Bat Plunges 7 As It Takes Near R144bn Charge Over Canada Lawsuit, Warns Headwinds Loom

British American Tobacco reported a 6.2 billion almost R144 billion hit from a long-running lawsuit in Canada on Thursday and warned of 'significant' headwinds in Bangladesh and Australia in 2025 after annual revenue missed forecasts.

Tobacco companies have faced various legal challenges related to the health consequences of their products and continue to come under pressure from anti-tobacco activism and stricter regulation around the globe.

BAT, the maker of Lucky Strike and Dunhill cigarettes, and some of its rivals were set to pay C32.5 billion R420 billion to settle a long-running case in Canada, but some parties, including Philip Morris International's Canadian affiliate, have since objected to the proposal.

In Australia and Bangladesh, meanwhile, BAT said tax increases had hurt its tobacco business.

Chief executive Tadeu Marroco said these represented 'significant regulatory and fiscal headwinds' that would hurt its performance this year, but their impact would recede into 2026.