British American Tobacco - Quarterly Report to 31 March 2006

British American Tobacco - Quarterly Report to 31 March 2006

May 03, 2006

    LONDON, May 3 /Xinhua-PRNewswire/ --

    Summary
    
    THREE MONTHS RESULTS              2006         2005    
    Change
 
    Revenue - as reported        GBP 2,297m   GBP 2,107m   
       +9%

    - like-for-like              GBP 2,297m   GBP 2,060m   
      +12%

    Profit from operations -     GBP   616m   GBP   582m   
       +6%
    as reported
    - like-for-like              GBP   652m   GBP   559m   
      +17%

    Adjusted diluted earnings        22.05p       19.26p   
      +14%
    per share
 
    -         Reported Group profit from operations grew 6
per
              cent to GBP616 million. However, profit from
              operations would have been 17 per cent higher
or 8
              per cent at constant rates of exchange, if
              exceptional items and the impact arising from
the
              change in terms of trade following the sale
of
              Etinera are excluded. This like-for-like
              information provides a better understanding
of the
              subsidiaries' trading results. All the
regions
              contributed to this good result.
 
    -         Group volumes from subsidiaries grew by 1 per
cent
              to 161 billion on a reported basis, while, on
a
              like-for-like basis, growth was 3 per cent.
The
              four global drive brands achieved an
excellent
              overall volume growth of 14 per cent or 18
per cent
              on a like-for-like basis.
 
    -         Revenue, on a like-for-like basis, increased
by 12
              per cent or 5 per cent at constant rates of
              exchange.
 
    -         Adjusted diluted earnings per share rose by
14 per
              cent, as a result of the increase in the
profit
              from operations, the improved contribution
from
              associate companies and the benefit from the
share
              buy-back programme, partially offset by
higher
              taxation and minority interests. Basic
earnings per
              share were higher at 21.81p (2005: 20.35p).
 
    -         The Chairman, Jan du Plessis, commented
"British
              American Tobacco has made a good start to
2006,
              with the first quarter's results maintaining
the
              momentum achieved in 2005. Although exchange
gains
              are unlikely to continue at the recent level
as the
              year progresses, there is no doubt that the
Group
              is performing well."


SOURCE  British American Tobacco
    -0-                             05/03/2006
    /CONTACT:  INVESTOR RELATIONS - David Betteridge, or
Teresa La Thangue, or Catherine Armstrong,
[phone], PRESS OFFICE - Ralph Edmondson,
[phone], or Rachael Cummins,
[phone], all for British American Tobacco /