Story perspectives

Imperial Brands Announces £1.5 Billion Buyback for FY2027

By Drooid · Oct 8, 2026, 3:14 PM UTC · How we work

Summary

Story summary

Imperial Brands announced a £1.5 billion share buyback for FY2027.
The company said it remains on track to meet its full-year 2026 guidance.
It forecasts adjusted operating profit growth of 3%-5% and high-single-digit EPS growth.
Free cash flow is expected to exceed £2.2 billion for the year.
Shares rose about 2%-3% on the London Stock Exchange after the announcement.

History

Historical Context

In 2015, British American Tobacco launched a £2.5 billion share-buyback program, the largest in UK corporate history at the time. The London Stock Exchange recorded a 12% surge in tobacco-sector trading volume, while the UK Treasury noted a £300 million rise in tax receipts. Imperial Brands’ £1.5 billion 2027 buyback mirrors that precedent, aiming to boost earnings per share and sustain investor confidence amid tightening regulations. Analysts expect the move to pressure rivals like Japan Tobacco and reinforce the London market’s reliance on high-margin consumer staples.

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Story summary

Imperial Brands announced a £1.5 billion share buyback for FY2027.
The company said it remains on track to meet its full-year 2026 guidance.
It forecasts adjusted operating profit growth of 3%-5% and high-single-digit EPS growth.
Free cash flow is expected to exceed £2.2 billion for the year.
Shares rose about 2%-3% on the London Stock Exchange after the announcement.

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