“We think there will be a gradual recovery in H2. The long-term opportunity for growth remains quite significant.”

In context

“ook at the low single-digit Q2 growth that we had, that largely came from our candy and our chocolate business, which was offset by growth in gum and meals. And particularly in candy, we think that there probably our price points are a little bit too high. We will need to work on those. In chocolate, a little bit the same. And we need to make sure that we're well positioned for the Christmas season there. Again, gum and meals are doing very well, and also the biscuit growth for us was quite strong. The Oreo distribution, which is critical because of the Ricolino partnership that we have, is growing well, and Oreo is growing also in single digits in Mexico. So I would say the, I think that this effect of the subsidy certainly affected candy and chocolate. Overall, we remain quite positive. We think there will be a gradual recovery in H2. The long-term opportunity for growth remains quite significant. The integration with Ricolino is going well, and their route to market will enable us our ambition to grow market share, particularly for biscuits and chocolates. There's also a US business related to Ricolino, which of course is not the subject of the question, but that one also is important because it positions Ricolino as the leader of the Hispanic US candy market. But overall I would say I think it's a temporary issue driven by these subsidies. And in the second half I'm expecting to see a good recuperation in Mexico. Peter Galbo: Great. Thanks, Dirk. That's helpful. And Luca, just maybe a quick one. We've had some questions come in. Obviously the kind of over-delivery on gross margin in the first half and I think that there was an expectation kind of coming out of the fourth quarter”