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CLAIM #50336 · PM (PM) · 2025Q2 earnings call · Jul 22, 2025 · due Dec 31, 2025

Despite that, we expect a growth on gross profit for combustible, but nevertheless at a lower level of course, than in in in H1.

Emmanuel Babeau · CFO

PENDING
graded after results covering Dec 31, 2025 are reported

In context

ss, and this is absolutely visible in our numbers. When we look at H2, in fact, we expect a continuation of these very strong momentum that we've seen in H2 on smoke free. So we expect IQOS to continue to grow double digit in term of adjusted IMS. We expect now that we have availability which is no longer an issue for ZYN in the US, expect the continuation of this very strong acceleration of ZYN in the US Again, I reported the 37% growth for the first two weeks of July. So H2 is starting on a good note for ZYN in in the U. S. So this momentum is unchanged, and we expect it to remain very strong. Certainly, what is gonna be less for favorable is the trend on combustible. We were almost flat minus 0.3% in volume in H1, and we expect 3% to 4% decline I've been explaining the driver for that. Despite that, we expect a growth on gross profit for combustible, but nevertheless at a lower level of course, than in in in H1. So this is one of the reasons for the differentiated performance in in in H2 versus H1 for what we can expect And then you have a number of phasing element on smoke free, which have nothing to do with performance. But which are due to basis of comparison or a number of one off events. If I look at IQOS, there was this one billion stick shipment in Q1 that we're going to compensate in Q4. And, of course, that is favoring H1 and penalizing H2. We had super favorable comps in H1 because of accelerated sales of device last year that has been growing profit and margin. We're not going to have that the second part of the year, so that's another element. And then you have the restocking that has been benefiting H1. And, of course, we'll not be benefiting H2. But I think it's really that that's r

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SEC filings for PM · Claim quote is verbatim from the 2025Q2 earnings call.