Imperial Brands expects higher adjusted operating profit for the first half of fiscal 2026, driven by strong tobacco pricing and growth in its vaping, heated tobacco, and oral nicotine products. The London-listed tobacco company, which owns brands such as Davidoff, Gauloises, and JPS, reported robust performance in Europe, Africa, and Asia during the first half of fiscal 2025.

Despite weaker results in the U.S., Australia, and at its majority-owned distribution company Logista, Imperial Brands posted adjusted operating profit of 1.65 billion pounds ($2.23 billion) for the period. The company anticipates this growth trajectory to accelerate in the second half of the year ending Sept. 30, supported by favorable pricing strategies and expanding market share in alternative nicotine products.

The positive outlook reflects Imperial Brands' successful pivot toward next-generation products as traditional cigarette sales face ongoing pressure. The company's diversified portfolio and strategic pricing initiatives appear to be paying off, particularly in emerging markets where smoking rates remain higher and regulatory environments are more favorable.