BAT sells fewer cigarettes but revenue rises

British American Tobacco (BAT), parent company of Carreras Limited, said Wednesday that it sold one per cent fewer cigarettes in the first nine months of the year compared to a year ago, but revenue rose thanks to favourable currency movements and the acquisition, in August 2009, of PT Bentoel in Indonesia.

Although total volume fell, BAT said Wednesday sales of its top brands - Dunhill, Kent, Lucky Strike and Pall Mall - were up eight per cent.

The company says it is on track for good earnings growth for the full year but did not give any figures.

BAT shares were down 1.4 per cent at £24.035 in morning trading on the London Stock Exchange.

Richard Hunter, analyst at Hargreaves Lansdown Stockbrokers, said BAT remained an attractive investment.

"The business is geographically diverse and the dividend policy is both progressive and attractive in the current interest rate environment, with the shares presently yielding in excess of four per cent," Hunter said.

- AP