British American Tobacco (M) Bhd managing director Nedal Salem
KUALA LUMPUR: British American Tobacco (M) Bhd
(BAT Malaysia) is urging the government to consider addressing the high incidence of the tobacco black market in Malaysia, which is about 54.8% of the total industry.
It suggested the government can do this by reviewing its taxation policies to complement its intensified enforcement initiatives in the upcoming Budget 2025.
"Nonetheless, the group is (also) encouraged by the intensified efforts from law enforcement agencies to enforce against the tobacco black market," managing director of BAT Malaysia Nedal Salem said in a statement.
In its second quarter ended June 30, 2024, BAT Malaysia recorded revenue of RM640.46mil, about 5.6% lower compared with RM678.12mil registered a year earlier.
Its net profit fell by 23.67% year-on-year to RM36.28mil.
“Our financial results were within expectations given the continued investments to grow Vuse in Malaysia. The group remains confident that its strategic investments to grow its vaping brand will help to deliver sustainable growth in Malaysia,” Nedal said.
BAT Malaysia also declared a second interim ordinary dividend of 12 sen per ordinary share amounting to RM34.2mil, payable on Aug 22, 2024.
