13th Sep 2023 16:37
(Alliance News) - Supreme PLC on Wednesday welcomed press reports that the UK government was considering a ban of disposable vape devices, aimed at mitigating underage vaping.
The Manchester-based firm that manufactures and distributes battery, lighting and vaping products said it "welcomes any government initiative that seeks to tackle underage vaping."
"Supreme's overarching strategy has always been to support a tobacco-free UK by offering both credible and safer alternatives for nicotine consumption," the company said in a statement.
The company pointed out the government, in its April 2023 'Achieving Smoke-free 2030' initiative, confirmed its view that vaping remains "the most effective" tool to ease smokers away from cigarettes.
"Supreme remains confident that vaping is, and will continue to be, the most credible and effective alternative to cigarettes; in addition to disposables, consumers have access to both 'open system' vaping and 'pod' vaping systems," the company pointed out.
Supreme also explained no new legislation will be implemented before the formal government consultation takes place.
In the event of a ban on disposables, Supreme expects that most of its current consumers would shift to one of these alternative forms of vaping.
In addition, Supreme intends to launch its own 88Vape pod system as another alternative to its current range of disposables.
The company said it remains on track to deliver adjusted earnings before interest, tax depreciation and amortisation for the year ending March 31, 2024 in line with market expectations.
Supreme said a company compiled analyst consensus for the year ending March 31, 2024 prior to release of this announcement forecast adjusted Ebitda of GBP25.6 million.
Shares in Supreme closed down 0.7% at 93.34 pence in London on Wednesday.
By Jeremy Cutler, Alliance News reporter
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