LONDON -- British American Tobacco (ISE: BATS.L) reported its half-year results this morning. The group's adjusted operating profits advanced 3%, while price rises and demand from emerging markets propped up its organic revenue by 4%.
The world's second-largest public cigarette group, which boasts more than 200 brands in its portfolio, said that it was hit by unfavorable exchange-rate movements -- in particular, against the Brazilian real, euro, South African rand, and Russian ruble.
Chairman Richard Burrows commented: "Despite the global economic uncertainty and the adverse impact of exchange rates, British American Tobacco has delivered another good set of results. The underlying business continues to perform well and we are confident of another year of good earnings growth."
The Group's best-selling brands achieved overall volume growth of 4%: Dunhill was up by 3%, Kent by 2%, Lucky Strike by 19% and Pall Mall by 3%.
The Board declared an interim dividend of 42.2 pence, an 11% increase on last year, to be paid on Sept. 26.
Shares in BAT fell around 1% this morning to 3,286 pence. However, with a further lift to the dividend and earnings growth on track, today's fall is unlikely to perturb ace investor Neil Woodford.
You see, Woodford is a high-profile shareholder of BAT, and his decision to buy the tobacco share back in 1999 and 2000 has helped power his City funds to an impressive 347% total return -- and thrash the wider market -- during the 15 years to Dec. 31, 2011.
You can discover the other shares Woodford now holds -- and which losers he's avoided -- within "8 Shares Held By Britain's Super Investor."
You can download this free Fool report about market legend Neil Woodford today. But hurry, the report is available for a limited time only.
Investing is by no means easy in today's uncertain economy. That's why we've published "Top Sectors Of 2012" -- our guide to three favorable industries. This free report will be dispatched immediately to your inbox.
Further Motley Fool investment opportunities
The article British American Tobacco Dividend Lifted 11% originally appeared on Fool.com.
Sonia does not own any share mentioned in this article. The Motley Fool has adisclosure policy.
We Fools may not all hold the same opinions, but we all believe thatconsidering a diverse range of insightsmakes us better investors. Try any of our Foolish newsletter servicesfree for 30 days.
Copyright © 1995 - 2012 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.