NAIROBI, July 14 British American Tobacco Kenya
posted a 11 percent jump in first half pretax profit to
2.2 billion shillings ($25.24 million) due to higher sales and
The region's biggest cigarette maker maintained its interim
dividend at 3.50 shillings per share compared to the same period
last year, it said in a statement seen by Reuters on Sunday.
BAT Kenya, a unit of London-listed British American Tobacco
, reported a rise of 4 percent in revenue for the six
months to June, which countered lower semi-processed leaf sales.
Net revenue was flat at 9 billion shillings, offset by
excise duty and value added tax.
Cost controls in the manufacturing process had buoyed the
earnings, BAT said.
"Profits continue to be positively impacted by the
underlying savings on the cost of operations," the company said.
Finance costs fell by 35 percent, reflecting the lower
interest rates relative to the same period last year.
Kenya's central bank held its main lending rate
at 8.5 percent on Tuesday, saying it needed to allow previous
rate cuts to filter through. The benchmark rate
was unchanged at 18 percent for the first half of last year.
BAT said it was, together with authorities, fighting
counterfeit cigarettes in the region, to help shore up revenue.