“We also expect this segment to benefit from lower SG&A costs as the year progresses.”

In context

“ditional shipping days in the smokable segment, each of which occur in the second half of the year. Turning now to our first quarter business results. The smokeable products segment delivered over $2.4 billion in adjusted operating company's income, with robust net price realization of 8.5%. And Marlboro maintained its long-standing leadership in the cigarette category. Adjusted OCI margins were 60.2% for the quarter, down slightly from a year ago. Year-over-year margin comparisons were impacted by higher per unit settlement charges and some elevated manufacturing costs. Year-over-year MSA and manufacturing cost per pack increases were higher in the first quarter than we expect for the remainder of the year. These higher costs were partially offset by lower SG&A costs in the quarter. We also expect this segment to benefit from lower SG&A costs as the year progresses. Total smokeable products segment reported and adjusted cigarette volumes declined by 10% in the first quarter. When adjusted for trade inventory movement and other factors, we estimate that industry volumes declined by 9% over the same period. We believe that industry volume trends have been negatively impacted by the proliferation of illicit disposable e-vapor products and continued pressures on tobacco consumer discretionary income. At retail, the discount segment grew 0.8 share points in the first quarter. We believe these results were driven in part by macroeconomic pressures on the adult smokers. We continue to see increased competitive activity in the discount segment, including multiple branded discount offerings priced at deep discount levels. Meanwhile, Marlboro continues t”