Imperial Tobacco has announced a "pleasing" start to its financial year.

The Bristol-based cigarette maker held its annual general meeting in the city centre yesterday, saying that while it is not immune to the current stormy economic situation it is resilient to the global economic pressures.

The optimistic assessment failed to impress the market and shares dipped slightly as a result.

Imperial, which owns brands including Lambert & Butler, West and Gauloises, added that if current foreign exchange rates and the pound's weakness against the dollar continues throughout the year they would have a positive effect on its 2009 results.

The firm bought out Spanish rival Altaldis this year and closed down its factory in Bristol as part of a major global restructuring initiative but has continued to go from strength to strength.

Chief executive Gareth Davis said: "Overall, this has been a pleasing start to the year.

"While we will not be immune from the current economic situation, we will be resilient.

"In the first quarter of the year we maintained our growth momentum with further cigarette share gains in a number of our mature European markets as well as in many of our emerging markets in Eastern Europe, Africa and the Middle East.

"We continue to benefit from our balanced cigarette portfolio, which includes strength in premium and value brands. Our international premium cigarette brands, Davidoff and Gauloises Blondes, are driving growth in emerging markets, complemented by encouraging performances from our value brands, particularly JPS, which made further gains in Germany, the UK and The Netherlands."

He added: "Our enhanced geographic and brand profiles provide many growth opportunities, which when combined with our ongoing cost focus and effective cash management, leaves us well placed to create further sustainable value for our shareholders."

Morgan Stanley analyst Eileen Khoo said: "Imperial's trading statement highlights ongoing resilience, particularly in cigarettes, driven by stable consumer trends, share gains, pricing and continued emerging market growth."

The company is currently in the process of consulting staff in Spain and Germany about its restructuring plans which are likely to lead to the closure of several factories in Europe.

Imperial shares were down 0.7 percent at 1,838p in a flat London stock market.