Overview

* Universal fiscal Q2 revenue up 6%, driven by higher tobacco and ingredient sales volumes

* Operating income for fiscal Q2 down 2% due to unfavorable currency and higher write-downs

* Net income for first half rises 64%, reflecting improved operational performance

Outlook

* Universal expects tobacco supply to move to oversupply by fiscal year-end

* Company focuses on organic growth and scaling through product pipeline

* Universal expands renewable energy use to enhance operational efficiency

Result Drivers

* TOBACCO DEMAND - Firm customer demand despite larger crops and earlier shipments of current crop tobacco contributed positively to results

* INGREDIENTS SALES VOLUME - Increased sales volumes in Ingredients Operations segment supported revenue growth

* COST IMPACT - Higher fixed costs and market challenges including tariff uncertainty negatively impacted Ingredients Operations earnings

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

H1 $1.74

Adjusted

EPS

H1 EPS $1.70

H1 Net $42.70

Income mln

H1 Gross 18.80%

Margin

H1 $102.60

Adjusted mln

Operatin

g Income

H1 $101.50

Operatin mln

g Income

Analyst Coverage

* Wall Street's median 12-month price target for Universal Corp ( UVV ) is $78.00, about 34.1% above its November 4 closing price of $51.40

Press Release:

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)