- Tobacco giant British American Tobacco reported a rise in annual profit as higher cigarette prices and strong momentum in its non-combustible products including vaping.

For the year ended 31 December, pre-tax profit rose to £8.67 billion from £7.91 billion year-on-year, while revenue fell 0.4% to £25.78 billion.

Last year, the company increased the number of consumers of its non-combustible products by 3 million to 13.5 million, doubling the rate of consumer adoption in the second half of 2020.

'We have excellent momentum in new categories, with accelerating volume and value share gains,' the company said.

Combustible revenue was up 2.8% as a 4.5% decline in volume was offset by strong price/mix of 7.3%, while new categories revenue was up 15%.

The full year dividend was raised by 2.5% to 215.6 pence.

Looking ahead, the company guided constant currency revenue growth within a range of 3% to 5%, and mid-single figure constant currency adjusted EPS growth 'reflecting continued COVID-19 impacts.'

The company said the global tobacco industry volume was expected to be down around 3%.

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