Strengthening our Portfolio
Underlying volumes of Growth Brands up 7%, driven by organic growth and brand migrations
Underlying net revenue from Specialist Brands up 2%
Growth and Specialist Brands delivered 54% of underlying tobacco net revenue, up 3 percentage points
Stock optimisation programme completed; stock held by distributors reduced by over 9 billion SE
Developing our Footprint
Strong performance in Growth Markets with underlying net revenue up 7%
Returns Markets resilient, with adjusted operating profit up 1%
US acquisition expected to significantly enhance competitive position and increase diversity of Group income
Cost Optimisation
Cost optimisation programme delivered over £60m savings in the year; on track for £300m pa by 2018
Capital Discipline
Overall level of adjusted net debt down by £1bn to £8.1bn; a reduction of 11%
Strong progress with working capital initiatives; cash conversion up 5 percentage points to 91%
£395 million generated from partial IPO of non-core business Logista, with proceeds used to reduce debt
Full year dividend of 128.1p, up 10%
Alison Cooper, Chief Executive, said:
"This has been a year of significant delivery by Imperial. We've strengthened our brands and market footprint, improved cash conversion to 91 per cent, reduced debt by £1 billion and delivered another 10 per cent dividend increase to shareholders. We've completed our stock optimisation programme and realised over £60 million of further savings through our cost optimisation programme. We've achieved what we set out to achieve, creating a stronger business in the process. Trading conditions remain tough in many territories but the actions we've taken to enhance the quality and sustainability of the business have put us in a stronger position to drive growth and create sustainable value for our shareholders."
