Electronic Cigarettes International Group (ECIG) of Grand Rapids, Michigan, USA, announced third-quarter revenue of $15.9 million, up 41 percent over the prior-year quarter’s result. The company reported growth in all its brands, including FIN in the U.S. and VIP in the U.K.
Gross profit, however, declined to $2.3 million from $6.9 million. Cost of goods sold was $13.6 million in compared with $4.4 million in the previous quarter, driven by increased sales activity and the one-time $5.6 million charge for aging inventory of “early generation products” purchased as part of the FIN company acquisition, ECIG said.
“ECIG performed well during the third quarter and executed against its key initiatives and operational drivers across the Group,” said CEO Brent Willis.
The U.S. will refrain from “arbitrarily or unjustifiably” discriminating against Indonesian cigars and cigarillos in light of the FDA’s proposed deeming regulations for currently unregulated tobacco products, according to a memorandum releaed by the U.S. Trade Representative’s office, reports Bloomberg News.
The promises follow an agreement between the two countries that allows the U.S. to maintain its ban on clove cigarettes in exchange for resolving certain trade issues. The memorandum also includes steps to be taken by both countries to resolve disputes related to vehicle wiring harnesses, mineral ore exports and intellectual property protection.
China is considering a ban on all forms of tobacco advertising, sponsorship and promotion, according to a draft regulation published on the website of the State Council’s legislative affairs office.
Pending public consultation, the draft also includes plans to ban certain smoking scenes in films and TV shows.
The draft bans smoking in kindergartens, schools, colleges, women and children’s hospitals as well as in fitness venues. Outdoor smoking is only allowed in designated areas.
The proposal prohibits selling cigarettes to minors through vending machines.
As the world’s largest tobacco maker and consumer, China has more than 300 million smokers. Despite signing the World Health Organization’s Framework on Tobacco Control, smoking in public remains widely tolerated.
Japan Tobacco has announced the launch of Camel Natural Box and Camel Natural Lights Box. These new products, which contain no added flavorings, are to go on sale in mid-December 2014 at selected retail stores in the Tokyo, Kanagawa, and Osaka prefectures.
Introduced in the United States in 1913 Camel is one JT Group’s leading brands, currently sold in more than 100 markets.
Scheduled for Jan. 28–29, the Tobacco Plus Convenience Expo (TPC) 2015 is set to break records. According to its organizers, registration has already surpassed that of the 2014 event.
Buyers will come to Las Vegas, Nevada, USA, from all over the world to engage with manufacturers, wholesalers, distributors and suppliers.
With an eye on the Chinese market, TPC has planned a round-table discussion on both days of the show. Moderated by Ed O’Connor, president and CEO of TMG International, and Arlen Luo, president of Newsteel Media, the discussion will focus on the challenges and opportunities faced by various stakeholders.
Industry icon Steve Saka, former president and CEO of Drew Estate, will share his insights during a discussion about the premium cigar business. The round-table discussions are free to all registrants.
The TPC 2015 opening reception takes place Jan. 27 from 6-8 p.m. on the pool deck of the Westgate Las Vegas Resort & Casino.
More information is available here.
Wells Fargo Securities identified several “takeaways” from its second annual e-cigarette conference in New York City on Nov. 20.
The e-cigarette category continues to offer considerable opportunity for both traditional tobacco companies and independent players, according to the financial services firm. Despite the significant changes in e-cigarettes and vapor products over the past year, the e-cigarette industry is still in the early stages of innovation, it said. Attractive margins to retailers and manufacturers are helping fund research and development and organic growth. E-cigarette companies are responding to evolving consumer preferences and targeting different segments.
The industry overall is becoming more sophisticated and responsive, according to Wells Fargo.
The Wells Fargo e-cigarette conference brought together experts from the traditional tobacco industry, independent vapor companies and the public health community.