July 20, 2021
Philip Morris International Inc. Reports 2021 Second-Quarter Reported Diluted EPS of $1.39—Including Charges for Saudi Arabia Customs Assessments and Exit Costs—and Adjusted Diluted EPS of $1.57, Reflecting Organic Growth of 17.8%
DownloadRevises 2021 Full-Year Reported Diluted EPS Forecast to a Range of
2021 SECOND-QUARTER & YEAR-TO-DATE HIGHLIGHTS
2021 Second-Quarter
- Reported diluted EPS of
$1.39 , up by 11.2%; up by 7.2%, excluding currency - Adjusted diluted EPS of
$1.57 , up by 21.7%; up by 17.8% on an organic basis - Cigarette and heated tobacco unit shipment volume up by 6.1% (reflecting cigarette shipment volume up by 3.2%, and heated tobacco unit shipment volume up by 30.2% to 24.4 billion units)
- Market share for heated tobacco units in IQOS markets, excluding the
U.S. , up by 1.4 points to 7.3% - Net revenues up by 14.2%; up by 7.9%, excluding currency
- Adjusted net revenues up by 11.6% on an organic basis
- Net revenues from smoke-free products accounted for 29.0% of total adjusted net revenues
- Operating income up by 14.6%; up by 9.9%, excluding currency
- Adjusted operating income up by 18.7% on an organic basis
- Adjusted operating income margin of 44.1% up by 2.0 points; up by 2.7 points on an organic basis
- Total IQOS users at quarter-end estimated at approximately 20.1 million, of which approximately 14.7 million have switched to IQOS and stopped smoking
- New share repurchase program of up to
$7 billion authorized, with target spending of$5 to$7 billion over a three-year period that will commence in the third quarter of 2021 - Regular quarterly dividend of
$1.20 per common share declared, representing an annualized rate of$4.80
2021 Six Months Year-to-Date
- Reported diluted EPS of
$2.93 , up by 21.1%; up by 14.9%, excluding currency - Adjusted diluted EPS of
$3.14 , up by 25.6%; up by 19.6% on an organic basis - Cigarette and heated tobacco unit shipment volume up by 1.1% (reflecting cigarette shipment volume down by 2.2%, and heated tobacco unit shipment volume up by 30.1% to 46.1 billion units)
- Market share for heated tobacco units in IQOS markets, excluding the
U.S. , up by 1.5 points to 7.4% - Net revenues up by 10.0%; up by 5.3% excluding currency
- Adjusted net revenues up by 7.1% on an organic basis
- Net revenues from smoke-free products accounted for 28.5% of total adjusted net revenues
- Operating income up by 19.1%; up by 13.4%, excluding currency
- Adjusted operating income up by 18.6% on an organic basis
- Adjusted operating income margin of 45.0% up by 4.5 points; up by 4.4 points on an organic basis
"We delivered strong financial performance in the quarter, with adjusted diluted EPS of
"IQOS continued its impressive growth, surpassing an estimated 20 million total users by quarter-end and driving sequential quarterly heated tobacco unit in-market sales volume growth of 8%. We expect this momentum to be bolstered by the launch of IQOS ILUMA, starting next month in
"We are increasing our full-year adjusted outlook, with organic net revenue growth of 6% to 7% and adjusted diluted EPS growth of 12% to 14% on the same basis, mainly reflecting improved total industry volume. This outlook further supports our recently announced three-year share repurchase program of up to
"In addition, the proposed acquisitions of
2021 FULL-YEAR FORECAST
|
Full-Year |
||||||||||||
|
2021 |
|
2020 |
|
Organic |
||||||||
|
|
|
|
|
|
|
|
|
|
||||
Reported Diluted EPS |
|
- |
|
|
|
|
|
|
|
|
|||
|
0.14 |
|
|
— |
|
|
|
|
|
||||
Asset impairment and exit costs |
0.07 |
|
|
0.08 |
|
|
|
|
|
||||
Fair value adjustment for equity security investments |
|
|
0.04 |
|
|
|
|
|
|||||
Tax items |
|
|
(0.06 |
) |
|
|
|
|
|||||
|
|
|
(0.05 |
) |
|
|
|
|
|||||
Adjusted Diluted EPS |
|
- |
|
|
|
|
|
|
|
|
|||
Currency |
(0.18) |
|
|
|
|
|
|
||||||
Adjusted Diluted EPS, excluding currency |
|
- |
|
|
|
|
|
|
12 |
% |
- |
14 |
% |
PMI revises its full-year reported diluted EPS forecast to a range of
- An adverse impact of
$0.14 per share, related to a reduction in net revenues for theSaudi Arabia customs assessments communicated previously; - Asset impairment and exit costs of
$0.07 per share, compared to$0.02 per share previously, mainly due to organizational design optimization; - A favorable currency impact of
$0.18 at prevailing exchange rates, compared to$0.20 per share, previously; and - Better anticipated underlying business performance, primarily driven by an improved estimated industry volume progression (due to cigarettes) and the corresponding impact on PMI shipment volume.
