WEBVTT

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BAT is driving a sustainable,

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multi-category transformation.

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We continue to build
A Smokeless World

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with our smokeless brands

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now accounting for 18.2%
of Group revenue.

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We are on track for our
Full Year guidance,

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having delivered our First Half Results
slightly ahead of expectations.

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I would like to share the key takeaways
from today's results with you.

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First, we have returned

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to both revenue
and profit growth in the U.S.

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for the first time since 2022,

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driven by strengthening Combustibles delivery

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and an excellent Modern Oral performance.

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Second, Velo is the fastest growing brand

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in the fastest growing
smokeless category globally.

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Third, 2025 is a deployment year,

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and we expect an acceleration
in New Category revenue in the Second Half

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as we roll out premium innovations
across all three New Categories.

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Fourth, our Quality Growth focus,
balancing top and bottom-line delivery

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has generated higher returns
on more targeted investments.

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And lastly, we continue to enhance

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our financial flexibility
and cash returns.

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Together, these underpin our commitment

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to delivering our mid-term algorithm in 2026.

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Now over to you Soraya,
to share more details

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of our financial performance.

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Thank you, Tadeu.

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Driven by a stronger than expected

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H1 performance, we now anticipate

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Full-Year revenue growth

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at the top end of
our 1% to 2% guidance

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and adjusted profit
from operations growth

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of 1.5% to 2.5%,
excluding Canada.

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This enables us
to further fund

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New Category innovation

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while staying firmly on track

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to deliver our
commitments for 2026.

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We are delivering Quality
Growth in New Categories led by Velo,

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with New Category
revenue up 2.4%

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and New Category
contribution margin

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increased by 280 basis points
to 10.6%.

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In H2 we expect
acceleration in both revenue

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and contribution growth
in New Categories,

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driven by the rollout
of our exciting innovations.

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Our Combustibles business
remains essential to

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funding our transformation.

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The U.S. plays a key role here

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and following targeted investments,
we're now seeing a return

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to revenue and profit growth in the U.S.

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BAT is highly cash generative.

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We've returned over
£30 billion to shareholders since 2020

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and we continue to expect

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the Group to generate
over £50 billion

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in free cash flow
before dividends by 2030.

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Our strong cash generation
gives us financial flexibility.

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We've increased the 2025
share buyback programme

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by £200 million to £1.1 billion

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and we're also making good progress on

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de-leveraging on an ex-Canada basis.

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In summary,

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we delivered Half Year Results
slightly ahead of expectations.

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We remain well on track
to meet our Full Year guidance.

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And looking to 2026,

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I'm confident we have
the right building blocks in place

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to deliver on our mid-term algorithm.

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Back to you Tadeu.

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Thank you, Soraya.

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As we continue to accelerate
our transformation, I am pleased to report

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a notable increase in energy
and momentum across the Group

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and I would like to thank
all our teams around the world

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who are driving these encouraging results.

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Our enhanced innovation
ecosystem is delivering

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a step change in our product portfolio,

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with the deployment of our key innovations,

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Velo Plus, glo Hilo and Vuse Ultra.

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In Modern Oral, I'm delighted with
the success of Velo Plus in the U.S.,

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where we are seeing triple digit
volume and revenue growth,

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together with a continued excellent
international performance in the fastest

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growing New Category,
where we are clear market leaders.

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In heated products,

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our new connected
premium device glo Hilo

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and upgraded consumables are receiving
positive early consumer feedback

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giving us confidence in the accelerated
performance in the second half.

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And in Vapour, Vuse Ultra,

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our new premium innovation,
offer consumers a highly differentiated,

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connected and customisable experience
with further roll-outs in key markets

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planned for the second half.

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I'm excited about the future for BAT
and our priorities are clear.

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We remain committed
to rewarding shareholders

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through strong cash returns and
delivering long-term, sustainable value

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for all our stakeholders.