IMB.L - Imperial Brands PLC

LSE - LSE Delayed Price. Currency in GBp
1,466.50
-38.00 (-2.53%)
At close: 4:36PM BST
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Performance Outlook
  • Short Term
    2W - 6W
  • Mid Term
    6W - 9M
  • Long Term
    9M+
Previous Close1,504.50
Open1,495.00
Bid1,450.00 x 0
Ask1,535.00 x 0
Day's Range1,455.00 - 1,517.50
52 Week Range1,258.20 - 2,256.00
Volume3,973,904
Avg. Volume3,299,631
Market Cap13.879B
Beta (5Y Monthly)0.42
PE Ratio (TTM)13.86
EPS (TTM)105.80
Earnings DateMay 19, 2020
Forward Dividend & Yield0.83 (5.54%)
Ex-Dividend DateAug 20, 2020
1y Target Est3,018.82
Fair Value is the appropriate price for the shares of a company, based on its earnings and growth rate also interpreted as when P/E Ratio = Growth Rate. Estimated return represents the projected annual return you might expect after purchasing shares in the company and holding them over the default time horizon of 5 years, based on the EPS growth rate that we have projected.
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    • Financial Times

      Imperial cuts dividend for first time to pay down debt

      Imperial Brands has cut its dividend for the first time since listing 24 years ago, as the cigarette maker looks to cut its £14bn debt and weather a “more pronounced” hit from the coronavirus pandemic in the second half. The tobacco company on Tuesday said that it would cut its interim dividend by a third to 41.7p a share, as it sought to prioritise debt repayments. “Deleveraging remains a key priority, such that the board has decided to rebase the dividend by one-third to accelerate debt repayment,” joint interim chief executives Dominic Brisby and Joerg Biebernick said, adding that the company’s progressive dividend policy would resume from the rebased level.

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    • Reuters

      Imperial Brands slashes dividend as recession set to hit spending on pricier cigarettes

      Imperial is the fifth-highest yielding dividend stock on Britain's FTSE 100 <.FTSE> and news that it was slashing its payout sent its shares tumbling 8% in morning trade, the FTSE's top loser. While the company joins a crowd of FTSE 100 companies that have cut dividends in recent months, including Barclays PLC <BARC.L>, WPP <WPP.L>, Whitbread <WTB.L> and Glencore <GLEN.L>, it is the first tobacco maker to do so. "Despite the tougher times faced by the industry in recent years, the likes of Imperial were still seen as dependable dividend payers, and this morning’s rebasing of the dividend is yet another blow for income investors,” said Helal Miah, Investment Research Analyst at The Share Centre.

    • Bloomberg

      Asia Gambling Exec Linked to $1 Billion Cuban Cigar Deal

      (Bloomberg) -- The buyers of Imperial Brands Plc’s premium cigar business, including world-renowned Cohiba, have been shrouded in a smoky veil of secrecy. But one group of investors is being fronted by a Hong Kong businessman who helps run some of Asia’s biggest gambling operations.Last month, Imperial agreed to sell its premium cigar business outside of the U.S. to Allied Cigar Corp. for 1.04 billion euros ($1.1 billion), part of a disposal of its high-end cigar portfolio that also includes the Romeo y Julieta and Montecristo brands. A spokesman for Imperial declined at the time to provide details on the suitor, while the cigarette maker’s management described the acquirers as “the right long-term owners” for the cigar business in a statement.Hong Kong corporate registry filings show that Allied Cigar, a private firm incorporated in the city on March 10, counts Chiu King-yan as one of three board members. He’s the chief financial officer of SunCity Group Holdings Ltd., the publicly traded unit of Macau’s biggest junket operator, which extends credit to casino high rollers.Other directors of Allied Cigar are Chiu Ping-shun and Joyce Lam. The record doesn’t have any details on the ownership of Allied Cigar. Aside from Chiu King-yan’s inclusion, there has been no evidence to suggest SunCity is directly involved in the Imperial Brands transaction. A representative for Imperial Brands declined to comment for this report. A representative for SunCity said the Allied Cigar deal is not related to Suncity Group and any of its affiliated business, and declined to make Chiu available for an interview.While the identities of parties in a deal can sometimes be obscured by layers of holding companies, it is exceedingly rare in a transaction as large as this for their identities to remain a secret. The fact that the cigar deal includes the sale of Imperial Brands’ 50-50 joint venture in Cuba, which distributes and sells the Cohiba, Romeo y Julieta and Montecristo brands, adds to the intrigue. Cuba has been isolated by U.S. sanctions for decades, making it difficult if not impossible for companies to do business in both countries.Investors in Imperial Brands seemed unperturbed by the mystery, bidding up the shares as much as 4.8% on April 27, the day the deal was announced. They have fallen nearly 14% in the year to date, less than the almost 22% plunge in the FTSE 100.Chiu is also an executive director of Summit Ascent Holdings Ltd., the Hong Kong-listed firm behind Tigre de Cristal, a hotel and casino complex near Vladivostok, Russia. SunCity owns a majority stake in Summit Ascent.Both Summit Ascent and SunCity Group are controlled by chairman Alvin Chau, an entrepreneur whose businesses span across entertainment and travel. In recent years, SunCity has been expanding outside of Macau, which is the world’s biggest gambling hub. It’s operating a $4 billion Vietnam casino resort project and is also looking for investment opportunities in the Philippines, Cambodia and Japan.Imperial had said the proceeds from the cigar business sale will be used for debt reduction and the transaction is expected to close in the third quarter.Shares in SunCity Group Holdings closed 3.2% higher, while Summit Ascent ended the day down 1.6%. The Hang Seng index slipped 1.5%.(Updates with share price moves Tuesday in the tenth paragraph.)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

