Public , unedited and unaltered, on 07 September 2023 13:38:07 UTC.