On an organic basis, this forecast represents a projected increase of around 12% to 14% versus adjusted diluted EPS of
2021 Full-Year Forecast Assumptions
This forecast assumes:
- A gradual improvement in the general operating environment, with potential volatility around the duration and effects of pandemic-related mobility restrictions across PMI's key markets;
- Lack of near-term recovery in PMI's duty-free business given the uncertain outlook for global travel, with current dynamics persisting through year end;
- A limited impact from the current global shortage of semiconductors on the supply of our electronic devices to consumers;
- An estimated total international industry volume progression, excluding
China and theU.S. , of approximately -1% to +1%, compared to approximately -3% to flat, previously; - A total cigarette and heated tobacco unit shipment volume progression for PMI of approximately flat to +2%, compared to approximately -2% to +1%, previously;
- Heated tobacco unit shipment volume of 95 to 100 billion units;
- Adjusted net revenue growth of approximately 6% to 7% on an organic basis, compared to approximately 5% to 7%, previously;
- An increase in adjusted operating income margin of around 200 basis points on an organic basis;
- Operating cash flow of around
$11 billion at prevailing exchange rates and subject to year-end working capital requirements; - Capital expenditures of approximately
$0.8 billion ; - An effective tax rate, excluding discrete tax events, of around 22%;
- No material impact of any share repurchases;
- No material impact related to the announced agreements to acquire
Fertin Pharma A/S orVectura Group plc ; - A second half of 2021 reflecting:
- The assumption that many of PMI's key markets will have largely emerged from pandemic-related restrictions;
- Continued robust organic net revenue growth; and
- Incremental commercial investments, compared to the first half of 2021, of approximately
$300 to$400 million .
- Third-quarter reported diluted EPS in a range of
$1.50 to$1.55 , including a favorable currency impact, at prevailing exchange rates, of around$0.04 per share.
The foregoing is underpinned by the assumption that, even in the event of prolonged pandemic-related restrictions, there will not be a return to the depressed consumption levels of the second quarter of 2020. This assumption is consistent with the less severe impact on consumption levels observed in the second half of 2020 as COVID-19 spread in a number of markets.
This forecast excludes the impact of any future acquisitions, unanticipated or unquantifiable asset impairment and exit cost charges, future changes in currency exchange rates, further developments pertaining to the judgment in the two Québec Class Action lawsuits and the Companies’ Creditors Arrangement Act (CCAA) protection granted to PMI's Canadian subsidiary,
Factors described in the Forward-Looking and Cautionary Statements section of this release represent continuing risks to these projections.
Saudi Arabia Customs Assessments
As previously communicated, in
On the basis of these decisions and in line with arrangements with the distributors, PMI recorded a pre-tax charge of
COVID-19: Business Continuity Update
Since the onset of the COVID-19 pandemic, PMI has undertaken a number of business continuity measures to mitigate potential disruption to its operations and route-to-market in order to preserve the availability of products to its customers and adult consumers.
Currently:
- PMI has sufficient access to the inputs for its products and is not facing any significant business continuity issues with respect to key suppliers;
- All of PMI's cigarette and heated tobacco unit manufacturing facilities globally are operational;
- COVID-related restrictions do not have a significant impact on the availability of PMI’s products to its customers and adult consumers; and
- PMI has ample liquidity through cash on hand, the ongoing cash generation of its business, and its access to the commercial paper and debt markets.
