Group 1 - The primary goal of the "High Income DIY Portfolios" service is to provide high income with low risk and capital preservation for DIY investors [1] - The service offers seven portfolios designed for income investors, including retirees, featuring three buy-and-hold portfolios, three rotational portfolios, and a conservative NPP strategy portfolio [1] - The portfolios include two high-income portfolios, two dividend growth investing (DGI) portfolios, and a conservative NPP strategy portfolio aimed at low drawdowns and high growth [1] Group 2 - The "High Income DIY Portfolios" service includes a total of 10 model portfolios with varying income targets and risk levels, along with buy and sell alerts and live chat support [2] - The investment approach focuses on dividend-growing stocks with a long-term horizon, aiming for 30% lower drawdowns and 6% current income [2] - The service is managed by a financial writer with 25 years of investment experience, emphasizing strategies for stable, long-term passive income [2]

Group 1 - The current durable income opportunity set for investors seeking high yields combined with safety is limited [1] - Roberts Berzins has over a decade of experience in financial management, focusing on shaping financial strategies for top-tier corporates and executing large-scale financings [2] - Berzins has contributed to institutionalizing the REIT framework in Latvia to enhance liquidity in pan-Baltic capital markets [2] Group 2 - Berzins has been involved in developing national SOE financing guidelines and frameworks to channel private capital into affordable housing [2] - He holds a CFA Charter and an ESG investing certificate, and has experience with the Chicago Board of Trade [2] - Berzins actively participates in thought-leadership activities to support the development of pan-Baltic capital markets [2]

Core Viewpoint - British American Tobacco (BAT) is focusing on a smoke-free future while achieving solid organic growth and strong shareholder returns [2] Group 1: Company Performance - BAT has demonstrated strong momentum in new product categories and effective management of its combustible portfolio [2] - The company has generated significant free cash flow, enabling it to return substantial cash to shareholders through dividends and share buybacks [2] Group 2: Leadership and Sponsorship - Tadeu Marroco, CEO, and David Waterfield, President of Reynolds American, represented BAT at the CAGNY event [1] - BAT sponsored the lunch following their presentation, indicating their commitment to engaging with stakeholders [1]

British American Tobacco (NYSE:BTI) 2026 Conference February 18, 2026 11:00 AM ET Company ParticipantsDavid Waterfield - PresidentTadeu Marroco - CEONone - Video NarratorModeratorOkay. Hi, everyone. Thanks for joining us today. It's a pleasure to welcome British American Tobacco to CAGNY this year. Joining us today are Tadeu Marroco, Chief Executive Officer, and David Waterfield, President of Reynolds American. Also, please join me in thanking them for their sponsorship of the lunch following their presenta ...

Core Viewpoint - The article discusses the expertise of Sensor Unlimited in financial economics, particularly in the mortgage market, commercial market, and banking industry, highlighting her contributions to asset allocation and ETFs [2] Group 1: Company Overview - Sensor Unlimited has a PhD in financial economics and has spent a decade covering various financial sectors, including mortgages and banking [2] - The company offers two model portfolios aimed at different investment strategies: one for short-term survival and another for aggressive long-term growth [2] Group 2: Services Offered - The investment group Envision Early Retirement, led by Sensor Unlimited, provides solutions for generating high income and growth with managed risks through dynamic asset allocation [2] - Services include direct access via chat for idea discussions, monthly updates on holdings, tax discussions, and ticker critiques upon request [2]

Group 1 - The article emphasizes the benefits of a dividend-focused value investment strategy, highlighting capital preservation and steadily growing income as key components [1] - The author discusses a diversified dividend stock portfolio that prioritizes high-quality value stocks, which are expected to provide meaningful growth and long-term safety [1] Group 2 - The author has disclosed a beneficial long position in shares of specific companies, indicating a personal investment interest in PM, MO, and BTAFF [2] - The article is presented as a personal opinion and does not involve compensation from any companies mentioned, reinforcing the independence of the analysis [2]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 20-F (Mark One) ☐ REGISTRATION STATEMENT PURSUANT TO SECTION 12(b) OR (g) OF THE SECURITIES EXCHANGE ACT OF 1934 OR ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2025 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 OR ☐ SHELL COMPANY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 19 ...

Investment Rating - The industry investment rating is "Positive" [2] Core Insights - The report highlights that major overseas tobacco companies, British American Tobacco and Japan Tobacco, have released their annual reports, indicating a slowdown in the market share growth of PLOOM and an acceleration in the iteration of new products by British American Tobacco [2] - British American Tobacco reported a revenue of £13.54 billion for the second half of 2025, a year-on-year increase of 0.1%, with new products contributing £1.97 billion, representing a 10.6% increase and accounting for 14.5% of total revenue [2] - Japan Tobacco's revenue for the fourth quarter of 2025 was ¥833.6 billion, a year-on-year increase of 10.2%, with new products generating ¥3.12 billion, a 34.5% increase, and accounting for 3.7% of total revenue [2] Summary by Sections British American Tobacco - The company experienced accelerated growth in new products in the second half of 2025, with revenue from vapor products decreasing by 5.5% year-on-year but increasing by 9.2% quarter-on-quarter [3] - The heat-not-burn (HNB) segment saw a revenue decline of 2.1% year-on-year, but the premium series HILO's increased market share helped maintain price levels [3] - Revenue from oral tobacco reached £700 million in the second half of 2025, with a significant year-on-year increase of 54.8%, driven by the nationwide launch of VELO PLUS [3] Japan Tobacco - Japan Tobacco's new product sales reached 3.9 billion units in the fourth quarter of 2025, a year-on-year increase of 30.0%, with HNB sales at 3.2 billion units, up 40.7% [4] - The market share of PLOOM in Japan was 15.7% in the fourth quarter of 2025, showing a slowdown in growth compared to previous quarters [4] - The company is expanding its global market presence, with new product launches in 19 countries as of February 2026 [4] Product Optimization and Global Expansion - Both British American Tobacco and Japan Tobacco plan to accelerate the global expansion of new products in 2026, despite anticipated intense competition in other regions [5] - Innovations in product features and differentiated consumption experiences are expected to enhance industry penetration rates [5] - British American Tobacco is set to launch a new HYPER device in the second quarter of 2026, which promises improved performance and user experience [5]

