Swedish Match: Half Year Report January - June 2021

• Double-digit sales and operating profit growth across all product segments in local currencies.
• In local currencies, sales increased by 19 percent for the second quarter. Reported sales increased by 9 percent to 4,505 MSEK (4,133).
• In local currencies, operating profit from product segments[1)] increased by 27 percent for the second quarter. Reported operating profit from product segments increased by 15 percent to 1,988 MSEK (1,731).
• For the Smokefree product segment, continued momentum for ZYN in the US drove the financial performance. 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 as a result of improved pricing and increased natural leaf shipments.
• Operating profit for the Lights product segment up sharply as a result of good underlying performance coupled with income from land sales and indirect tax reclaims following favorable court verdicts.
• Operating profit amounted to 1,956 MSEK (1,693) for the second quarter.
• Profit after tax amounted to 1,441 MSEK (1,254) for the second quarter.
• Earnings per share increased by 18 percent to 0.92 SEK (0.78) for the second quarter.[1)2)]

1) Excludes Other operations and larger one-time items.
2) In May 2021, a share split (10:1) was made. Historical share data in this report has been restated in accordance with IAS 33.