Beyond Nicotine
In
On
On
Conference Call
A conference call, hosted by
CONSOLIDATED SHIPMENT VOLUME & MARKET SHARE
PMI Shipment Volume by Region |
|
Second-Quarter |
|
Six Months Year-to-Date |
||||||||||||
(million units) |
|
2021 |
2020 |
Change |
|
2021 |
2020 |
Change |
||||||||
Cigarettes |
|
|
|
|
|
|
|
|
||||||||
|
|
41,504 |
|
40,317 |
|
2.9% |
|
78,273 |
|
80,963 |
|
(3.3)% |
||||
|
|
22,785 |
|
23,657 |
|
(3.7)% |
|
42,751 |
|
45,076 |
|
(5.2)% |
||||
|
|
30,347 |
|
27,188 |
|
11.6% |
|
57,989 |
|
57,184 |
|
1.4% |
||||
South & |
|
35,321 |
|
33,346 |
|
5.9% |
|
70,209 |
|
70,941 |
|
(1.0)% |
||||
|
|
10,968 |
|
12,071 |
|
(9.1)% |
|
22,330 |
|
24,370 |
|
(8.4)% |
||||
|
|
15,213 |
|
14,780 |
|
2.9% |
|
30,098 |
|
29,843 |
|
0.9% |
||||
Total PMI |
|
156,138 |
|
151,359 |
|
3.2% |
|
301,650 |
|
308,377 |
|
(2.2)% |
||||
|
|
|
|
|
|
|
|
|
||||||||
Heated Tobacco Units |
|
|
|
|
|
|
|
|
||||||||
|
|
6,921 |
|
4,227 |
|
63.7% |
|
13,347 |
|
8,888 |
|
50.2% |
||||
|
|
6,840 |
|
5,126 |
|
33.4% |
|
12,475 |
|
9,492 |
|
31.4% |
||||
|
|
512 |
|
185 |
|
+100% |
|
908 |
|
655 |
|
38.6% |
||||
South & |
|
39 |
|
— |
|
—% |
|
72 |
|
— |
|
—% |
||||
|
|
9,904 |
|
9,076 |
|
9.1% |
|
19,043 |
|
16,198 |
|
17.6% |
||||
|
|
140 |
|
94 |
|
48.9% |
|
245 |
|
202 |
|
21.3% |
||||
Total PMI |
|
24,356 |
|
18,708 |
|
30.2% |
|
46,090 |
|
35,435 |
|
30.1% |
||||
|
|
|
|
|
|
|
|
|
||||||||
Cigarettes and Heated Tobacco Units |
|
|
|
|
|
|
|
|
||||||||
|
|
48,425 |
|
44,544 |
|
8.7% |
|
91,620 |
|
89,851 |
|
2.0% |
||||
|
|
29,625 |
|
28,783 |
|
2.9% |
|
55,226 |
|
54,568 |
|
1.2% |
||||
|
|
30,859 |
|
27,373 |
|
12.7% |
|
58,897 |
|
57,839 |
|
1.8% |
||||
South & |
|
35,360 |
|
33,346 |
|
6.0% |
|
70,281 |
|
70,941 |
|
(0.9)% |
||||
|
|
20,872 |
|
21,147 |
|
(1.3)% |
|
41,373 |
|
40,568 |
|
2.0% |
||||
|
|
15,353 |
|
14,874 |
|
3.2% |
|
30,343 |
|
30,045 |
|
1.0% |
||||
Total PMI |
|
180,494 |
|
170,067 |
|
6.1% |
|
347,740 |
|
343,812 |
|
1.1% |
Second-Quarter
PMI's total shipment volume increased by 6.1%, driven by:
- the EU, reflecting higher heated tobacco unit shipment volume across the Region, notably in
Italy , and higher cigarette shipment volume, notably inItaly andSpain , partly offset byGermany ; Eastern Europe , reflecting higher heated tobacco unit shipment volume across the Region, primarily inRussia andUkraine , partly offset by lower cigarette shipment volume, notably inRussia ;Middle East &Africa , mainly reflecting higher cigarette shipment volume, primarily inNorth Africa (particularlyEgypt ), PMI Duty Free andTurkey , partly offset by the GCC (predominantlySaudi Arabia );- South &
Southeast Asia , primarily reflecting higher cigarette shipment volume, mainly inIndonesia andThailand , partly offset bythe Philippines ; and Latin America &Canada , mainly reflecting higher cigarette shipment volume, notably inMexico , partly offset byArgentina ;
partly offset by
East Asia &Australia , reflecting lower cigarette shipment volume, mainly inJapan , partly offset by higher heated tobacco unit shipment volume, primarily inJapan .