Investment Rating - The investment rating for the new tobacco industry is "Positive" and maintained [8] Core Insights - British American Tobacco achieved total revenue of £25.61 billion in FY2025, a year-on-year decrease of 1.0% (an increase of 2.1% year-on-year at constant exchange rates). Revenue from new tobacco products reached £3.62 billion, a year-on-year increase of 5.5% (7.0% at constant exchange rates), accounting for 14.1% of total revenue, an increase of 0.9 percentage points year-on-year. In H2 2025, revenue from new tobacco products was £1.97 billion, a year-on-year increase of 10.6%, with a revenue share of 14.5% [2][6] Summary by Relevant Sections Traditional Tobacco Trends - The decline in traditional tobacco is evident, with a forecasted global cigarette volume decline of approximately 2% in 2026. New tobacco products are expected to be the core growth engine, with projected low double-digit growth in revenue for 2026 [6] Product Categories - **Heated Not Burned (HNB)**: Revenue for HNB products decreased by 0.7% year-on-year (an increase of 1.0% at constant exchange rates). The decline in cigarette sales was 3.7% year-on-year, primarily due to intensified market competition and resource allocation issues related to the early launch of Glo Hilo. Glo's global market share decreased by 1.5 percentage points to 14.9% [6] - **Oral Tobacco**: The modern oral tobacco segment saw a revenue increase of 47.4% year-on-year (48.0% at constant exchange rates). The market share for all oral products and new oral tobacco increased by 5.8 and 7.5 percentage points to 17.1% and 33.4%, respectively [6] - **Vaping Products**: Revenue from vaping products decreased by 10.4% year-on-year (8.6% at constant exchange rates). The decline in sales was 12.6% year-on-year, mainly due to illegal products in the U.S. and Canada, as well as regulatory changes in some European countries. Vuse maintained its global leadership with a market share increase of 0.6 percentage points to 38.8% [6] Investment Perspective - With the acceleration of the global new tobacco process, companies with core barriers or resource positioning in the industry present investment opportunities. Key focuses include four major international tobacco companies and two product categories (HNB and oral tobacco). Specific investment targets include Smoore International for HNB and vaping, and China National Tobacco for long-term positioning [6]

Summary of Conference Call Records Industry Overview - The conference call discusses the performance of major players in the tobacco industry, specifically British American Tobacco (BAT) and Japan Tobacco Inc. (JT) as they release their annual reports [1][2]. Key Points from British American Tobacco (BAT) - **H2 Revenue**: BAT reported H2 revenue of £13.54 billion, reflecting a year-on-year increase of 0.1% [1]. - **New Products Revenue**: Revenue from new products reached £1.97 billion, up 10.6% year-on-year, accounting for 14.5% of total revenue, an increase of 1.4 percentage points [1]. - **HILO Impact**: The introduction of the HILO product line has contributed to an increase in average prices, with an optimistic outlook for 2026 [1][4]. Key Points from Japan Tobacco Inc. (JT) - **Q4 Revenue**: JT reported Q4 revenue of ¥833.6 billion, a year-on-year increase of 10.2% [1]. - **New Products Revenue**: Revenue from new products was ¥312 billion, up 34.5% year-on-year, representing 3.7% of total revenue, an increase of 0.7 percentage points [1]. - **PLOOM Market Share**: The market share for PLOOM in Japan was reported at 15.7% for Q4, showing a slowdown in growth compared to previous quarters [3]. Product Performance Insights - **HNB Segment**: The HNB (Heated Not Burned) segment saw a decline in revenue and sales volume, with a year-on-year decrease of 2.1% and 10.0% respectively. However, the high-end HILO series is helping to maintain price levels [2]. - **Vapor Products**: Revenue from vapor products reached £700 million in H2, with a significant increase of 54.8% year-on-year, driven by the launch of VELO PLUS in the U.S. [2]. - **Global Expansion**: JT is accelerating its global market expansion, with new product launches in 19 countries, including the AURA product line [3][4]. Competitive Landscape - **Increased Competition**: The competition in the market is intensifying, particularly with the introduction of new products like HILO, which has affected the growth rate of PLOOM [3]. - **Market Penetration**: The penetration rates for HNB products are expected to rise, with projections of 38.0%, 42.8%, and 46.4% for the years 2023, 2024, and 2025 respectively [4]. Risks and Challenges - **Industry Risks**: Potential risks include intensified competition, regulatory changes, and the possibility that global penetration rates may not meet expectations [5].