- Imperial Brands said it expected revenue at or above the upper end of guidance amid growing sales in its vaping division even as first half earnings would be impacted by the reduction of its Logista stake and last year's sale of its other tobacco products business.

'We confirm we are on track to meet constant currency net revenue and earnings expectations for the full year, with group net revenue growth at, or above, the upper end of our 1-4% revenue growth range and EPS growth within our 4-8% guidance range,' the company said.

The upbeat comes as its vaping division, myblue, continued to perform well with increased investment driving brand awareness with smokers and vapers and 'significant' year on year revenue growth, the company said.

But performance appeared less puffy in its tobacco division, with revenue growth expected to be weighted to the second half, which would more than offsetting a slight decline in the first half, the company said.

'Price/mix continues to be strong, while volume trends are slightly behind the second half of last year impacted by the phasing of trade inventories, including in the US post our recent price increase,' Imperial Tobacco added.

First half earnings per share would also be impacted by the reduction of our Logista stake and last year's divestment of our other tobacco products business, but the company continued to expect to realise £50-100m of other gains this year which would benefit the second half.

Translation FX at current rate of exchange was expected to benefit first half earnings by nearly 2% and be flat for the full year.

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