With over Ksh45 billion in shareholder dividends paid over the last decade and one of the highest payout ratios on the Nairobi Securities Exchange (NSE), BAT Kenya (the Company) has solidified its place as a top-performing listed company in Kenya.
BAT’s journey in Kenya commenced some 118 years ago 1907 when it started operating in the country, commencing a century+ long journey of business growth, evolution and transformation. The Company is part of the BAT Group, a leading global consumer goods business with a purpose to create A Better Tomorrow™ by building A Smokeless World.
In 1969, BAT Kenya was listed on the Nairobi Securities Exchange (NSE) – then known as the Nairobi Stock Exchange – cementing its position as one of the first present-day entities to have been listed on the stock market. With approximately 6,000 shareholders of whom around 5,800 are local entities and individuals, the Company continues to make strides across the breadth of its business which currently includes tobacco farming and processing, manufacturing and distribution, sale and export of tobacco and nicotine products. BAT Kenya is a regional manufacturing hub for BAT’s business in East and Southern Africa, covering over 10 markets in this region and is providing over 1,800 direct and indirect jobs in Kenya.
The Company stands out as a resilient industry leader within the region, delivering consistent dividends, strong governance, and sustained long-term value to its stakeholders. Its agility in navigating regulatory shifts continues to reinforce investor confidence, while its role as a major taxpayer and exporter underscores its economic impact. Over the last five years, the Company has paid over 100 billion shillings taxes to the exchequer and recorded annual forex earnings of over 100 million.
With roots that spread across a value chain of over 80,000 Kenyans, it is not surprising to learn that the Company contributes to socio-economic development in several ways, including enhancing farmer livelihoods and food security as well as supporting women development, in addition to job creation and making significant tax contribution to the government fiscus.
BAT Kenya’s Combined Annual and Sustainability Report 2024 reports that through BAT’s farmer livelihoods programme THRIVE, the Company supported sustainable livelihoods for its contracted tobacco farmers, yielding 4.7 million kilograms of tobacco in 2024 and earning them an approximate total net pay of Kshs 1.1 million.
Towards enhancing food security and driving economic empowerment, the Company launched a Kshs 10 million multi-year Rural Women Development Programme (RuWDep) in 2023 for BAT contracted women farmers and the spouses of men farmers to cham-pion women’s rights and welfare, drive capacity building on sustainable agriculture and business management, as well as entrepreneurship development. Through the RuWDep vegetable gar-den project, in 2024 BAT Kenya issued 13.8 tons of maize seed, over 11,000 avocado seedlings, and 21 kilograms of vegetable seeds to farmers on this pro-gramme. These efforts, amongst others, resulted in over 98% of BAT Kenya’s 1,800+ contracted farmers growing alternative crops. On the diversity and inclusion front, BAT Kenya surpassed its target of 45% of women representation in Senior Leadership Teams by 2025 three years ahead of target, expanding the representation of women in senior leadership from 57% in 2023 to 69% in 2024, a notable milestone.
The Company’s strategy has enabled it to continuously invest in quality growth, building a more dynamic business and sustainable future. Over the years, BAT Kenya has made strides and received external recognition for various milestones and performance, including diversity and inclusion, energy management and governance including: The Kenya Association of Manufacturers (KAM) Energy Management Awards, the 2024 Gender Mainstreaming Awards, the 2024 CIO Summit and the 2024 Champions of Governance Awards hosted by the Institute of Certified Secretaries. Additionally, in 2025 the Company was certified, for the eighth time consecutively as a Top Employer in Kenya and Africa, by the global Top Employers Institute.
BAT Kenya’s ability to deliver sustained shareholder value is anchored on demonstrated business agility over time, adapting to a changing and dynamic business environment and evolving consumer needs. Based on its performance which is reported in its Annual Reports available on the Company’s website and the NSE, BAT Kenya has – demonstrated sound business fundamentals and resilience in the face of a challenging, and oftentimes, un-predictable operating environment.
Notably, the Company is on record as having paid one of the highest dividends per share in the history of the NSE to its shareholders in 2022 when it recorded a dividend yield of 12.4%. Over the past 3 years, BAT Kenya has had an average dividend yield of 12.6%, with 2024 recording the highest yield at 13.3%. This is a remarkable track record, cementing BAT Kenya as one of the highest dividend-yielding shareholders on the stock exchange. According to the Company’s Dividend Policy, which is available on its website, the Company endeavors to maintain a dividend payout ratio of not less than 65% of net earnings, subject to various considerations. Over the last six years (2018-2024), the Company has had an average payout ratio of 89%.
Crispin Achola, BAT Kenya Managing Director and General Manager BAT East and Southern Africa Markets, says that the Company is guided by a deliberate and strategic approach to deliver sustained shareholder value.
“Our business fundamentals remain solid, anchored on strong foundations. We are an organisation focused on delivering accelerated business transformation by reducing the health impact of our business and creating shared value. This is underpinned by innovation, sustainability and integrity, which remain a priority for us.
“Our people are the cornerstone of our success, enabling us to effectively navigate dynamic operating environments which include some of the biggest challenges of our time such as regulatory uncertainty and the growth of illicit trade. These fac-tors continue to test the resilience of our business.
“Our sustained success is root-ed in a clear purpose to create A Better Tomorrow™, passion to win and the dedication of our People. We’re transforming our business to remain future-fit while delivering sustained value to shareholders and society.”
For a business that has stood the test of time, displayed remark-able resilience in the face of an increasingly dynamic external environment, – and one which continues to deliver value for its people and shareholders, BAT Kenya has demonstrated and earned its place amongst the top performing listed entities in the country.