PMI's cigarette shipment volume increase in the quarter includes a favorable comparison versus the second quarter of 2020, when pandemic-related disruption across many key markets was at its peak.
Impact of Inventory Movements
Excluding the net favorable impact of estimated distributor inventory movements of approximately 3.2 billion units, PMI’s total in-market sales increased by 4.2%, driven by a 27.6% increase in heated tobacco units and a 1.5% increase in cigarettes.
The net favorable impact of approximately 3.2 billion units reflected:
- A net favorable impact of 2.5 billion cigarettes, mainly driven by inventory movements in the second quarter of 2020 related to lower shipments to distributors due to the pandemic; and
- A net favorable impact of 0.7 billion heated tobacco units, primarily reflecting the need to maintain inventory durations for the growing category.
PMI's total heated tobacco unit in-market sales volume in the quarter was 23.0 billion units, reflecting sequential growth of 8.0% compared to the first quarter of 2021. The company believes that the current level of heated tobacco unit inventory is appropriate based on anticipated sales.
Six Months Year-to-Date
PMI's total shipment volume increased by 1.1%, driven by:
- the EU, reflecting higher heated tobacco unit shipment volume across the Region, particularly in
Italy andPoland , partly offset by lower cigarette shipment volume, notably in theCzech Republic ,France andGermany , partly offset byItaly andSpain ; Eastern Europe , reflecting higher heated tobacco unit shipment volume, notably inRussia andUkraine , partly offset by lower cigarette shipment volume, mainly inRussia andUkraine ;Middle East &Africa , reflecting higher cigarette shipment volume (primarily inTurkey , partly offset by the GCC,North Africa and PMI Duty Free), as well as higher heated tobacco unit shipment volume (driven notably by the GCC andLebanon , partly offset by PMI Duty Free);East Asia &Australia , reflecting higher heated tobacco unit shipment volume driven byJapan , partly offset by lower cigarette shipment volume, predominantly inJapan andSouth Korea ; andLatin America &Canada , reflecting higher cigarette shipment volume, primarily inBrazil andMexico , partially offset byArgentina ;
partly offset by
- South &
Southeast Asia , reflecting lower cigarette shipment volume, primarily inthe Philippines , partially offset byIndonesia ,Pakistan andThailand .
Impact of Inventory Movements
The net impact of estimated distributor inventory movements for the first half of the year was immaterial to PMI's total shipment volume performance. PMI’s total in-market sales volume increased by 0.5%.
