“We continue to target growth in IQOS adjusted IMS volume for the year overall.”

In context

“Emmanuel Babeau: We continue to target growth in IQOS adjusted IMS volume for the year overall. Moving to the U.S., where we delivered a sequential improvement of +38% in net revenue and +46% in adjusted gross profit compared to a challenging Q1. This largely reflects the +25% sequential growth in ZYN shipment and reduced sales promotion as we prepared for new product launches. On a year-on-year basis, segment net revenue declined by close to 1%, reflecting a decline in cigars and unfavorable phasing dynamic in the wellness business, while ZYN net revenues were broadly flat. Gross profit was impacted by higher manufacturing costs, mainly related to the ramp-up of new ZYN capacity in Colorado, where full-scale commercial production began this month, reflecting our continued investment to support future growth.”