Swedish Match reported sales of SEK4.5 billion ($518 million) in the second quarter of 2021, up 9 percent from those reported in the second quarter of 2020. Operating profit was SEK1.96 billion compared with SEK1.69 billion in the 2020 quarter. The company’s operating margin increased to 45 percent from 42.9 percent from quarter to quarter.
The performance was driven by continued momentum for Swedish Match’s ZYN nicotine pouch in the U.S. Sales and operating profit also grew in Scandinavia.
For the cigars product segment, sales and operating profit were up significantly in local currency compared to a relatively soft prior year period due to improved pricing and increased natural leaf shipments.
“Following an impressive financial performance in the first quarter, Swedish Match today reported another quarter with double-digit sales and operating profit growth across all product segments in local currencies,” said Swedish Match CEO Lars Dahlgren in a statement.
“Our strategic focus on growing categories and segments is paying off as consumers are seeking alternatives and enhanced experiences.”
“Swedish Match is very well positioned to build upon its strong platforms, and we are excited to determinedly pursue the growth opportunities that lie ahead while working toward our vision of a world without cigarettes.”