“While we expect some moderation in H2 due to timing factors and annualization, we now forecast a pricing variance of more than 7% for the full year.”

In context

“Emmanuel Babeau: Finally, moving to combustible, where our business delivered a particularly strong Q2 performance. In addition to the favorable volume trajectory I described earlier, this was driven by a pricing variance of +9.2% in the first half, or almost +10% in Q2, with notable contribution from markets including Turkey, Indonesia, the Philippines, and Mexico. While we expect some moderation in H2 due to timing factors and annualization, we now forecast a pricing variance of more than 7% for the full year. Although we expect this additional benefit will be largely offset by a more adverse geographic mix as volumes skew more to markets with lower per-unit revenues. Despite such strong pricing, our portfolio maintained its international category share at 25.3% in Q2, with Marlboro again demonstrating the strength of its premium brand equity, matching its record high of 11%.”