“We are forecasting currency-neutral adjusted diluted EPS growth of 7.5% to 9.5% factoring in broadly stable net finance cost and an effective corporate tax rate approximately in line with 2025 at around 21.5%.”

In context

“the first half. Altogether, this results in a broadly stable outlook for total shipment growth subject to the usual variability in shipment timing and trade inventory movement as compared to a forecast total industry decline of around 2% for cigarettes and HDUs. led by combustibles We expect another strong year overall for price notwithstanding the impact of US first half comparisons. And for continued positive smoke-free mix. Taking all these elements into account, we forecast 2026 organic net revenue growth of five to 7%. We expect the same factors in addition to operating leverage and ongoing cost efficiencies to drive further robust margin expansion with projected organic operating income growth of seven to 9%. This includes continued strong investment behind our smoke-free portfolio. We are forecasting currency-neutral adjusted diluted EPS growth of 7.5% to 9.5% factoring in broadly stable net finance cost and an effective corporate tax rate approximately in line with 2025 at around 21.5%. Including an estimated 28 pen currency benefit at prevailing exchange rate, This translates to 11.3 to 13.3% growth to a range of $8.09 to $8.54. Which would mark another year of double-digit EPS growth in dollar terms. We expect a significant acceleration in operating cash flow growth at around €13.5 billion at prevailing exchange rates and is subject to year-end working capital requirement. The strong cash generation is expected to support further meaningful deleveraging in 2026 which I will come back to shortly. On a quarterly basis, we expect the first quarter to be the softest quarter of the year, reflecting demanding year-on-year comparison and investment phases. We expect first-quarter combustible volumes to decline by up to 5% as the lap a prior year quarter of volume growth whils”