PMI Shipment Volume by Brand
PMI Shipment Volume by Brand |
|
Second-Quarter |
|
Six Months Year-to-Date |
||||||||||
(million units) |
|
2021 |
2020 |
Change |
|
2021 |
2020 |
Change |
||||||
Cigarettes |
|
|
|
|
|
|
|
|
||||||
|
|
58,466 |
|
54,812 |
|
6.7 |
% |
|
112,148 |
|
114,057 |
|
(1.7 |
)% |
L&M |
|
22,096 |
|
22,385 |
|
(1.3 |
)% |
|
42,464 |
|
45,025 |
|
(5.7 |
)% |
Chesterfield |
|
14,269 |
|
12,604 |
|
13.2 |
% |
|
27,027 |
|
25,507 |
|
6.0 |
% |
Philip Morris |
|
10,590 |
|
11,106 |
|
(4.6 |
)% |
|
20,774 |
|
22,569 |
|
(7.9 |
)% |
|
|
10,023 |
|
8,462 |
|
18.4 |
% |
|
18,980 |
|
16,035 |
|
18.4 |
% |
Sampoerna A |
|
9,186 |
|
7,254 |
|
26.6 |
% |
|
17,884 |
|
15,802 |
|
13.2 |
% |
Dji Sam Soe |
|
5,422 |
|
5,797 |
|
(6.5 |
)% |
|
11,126 |
|
11,972 |
|
(7.1 |
)% |
|
|
4,630 |
|
6,428 |
|
(28.0 |
)% |
|
9,158 |
|
12,041 |
|
(23.9 |
)% |
Lark |
|
3,882 |
|
4,189 |
|
(7.3 |
)% |
|
7,781 |
|
8,213 |
|
(5.3 |
)% |
Sampoerna Hijau |
|
2,029 |
|
1,566 |
|
29.5 |
% |
|
4,228 |
|
3,043 |
|
38.9 |
% |
Others |
|
15,545 |
|
16,756 |
|
(7.2 |
)% |
|
30,080 |
|
34,113 |
|
(11.8 |
)% |
Total Cigarettes |
|
156,138 |
|
151,359 |
|
3.2 |
% |
|
301,650 |
|
308,377 |
|
(2.2 |
)% |
Heated Tobacco Units |
|
24,356 |
|
18,708 |
|
30.2 |
% |
|
46,090 |
|
35,435 |
|
30.1 |
% |
Total PMI |
|
180,494 |
|
170,067 |
|
6.1 |
% |
|
347,740 |
|
343,812 |
|
1.1 |
% |
Note: Sampoerna A includes Sampoerna; Philip Morris includes Philip Morris/Dubliss; and Lark includes Lark Harmony. |
Second-Quarter
PMI's cigarette shipment volume of the following brands increased:
Marlboro , mainly driven byItaly , PMI Duty Free,Spain andTurkey , partly offset by the GCC andJapan ;- Chesterfield, primarily driven by
Russia , partly offset bySaudi Arabia ; Parliament , mainly driven bySaudi Arabia andTurkey ;- Sampoerna A in
Indonesia , primarily driven by premium A Mild; and - Sampoerna Hijau in
Indonesia .
PMI's cigarette shipment volume of the following brands decreased:
- L&M, notably due to
Germany ,Saudi Arabia andTurkey , partly offset byNorth Africa ,Spain andThailand ; - Philip Morris, primarily due to
Russia ; - Dji Sam Soe in
Indonesia , mainly due to Dji Sam Soe Magnum Mild; Bond Street , primarily due toRussia ;- Lark, mainly due to
Japan ; and - "Others," primarily due to: mid-price Fortune (
Philippines ) and Sampoerna U (Indonesia ).
The increase in PMI's heated tobacco unit shipment volume was mainly driven by the EU (notably
International Share of Market
PMI's total international market share (excluding
- Total international market share for cigarettes of 23.8%, down by 1.3 points; and
- Total international market share for heated tobacco units of 3.5%, up by 0.5 points.
PMI's total international cigarette sales volume as a percentage of total industry cigarette sales volume was down by 1.1 points to 24.9%, mainly reflecting lower cigarette market share and/or an unfavorable geographic mix impact, notably in
Six Months Year-to-Date
PMI's cigarette shipment volume of the following brands increased:
- Chesterfield, mainly due to
Brazil ,the Philippines andRussia , partly offset bySaudi Arabia ; Parliament , primarily due toRussia ,Saudi Arabia andTurkey , partly offset byJapan ;- Sampoerna A in
Indonesia , mainly due to premium A Mild; and - Sampoerna Hijau in
Indonesia .
PMI's cigarette shipment volume of the following brands decreased:
Marlboro , mainly due toFrance ,Japan ,Kuwait ,the Philippines and PMI Duty Free, partly offset byMexico andTurkey ;- L&M, notably due to
Egypt ,Germany ,Poland andTurkey , partly offset bySpain andThailand ; - Philip Morris, primarily due to
Indonesia ,Italy andRussia , partly offset byJapan ; - Dji Sam Soe in
Indonesia , mainly due to Dji Sam Soe Magnum Mild; Bond Street , mainly due toRussia andUkraine ;- Lark, primarily due to
Japan ; and - "Others," notably due to: mid-price Fortune (
Philippines ), Hope (Philippines ) and Sampoerna U (Indonesia ); and low-price Jackpot (Philippines ); partly offset by low-price Diana (Italy ) and Morven (Pakistan ).
