British American Tobacco
Website:
British American Tobacco
Index:
FTSE 100
EPIC: BATS
Supersector:
Personal and Household Goods
Sector:
Tobacco
Subsector:
Tobacco
Market Cap:
£93.42B
Payout Frequency: Quarterly
British American Tobacco Dividend Analysis and Summary
Dividend timetable and key terms
- Dividend type: Quarterly instalment of the FY2024 interim dividend
- Amount per share: 60.06p (one of four equal payments totalling 240.24p for FY2024; +2.0% YoY)
- Ex-dividend date (LSE): 29/12/2025
- Record date: 30/12/2025
- Payment date (LSE/JSE): 04/02/2026 (ADS payment date: 09/02/2026)
- Payout ratio: 66.3% of 2024 adjusted diluted EPS
- Policy: “Progressive dividend” guided by c.65% of long-term sustainable earnings
- Other 2025 quarterly ex-dates (LSE): 27 March, 26 June, 2 October (payments: 7 May, 1 August, 7 November)
Dividend sustainability and growth
- Cash cover: Strong — 2024 free cash flow before dividends £7.9bn; operating cash conversion 101%. Management targets >90% in 2025.
- Earnings support: Adjusted organic diluted EPS up +3.6% at constant FX; payout set against adjusted earnings. FY2024 annual dividend up +2.0%, consistent with “progressive” framework.
- Balance sheet: Leverage improved to 2.44x adjusted net debt/EBITDA (or 2.75x excluding Canada cash/EBITDA), within the 2.0–2.5x target by 2026.
- Capital allocation: Dividend complemented by a planned £900m 2025 buyback, funded in part by the 2024 partial monetisation of the ITC stake and ongoing strong cash generation.
- Outlook: 2025 guidance for constant-currency revenue ~+1% and adjusted PFO +1.5–2.5% (ex-Canada impact) supports continued dividend progression in sterling.
Structural and policy considerations
- Canada CCAA settlement (proposed): Provision of £6.2bn recognised. If sanctioned/implemented, upfront restricted cash/investments in Canada would flow out in 2025 and future payments would be linked to Canada profit (excluding New Categories). Management will present adjusted results “as adjusted for Canada” and still targets deleveraging.
- ITC stake monetisation and buybacks: 2024 partial ITC sale (net proceeds £1.58bn) enabled initiation of sustainable buybacks (£0.7bn in 2024; £0.9bn in 2025) alongside the progressive dividend.
- No demergers or share consolidations announced; continued commitment to the dividend anchored to long-term sustainable earnings (~65% payout guideline).
Risks and watch-items for dividend stability
- Litigation/cash outflows: Timing and magnitude of the Canada settlement cash outflow (expected 2025) and scheduled UK FII GLO repayments (£479m in 2025, then £222m in 2026, £43m in 2027).
- Regulatory headwinds: Significant 2025 combustibles pressure in Australia (new regulations) and Bangladesh (excise/VAT), plus ongoing U.S./Canada illicit vapour dynamics.
- Financing costs: Net finance costs expected to rise as maturities are refinanced in a higher-rate environment (~£1.8bn 2025 net finance costs guidance, adj. for Canada).
- FX and macro: Translational FX and emerging market volatility could weigh on reported earnings and cash generation.
