Scandinavian Tobacco

Scandinavian Tobacco Group reports a stabilization of core products in H1 2026 amid flat organic revenue, while free cash flow before acquisitions rose to DKK 422m. The company confirmed its full-year guidance for net revenue, EBIT margin and cash flow and expects net leverage below 2.5 after the planned sale of Break and Moro to Japan Tobacco. The stock climbed about 7.2% as investors welcomed the improved cash generation, balance-sheet relief and progress in handmade cigars and nicotine pouches. Challenges remain from currency effects, margin pressure due to strategic investments and a quality issue in the Signature line in France. » More on de.investing.com

Scandinavian Tobacco Group has agreed to sell the fine-cut tobacco brands BREAK and Moro to Japan Tobacco for €176 million (about US$195 million). The brands are mainly distributed in Germany and are valued at an enterprise value before taxes of around DKK 1.3 billion. BREAK and Moro accounted for roughly 4% of the group’s net revenue and gross profit in 2025 and about 6% of EBITDA before special items. The deal is expected to close by year-end and is subject to customary regulatory approvals. » More on de.investing.com

Scandinavian Tobacco Group reports reported net revenue of DKK 1.9bn for Q1 2026, burdened by a negative currency effect of 5.2%. The EBITDA margin rose to 17.2% (Q1 2025: 16.1%) and free cash flow before acquisitions remained robust at DKK 158m. The leverage ratio stood at 3.0x; the target is to reduce it to 2.5x by the end of 2026. Management emphasizes implementation of the “Focus 2030” strategy, concentrating on margin improvement, expanding handmade cigars and nicotine pouches as growth drivers. » More on de.investing.com