G- Live Desk
Published: 26th July 2026, 5:11 PM
British American Tobacco Bangladesh Company (BATBC) recorded a notable improvement in cigarette sales and profit during the second quarter of the current year, although its overall performance for the first six months remained broadly flat compared with the same period a year earlier.
According to the company’s half-year financial statement, BATBC sold cigarettes worth Tk 14,563 crore during the April-June quarter, up from Tk 13,885 crore in the corresponding period of the previous year. The increase of Tk 678 crore represents growth of roughly 5 per cent year on year.
The financial results were finalised at a recent meeting of the company’s board of directors and subsequently disclosed to investors in summary form through the Dhaka Stock Exchange (DSE) and Chittagong Stock Exchange (CSE).
The stronger quarterly sales were accompanied by a sharp rise in profit after tax. BATBC reported a post-tax profit of Tk 204 crore for the April-June period, compared with Tk 97 crore in the same quarter last year. This represents an increase of Tk 107 crore, meaning the company’s quarterly profit more than doubled year on year.
The quarterly figures, however, present a stronger picture than the cumulative performance for the first half of the year. Between January and June, BATBC’s total cigarette sales stood at Tk 23,288 crore, compared with Tk 23,482 crore during the first six months of the previous year. Sales therefore declined by Tk 194 crore over the period.
The modest reduction in half-year sales was reflected in the company’s overall profitability. BATBC’s post-tax profit for the first six months of the current year was Tk 413 crore, marginally lower than the Tk 415 crore recorded during the corresponding period last year. The decline amounted to Tk 2 crore.
The company’s financial performance can be summarised as follows:
| Indicator | Current year | Previous year | Change |
|---|---|---|---|
| Second-quarter cigarette sales | Tk 14,563 crore | Tk 13,885 crore | Increased by Tk 678 crore |
| Second-quarter sales growth | About 5% | — | Increased |
| Second-quarter post-tax profit | Tk 204 crore | Tk 97 crore | Increased by Tk 107 crore |
| First-half total sales | Tk 23,288 crore | Tk 23,482 crore | Decreased by Tk 194 crore |
| First-half post-tax profit | Tk 413 crore | Tk 415 crore | Decreased by Tk 2 crore |
| First-half supplementary duty and VAT | Tk 19,457 crore | Tk 19,405 crore | Increased by Tk 52 crore |
| Second-quarter period | April-June | April-June | Same period |
| First-half period | January-June | January-June | Same period |
| Share price increase during initial trading | Tk 1.30 | — | Increased |
| Share price after two hours of trading | Tk 227 | — | — |
| Shares changing hands | About 137,000 | — | — |
| Trading value | More than Tk 3 crore | — | — |
| First-half cigarette sales | Tk 23,288 crore | Tk 23,482 crore | Decreased by Tk 194 crore |
The company’s financial disclosure also appeared to influence investor sentiment in the stock market. During the first two hours of trading in Dhaka, BATBC’s share price rose by Tk 1.30 to reach Tk 227. Around 137,000 shares changed hands during the period, with the total value of transactions exceeding Tk 3 crore.
The movement suggests that some investors responded positively to the company’s stronger second-quarter earnings, particularly the substantial improvement in post-tax profit. However, the broader six-month figures indicate that the company’s performance remains mixed, with cumulative sales and profit slightly below the levels recorded a year earlier.
BATBC’s business is also closely linked to government revenue collection. The tobacco and cigarette industry is a significant contributor to the National Board of Revenue’s tax receipts, with supplementary duty and value-added tax forming a major component of the fiscal burden on tobacco products.
During the first six months of the current year, BATBC paid Tk 19,457 crore to the government in supplementary duty and VAT against cigarette sales of Tk 23,288 crore. In the corresponding period last year, its payment under these two tax heads stood at Tk 19,405 crore. The amount paid to the government therefore increased by Tk 52 crore year on year.
The figures underline the considerable role played by taxation in the economics of the cigarette business. Changes in supplementary duty and VAT, along with product prices and consumer demand, can influence both sales volumes and profitability. As a result, assessing the financial health of tobacco companies requires more than simply looking at headline sales figures.
BATBC is one of the long-established listed companies in Bangladesh’s capital market. It was listed on the Dhaka stock market in 1977 and is currently classified as an ‘A’ category company. Its latest financial results have drawn attention because of the strong year-on-year improvement recorded during the April-June quarter.
While the first-half figures show a slight decline in both sales and post-tax profit, the sharp rise in second-quarter earnings offers a more encouraging picture of the company’s recent business performance. The coming quarters will indicate whether the momentum seen between April and June can be sustained and translate into stronger full-year results.
Comments