PETALING JAYA: British American Tobacco
(Malaysia) Bhd’s (BAT) net profit for the fourth quarter ended Dec 31, 2025 jumped to RM121.2mil from RM48.97mil in the previous corresponding period, while revenue surged to RM947.98mil from RM653.03mil a year earlier.
In a filing with Bursa Malaysia, the company said the higher revenue was primarily driven by higher shipment volumes and retail price adjustments.
“This increase, combined with ongoing cost optimisation initiatives, contributed to a profit from operations of RM174mil for the quarter compared with RM77mil from the same period last year.”
Meanwhile, for the financial year ended Dec 31, 2025 (FY25), BAT’s net profit rose to RM202.45mil from RM183.14mil in the previous corresponding period, while revenue dipped to RM2.2bil from RM2.3bil a year earlier.
BAT declared a fourth interim ordinary dividend of 39.0 sen per ordinary share, amounting to RM111mil, payable on April 10 to shareholders.
The company said operating expenses for the year declined by 16%, driven by cost optimisation efforts and lower Vuse-related costs following the transition, partially offset by higher regulatory implementation expenses.
“This proactive cost management helped cushion the impact of lower revenue and volume on the group’s overall performance, resulting in a profit from operations of RM304mil compared with RM279mill registered a year ago.”
BAT said the legal combustible segment recorded a 1.4% decline in volume for the year despite a 3% improvement in illicit incidence, with tobacco black market share easing from 57.2% to 54.4%.
“The gains from reduced illicit trade were insufficient to counter ongoing structural pressures, as the legal combustible segment continued to be affected by a sustained consumer shift toward reduced-risk products.
“This trend, compounded by phased implementations of Public Health Act, contributed to a 1.1% decline in the group’s overall market share.”
BAT managing director Nedal Salem said the company’s FY25 performance reflected the resilience of the group’s business “in a year marked by market transition.”
“By remaining focused on our core combustible portfolio and maintaining operational discipline, we delivered a solid financial outcome while strengthening the fundamentals for sustainable long-term value creation.”