Read more
British American Tobacco Annual Dividend Yield - 5.64%
Dividends Used in Calculation:
| Ex-Dividend Date |
Payment Date |
Type |
Amount |
Currency |
| 19/12/2024 |
03/02/2025 |
Q4 |
58.88p |
GBX |
| 27/03/2025 |
07/05/2025 |
Q1 |
60.06p |
GBX |
| 26/06/2025 |
01/08/2025 |
Q2 |
60.06p |
GBX |
| 02/10/2025 |
07/11/2025 |
Q3 |
60.06p |
GBX |
Total (Annual Dividends Per Share):
239.06p
Dividend Yield =
Annual Dividends Per Share (239.06p)
÷ Share Price (4236p)
= 5.64%
British American Tobacco Dividend History
| Ex Dividend Date |
Payment Date |
Type |
Amount |
Currency |
| 02/10/2025 |
07/11/2025 |
Q3 |
60.06p |
GBX |
| 26/06/2025 |
01/08/2025 |
Q2 |
60.06p |
GBX |
| 27/03/2025 |
07/05/2025 |
Q1 |
60.06p |
GBX |
| 19/12/2024 |
03/02/2025 |
Q4 |
58.88p |
GBX |
| 26/09/2024 |
01/11/2024 |
Q3 |
58.88p |
GBX |
| 27/06/2024 |
02/08/2024 |
Q2 |
58.88p |
GBX |
| 21/03/2024 |
02/05/2024 |
Q1 |
58.88p |
GBX |
| 21/12/2023 |
01/02/2024 |
Q4 |
57.72p |
GBX |
| 28/09/2023 |
03/11/2023 |
Q3 |
57.72p |
GBX |
| 13/07/2023 |
18/08/2023 |
Q2 |
57.72p |
GBX |
| 23/03/2023 |
03/05/2023 |
Q1 |
57.72p |
GBX |
| 22/12/2022 |
02/02/2023 |
Q4 |
54.45p |
GBX |
| 29/09/2022 |
10/11/2022 |
Q3 |
54.45p |
GBX |
| 07/07/2022 |
17/08/2022 |
Q2 |
54.45p |
GBX |
| 24/03/2022 |
04/05/2022 |
Q1 |
54.45p |
GBX |
| 23/12/2021 |
09/02/2022 |
Q4 |
53.90p |
GBX |
| 30/09/2021 |
11/11/2021 |
Q3 |
53.90p |
GBX |
| 08/07/2021 |
19/08/2021 |
Q2 |
53.90p |
GBX |
| 25/03/2021 |
12/05/2021 |
Q1 |
53.90p |
GBX |
| 17/12/2020 |
03/02/2021 |
Q4 |
52.60p |
GBX |
| 01/10/2020 |
12/11/2020 |
Q3 |
52.60p |
GBX |
| 09/07/2020 |
19/08/2020 |
Q2 |
52.60p |
GBX |
| 26/03/2020 |
13/05/2020 |
Q1 |
52.60p |
GBX |
| 24/12/2019 |
06/02/2020 |
Q4 |
50.75p |
GBX |
| 03/10/2019 |
14/11/2019 |
Q3 |
50.75p |
GBX |
| 27/06/2019 |
08/08/2019 |
Q2 |
50.75p |
GBX |
| 21/03/2019 |
08/05/2019 |
Q1 |
50.75p |
GBX |
| 27/12/2018 |
07/02/2019 |
Q4 |
48.80p |
GBX |
| 04/10/2018 |
15/11/2018 |
Q3 |
48.80p |
GBX |
| 28/06/2018 |
08/08/2018 |
Q2 |
48.80p |
GBX |
| 22/03/2018 |
09/05/2018 |
Q1 |
48.80p |
GBX |
| 28/12/2017 |
08/02/2018 |
2nd Interim |
43.60p |
GBX |
| 17/08/2017 |
28/09/2017 |
Interim |
56.50p |
GBX |
| 16/03/2017 |
04/05/2017 |
Final |
118.10p |
GBX |
| 18/08/2016 |
28/09/2016 |
Interim |
51.30p |
GBX |
| 17/03/2016 |
05/05/2016 |
Final |
104.60p |
GBX |
| 20/08/2015 |
30/09/2015 |
Interim |
49.40p |
GBX |
| 19/03/2015 |
07/05/2015 |
Final |
100.60p |
GBX |
| 20/08/2014 |
30/09/2014 |
Interim |
47.50p |
GBX |
| 12/03/2014 |
08/05/2014 |
Final |
97.40p |
GBX |
| 21/08/2013 |
30/09/2013 |
Interim |
45.00p |
GBX |
| 13/03/2013 |
08/05/2013 |
Final |
93.00p |
GBX |
| 15/08/2012 |
26/09/2012 |
Interim |
42.00p |
GBX |
| 07/03/2012 |
03/05/2012 |
Final |
88.00p |
GBX |
| 17/08/2011 |
28/09/2011 |
Interim |
38.00p |
GBX |
| 09/03/2011 |
05/05/2011 |
Final |
81.00p |
GBX |
| 18/08/2010 |
29/09/2010 |
Interim |
33.00p |
GBX |
| 10/03/2010 |
06/05/2010 |
Final |
72.00p |
GBX |
| 19/08/2009 |
29/09/2009 |
Interim |
28.00p |
GBX |
| 11/03/2009 |
06/05/2009 |
Final |
62.00p |
GBX |
