British American Tobacco on Tuesday posted a 13 percent drop in pretax profit for the year ended December 31 to 2.1 billion shillings.

"Profit before tax for 2009 amounted to 2.1 billion shillings compared to 2.4 billion shillings in 2008, primarily driven by costs incurred in restructuring the business during the year," it said in its audited accounts statement.

Earnings per share dropped to 14.78 shillings from 17.00 shillings a year before. It proposed a dividend payout of 1.5 billion shillings from 1.7 billion shillings in 2008.

All in all, not bad considering...

The market was anticipating better. I think we are going to see a sharp drop in the share price.

i dont see much growth in this company's profits over the long term due to GOK clamping down on smoking... but i think they may benefit in 2010 due to increased tobacco yield arising from long rains...

@2012 i thought that the guerillas and soldiers in the said countries make it a point not to smoke BAT's products but rather roll up and smoke their own home made tobacco and rizzler...

i know countries are still not yet clamping down on smoking too much.. but i give it 10-15 years and kenyans will find it hard to smoke freely...

I have noted that the nse tends to be very bullish on counters that are expected to show good results, just before the release. If expectations are not met, a sharp drop is likely, albeit momentarily.