Imperial Tobacco,the world's fourth largest cigarette group,reported an 8 percent rise in annual earnings,helped by strong revenue growth from its key brands. The British firm,which sells over 340 billion cigarettes annually of brands such as Davidoff,Gauloises,JPS and West,on Tuesday said adjusted earnings rose to 201.0 pence a share for the year to end-September,ahead of a company-compiled consenus of 199.6 pence. It raised the annual dividend by 11 percent to 105.6 pence a share,boosting its payout ratio from earnings to 52.5 percent. Revenue rose 4 percent to 7.0 billion pounds,however,reflecting the group's aim to counter Europe's downturn by offering economy-brand cigarettes,such as JPS,Lambert & Butler and roll-your-own products,while also raising prices for more affluent consumers in western Europe and the United States. We see significant growth opportunities in our rest of the world region across Eastern Europe,Africa and the Middle East and Asia-Pacific and we'll continue to invest to support sustainable growth,the firm said in a statement. Overall stick equivalent volumes declined 2.7 percent in the period due to tough markets in Poland,Ukraine and compliance with international trade sanctions against Syria. Its four key brands - upmarket Davidoff,mid-priced Gauloises Blondes and value brands West and JPS - saw annual volumes increase 7 percent. Its Gold Leaf and Golden Virginia fine cut business volumes were stable,it added. In Spain,where high unemployment and government austerity measures have hit the market,the group said it would take a non-cash impairment charge of 1.2 billion pounds during the year due to the macro economic indicators. Shares in the group closed at 2332 pence on Monday,valuing the business at around 23 billion pounds.