    • Imperial's premium cigar era draws to $1.33 billion end after slow burn sale
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      Imperial's premium cigar era draws to $1.33 billion end after slow burn sale

      The sale to private buyers includes Imperial's 50% stake in Cuba's official exporter Habanos, a unit of state-owned tobacco company Cubatabaco, which gives it rights to sell prestige brands Cohiba, Montecristo and Romeo y Julieta in 150 countries. Imperial will retain its machine-made cigar business, whose most popular brand is Backwoods, which only constitutes a small proportion of its overall revenues. The firm entered the premium cigar business in 2008 with the acquisition of Spain's Altadis.

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      Hopes of a coronavirus cure may have helped European stocks jump on Wednesday (February 5). After a flat start, benchmark indexes suddenly rose around 1%. Several traders told Reuters that was down to reports out of China. A TV station there claims that one university has found a drug to treat the virus. Reuters hasn't yet been able to verify that story, which is just the latest of several claims of medical breakthroughs. Meanwhile, euro zone shoppers may... or may not... be helping to lift the mood. Retail sales in December came in significantly weaker than expected. But January's Services PMI survey beat forecasts. Germany in particular is looking healthier. Activity in its service sector grew at the fastest pace in five months. Overall the euro zone figure climbed to 52.5 - edging away from the 50 point line that divides expansion and contraction. The day's earnings reports were mostly positive. German chipmaker Infineon soared as much as 8% after it met targets for the first quarter. That helped tech stocks rise for a third straight session. Imperial Brands was one big exception to the upbeat mood though. Shares in the tobacco group fell as much as nine percent after it warned on profits. The maker of Winston and other brands says it's suffering from tighter regulation of vaping in the U.S.

    • Imperial Brands' profit growth evaporates after U.S. vaping crackdown
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      Rival British American Tobacco's shares <BATS.L> were also down 1%. The profit warning adds to the challenges for new CEO Stefan Bomhard - head of automotive services company Inchcape <INCH.L> - whose appointment was announced on Monday with a start date yet to be disclosed. Imperial said first-half adjusted earnings per share in constant currency were expected to drop by 10%, as it writes-down inventories following the U.S. government ban on selling certain flavours for pod-based e-cigarettes, which goes into force on Thursday.