| 06/08/2008 |
17/09/2008 |
Interim |
22.00p |
GBX |
| 05/03/2008 |
07/05/2008 |
Final |
48.00p |
GBX |
| 01/08/2007 |
12/09/2007 |
Interim |
19.00p |
GBX |
| 07/03/2007 |
03/05/2007 |
Final |
40.00p |
GBX |
| 02/08/2006 |
13/09/2006 |
Interim |
16.00p |
GBX |
| 08/03/2006 |
04/05/2006 |
Final |
33.00p |
GBX |
| 03/08/2005 |
14/09/2005 |
Interim |
14.00p |
GBX |
| 09/03/2005 |
04/05/2005 |
Final |
29.00p |
GBX |
| 04/08/2004 |
15/09/2004 |
Interim |
13.00p |
GBX |
| 03/03/2004 |
27/04/2004 |
Final |
27.00p |
GBX |
| 06/08/2003 |
15/09/2003 |
Interim |
12.00p |
GBX |
| 05/03/2003 |
22/04/2003 |
Final |
24.00p |
GBX |
| 07/08/2002 |
16/09/2002 |
Interim |
11.00p |
GBX |
| 06/03/2002 |
19/04/2002 |
Final |
22.00p |
GBX |
| 08/08/2001 |
17/09/2001 |
Interim |
9.70p |
GBX |
| 07/03/2001 |
08/05/2001 |
Final |
20.00p |
GBX |
| 07/08/2000 |
18/09/2000 |
Interim |
9.00p |
GBX |
| 13/03/2000 |
03/05/2000 |
Final |
18.00p |
GBX |
| 09/08/1999 |
27/09/1999 |
Interim |
4.30p |
GBX |
| 29/03/1999 |
01/07/1999 |
Special |
4.00p |
GBX |
| 29/03/1999 |
01/07/1999 |
Final |
16.00p |
GBX |
| 02/11/1998 |
05/01/1999 |
Interim |
8.00p |
GBX |
| Year |
Interim |
Final |
Special |
Currency |
Total |
Change |
| 2024 |
|
|
|
GBX |
235.520 |
2.000 |
| 2023 |
|
|
|
GBX |
230.880 |
6.000 |
| 2022 |
|
|
|
GBX |
217.800 |
1.020 |
| 2021 |
|
|
|
GBX |
215.600 |
2.470 |
| 2020 |
|
|
|
GBX |
210.400 |
3.640 |
| 2019 |
|
|
|
GBX |
203.000 |
3.990 |
| 2018 |
|
|
|
GBX |
195.200 |
95.000 |
| 2017 |
56.500 |
|
|
GBX |
100.100 |
-40.900 |
| 2016 |
51.300 |
118.100 |
|
GBX |
169.400 |
10.000 |
| 2015 |
49.400 |
104.600 |
|
GBX |
154.000 |
3.980 |
| 2014 |
47.500 |
100.600 |
|
GBX |
148.100 |
4.000 |
| 2013 |
45.000 |
97.400 |
|
GBX |
142.400 |
5.480 |
| 2012 |
42.000 |
93.000 |
|
GBX |
135.000 |
7.140 |
| 2011 |
38.000 |
88.000 |
|
GBX |
126.000 |
10.520 |
| 2010 |
33.000 |
81.000 |
|
GBX |
114.000 |
14.000 |
| 2009 |
28.000 |
72.000 |
|
GBX |
100.000 |
19.040 |
| 2008 |
22.000 |
62.000 |
|
GBX |
84.000 |
25.370 |
| 2007 |
19.000 |
48.000 |
|
GBX |
67.000 |
19.640 |
| 2006 |
16.000 |
40.000 |
|
GBX |
56.000 |
19.140 |
| 2005 |
14.000 |
33.000 |
|
GBX |
47.000 |
11.900 |
| 2004 |
13.000 |
29.000 |
|
GBX |
42.000 |
7.690 |
| 2003 |
12.000 |
27.000 |
|
GBX |
39.000 |
11.420 |
| 2002 |
11.000 |
24.000 |
|
GBX |
35.000 |
10.410 |
| 2001 |
9.700 |
22.000 |
|
GBX |
31.700 |
9.310 |
| 2000 |
9.000 |
20.000 |
|
GBX |
29.000 |
10.260 |
| 1999 |
4.300 |
18.000 |
4.000 |
GBX |
26.300 |
9.580 |
| 1998 |
8.000 |
16.000 |
|
GBX |
24.000 |
|
British American Tobacco Dividend Calculator
British American Tobacco Dividend Growth
| Dividend Growth (1Y) |
2%
|
| Dividend CAGR (5Y) |
2.69%
|
| Years of Growth |
6
|
| Payout Ratio |
170.76%
|
| Buyback Yield |
0.65%
|
| Shareholder Yield |
6.32%
|
| P/E Ratio (TTM) | 30.77 |
|---|
| Forward P/E | 12.11 |
|---|
| P/FCF | 10.47 |
|---|
| Earnings Yield | 3.31% |
|---|
| FCF Yield | 9.56% |
|---|
| ROE | 6.27% |
|---|
| ROCE | 10.9% |
|---|
| Profit Margin | 12.06% |
|---|
| Operating Margin | 40.12% |
|---|
| Gross Margin | 82.86% |
|---|