2010 UK tobacco industry actual profitability* and profits with regulation
| Imperial | JTI | PMI | BAT | Total† | |
|---|---|---|---|---|---|
| Market Share (%) | 44.3 | 35.2 | 7.9 | 7.6 | 95.0 |
| Revenue (£ million) | 911.0 | 889.7 | 162.4 | 156.3 | 2119.4 |
| Profit actually made (£ million) | 614.0 | 345.0 | 81.4 | 48.2 | 1088.6 |
| Profit rate actually achieved | 0.674 | 0.388 | 0.501 | 0.308 | 0.514 |
| Profit when capped at 20% of actual revenue (£ million) | 182.2 | 177.9 | 32.5 | 31.3 | 423.9 |
| Implied reduction in profits from 2010 level (£ million) | 431.8 | 167.1 | 48.9 | 16.9 | 664.7 |
| Profit when capped at 12% of actual revenue (£ million) | 109.3 | 106.8 | 19.5 | 18.8 | 254.3 |
| Implied reduction in profits from 2010 level (£ million) | 504.7 | 238.2 | 61.9 | 29.4 | 834.2 |
Source: Authors’ calculations using various sources as outlined in the text.
*Actual profit figures for Imperial, remaining profit figures are estimates as outline earlier in the article.
†Total market share does not sum to 100% since we are assuming that the profitability of the companies comprising the remainder of the market would not be affected by the imposition of price caps.
BAT, British American Tobacco; JTI, Japan Tobacco International; PMI, Philip Morris International.