Next-Gen Product Growth Lifts BTI’s 2025 Revenue 4% to £31.2 Billion
Full-year 2025 group revenue climbed 4% to £31.2 billion, driven by 17% volume growth in next-generation products. Adjusted operating margin expanded 120 basis points to 35.8%, prompting a 5% dividend increase and launch of a £2.5 billion share repurchase.
1. Full-Year Financial Highlights
British American Tobacco reported full-year 2025 group revenue of £31.2 billion, up 4% year-on-year, driven primarily by a 17% increase in next-generation product volumes. Adjusted operating profit rose in line with margin expansion, with core cigarette volumes stabilizing in key markets.
2. Capital Allocation and Returns
Management committed to returning £2.5 billion via a share repurchase program while raising the annual dividend by 5%, reflecting improved cash flow generation. The board emphasized continued focus on cost discipline and targeted investment in reduced-risk product innovation for sustained long-term growth.