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      (Bloomberg Opinion) -- Cars and cigarettes have at least one thing in common these days: They are both being disrupted by more modern alternatives. So Stefan Bomhard, the chief executive officer of car dealer Inchcape Plc, should have some idea of what he’ll face when he takes the reins at U.K. cigarette maker Imperial Brands Plc.It isn’t easy to find executives willing to move to the much-aligned tobacco industry. But Bomhard looks a good  CEO choice for Imperial, which sells Lambert & Butler cigarettes and Blu vapes. The company had decided to part ways with Alison Cooper in October, a week after a profit warning. She will now step down as with immediate effect.Bomhard did a solid job at Inchcape. While the shares are down about 18% since he became CEO in April 2015, underperforming the FTSE All-Share Index, conditions in car dealing haven’t been easy since Britain voted to leave the European Union and consumer confidence crumbled. It’s still a much better performance than the FTSE All-Share General Retailers Index.The downside is that Bomhard doesn’t have any tobacco experience. But this is less of an issue than it would be in, say, general retailing. Imperial will have plenty of executives with many years’ worth of knowledge of the traditional cigarette business, still the biggest and most profitable part of the group. And he should be able to pull on his prior experience with big global brands in the race to grab market share for Imperial’s new products, whatever they may be.The new chief executive spent his career in consumer goods before joining Inchcape, with roles at spirits company Bicardi, chocolate and candy maker Cadbury, and consumer-goods giant Unilever. That should put him in good stead as Imperial attempts to pivot to alternatives to traditional cigarettes, which could in turn, pave the way for it to diversify into dispensing other adult, highly regulated products, such as cannabis.When Bomhard takes up the role at a yet to be determined date, his first task will be to get to grips with the crisis in the U.S. vaping industry. The company is evaluating the impact of the recent Food and Drug Administration ban on flavors aside from menthol and tobacco for pod-based electronic cigarettes, the type it makes.Then Bomhard will have to work quickly to decide where best to focus Imperial’s attention, and investment. Although the group has strong positions in vaping and oral nicotine, it only entered the heat-not-burn market relatively recently. He must decide whether to expand in this category, which has not been drawn into the crisis in the U.S. vaping industry.He could also look at reshaping other aspects of Imperial’s business, including traditional cigarettes. The company is already seeking to raise up to 2 billion pounds ($2.6 billion) through disposals, including a sale of its premium cigar business. But he could go further, say selling off parts of the portfolio in Asia and Africa, and returning the proceeds to shareholders, or investing more in tobacco alternatives.Either way, Bomhard must take decisive action. Shares in Imperial have fallen more than 20% over the past year, and they trade at a 40% discount to Bloomberg Intelligence’s global tobacco manufacturing valuation peer group. The company even lags Altria Group Inc., which is reeling from its disastrous investment in vaping company Juul Labs Inc.Imperial has long been seen as an acquisition target, with Japan Tobacco Inc. tipped as the most obvious contender. Another possibility would be for Japan Tobacco and British American Tobacco Plc to carve up Imperial’s empire between them along geographical lines. So if Bomhard doesn’t light up the Imperial share price, a bigger rival just might.To contact the author of this story: Andrea Felsted at afelsted@bloomberg.netTo contact the editor responsible for this story: Melissa Pozsgay at mpozsgay@bloomberg.netThis column does not necessarily reflect the opinion of Bloomberg LP and its owners.Andrea Felsted is a Bloomberg Opinion columnist covering the consumer and retail industries. She previously worked at the Financial Times.For more articles like this, please visit us at bloomberg.com/opinionSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

    • Imperial Brands hires Inchcape's Bomhard as CEO to revive e-cigarette sales
      Reuters

      Imperial Brands hires Inchcape's Bomhard as CEO to revive e-cigarette sales

      Bombard replaces Alison Cooper, whose departure was announced last October. Bomhard joins the maker of Gauloises and Winston cigarettes after five years at the helm of British car dealer Inchcape and, prior to that, senior roles at Cadbury, Burger King and Unilever among other consumer goods groups.

    • Investing.com

      Premarket London: Imperial Finds New CEO

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      BAT says U.S vaping slowdown will curb growth of e-cig business

      U.S. health officials have reported more than 2,000 cases of vaping-related lung illness and 47 deaths linked to its use in the country, leading to tighter regulatory scrutiny and individual state bans. This has led to a drop in demand for the devices, pushing BAT to forecast revenue growth in its new categories business - e-cigarettes, tobacco heating and oral products - to be at the low end of its 30-50% target. It had previously anticipated revenue growth in the middle of that range.

    • Thomson Reuters StreetEvents

      Edited Transcript of IMB.L earnings conference call or presentation 5-Nov-19 9:00am GMT

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