Tobacco producer BAT reports record profit in Romania despite smoking ban
Cigarette manufacturer British American Tobacco (BAT) recorded a net profit of EUR 149 million in Romania last year, up 54% compared to 2015.
It was the best result in the company’s local history, reports local Ziarul Financiar.
The growth took place despite the fact that smoking was banned in enclosed public spaces in 2016. The increase was influenced by the decrease in the VAT rate from 24% to 20% at the beginning of 2016 and the 20% increase in local consumption last year.
The company’s turnover reached EUR 1.8 billion in 2016, up 11% over 2015. Compared to ten years ago, BAT Trading tripled its turnover and profit, according to data reported to the Finance Ministry.
The producer is the leader on the local cigarette market and the largest consumer goods company.
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