“we expect the structural growth of IQOS to fuel continued HTU progression over the rest of the year.”

In context

“he Netherlands. Growth was slower in certain Central European markets such as Poland and Czech Republic, where increased economic pressures and price-sensitivity are visible. We continue to evolve our portfolio in these markets under the recently-launched ILUMA system to drive further growth. Excluding Ukraine, where growth was absent, adjusted in market sales grew double-digit. As anticipated, the 11 markets so far affected by EU characterizing flavor restrictions saw an impact in line with our total region estimate of around 2 billion sticks for the year. Consistent with similar past situations, we observe an initial consumer adjustment followed by a reversion of growth rates to previous levels. We have not seen meaningful shifts towards e-vapor or competitor heat-not-burn products, and we expect the structural growth of IQOS to fuel continued HTU progression over the rest of the year. The strong fundamental progress in the region is highlighted by the expansion in key city offtake shares. Very strong gains in cities with already high IQOS adoption, such as Lisbon, Rome, Athens and Budapest, demonstrate the potential for further growth at the national level. The recent acceleration in London, Madrid, Munich and Amsterdam is also very promising for the IQOS brand in these markets and for Europe overall. In Japan, the adjusted total tobacco share for our HTU brands increased by an excellent plus 3.1 points to 29.3%. Adjusted IMS volumes increased by plus 13%, maintaining the rapid progress of recent quarters. Such impressive growth in a market with already-high category penetration is a clear testament to the sustainable growth potential of IQOS around the world. In conne”