The increase in PMI's heated tobacco unit shipment volume was mainly driven by the EU (notably
International Share of Market
PMI's total international market share (excluding
- Total international market share for cigarettes of 23.5%, down by 1.4 points; and
- Total international market share for heated tobacco units of 3.5%, up by 0.6 points.
PMI's total international cigarette sales volume as a percentage of total industry cigarette sales volume was down by 1.2 points to 24.6%, mainly reflecting lower cigarette market share and/or an unfavorable geographic mix impact, notably in
CONSOLIDATED FINANCIAL SUMMARY
Second-Quarter
Financial Summary - Quarters Ended |
|
|
|
|
Change Fav./(Unfav.) |
|
Variance Fav./(Unfav.) |
||||||||||||||||||||||
(in millions) |
|
2021 |
|
2020 |
|
Total |
|
Excl. Curr. |
|
Total |
|
Cur- rency |
|
Price |
|
Vol/ Mix |
|
Cost/ Other |
|||||||||||
Net Revenues |
|
$ |
7,594 |
|
$ |
6,651 |
|
|
14.2 |
% |
7.9 |
% |
|
943 |
|
420 |
|
226 |
|
575 |
|
(278 |
) |
||||||
Saudi Arabia Customs Assessments |
|
|
(246 |
) |
|
— |
|
|
— |
% |
— |
% |
|
(246 |
) |
— |
|
— |
|
— |
|
(246 |
) |
||||||
Adjusted Net Revenues |
|
$ |
7,840 |
|
$ |
6,651 |
|
|
17.9 |
% |
11.6 |
% |
|
1,189 |
|
420 |
|
226 |
|
575 |
|
(32 |
) |
||||||
Net Revenues (1) |
|
$ |
7,594 |
|
$ |
6,651 |
|
|
14.2 |
% |
7.9 |
% |
|
943 |
|
420 |
|
226 |
|
575 |
|
(278 |
) |
||||||
Cost of Sales |
|
|
(2,353 |
) |
|
(2,179 |
) |
|
(8.0 |
)% |
(1.9 |
)% |
|
(174 |
) |
(133 |
) |
— |
|
(147 |
) |
106 |
|
||||||
Marketing, Administration and Research Costs |
|
|
(2,093 |
) |
|
(1,722 |
) |
|
(21.5 |
)% |
(12.3 |
)% |
|
(371 |
) |
(159 |
) |
— |
|
— |
|
(212 |
) |
||||||
Amortization of Intangibles |
|
|
(19 |
) |
|
(19 |
) |
|
— |
% |
5.3 |
% |
|
— |
|
(1 |
) |
— |
|
— |
|
1 |
|
||||||
Operating Income |
|
$ |
3,129 |
|
$ |
2,731 |
|
|
14.6 |
% |
9.9 |
% |
|
398 |
|
127 |
|
226 |
|
428 |
|
(383 |
) |
||||||
Asset Impairment & Exit Costs (2) |
|
|
(79 |
) |
|
(71 |
) |
|
(11.3 |
)% |
(11.3 |
)% |
|
(8 |
) |
— |
|
— |
|
— |
|
(8 |
) |
||||||
Saudi Arabia Customs Assessments (3) |
|
|
(246 |
) |
|
— |
|
|
— |
% |
— |
% |
|
(246 |
) |
— |
|
— |
|
— |
|
(246 |
) |
||||||
Adjusted Operating Income |
|
$ |
3,454 |
|
$ |
2,802 |
|
|
23.3 |
% |
18.7 |
% |
|
652 |
|
127 |
|
226 |
|
428 |
|
(129 |
) |
||||||
Adjusted Operating Income Margin |
|
|
44.1 |
% |
|
42.1 |
% |
|
2.0 |
pp |
2.7 |
pp |
|
|
|
|
|
|
|||||||||||
(1) Cost/Other variance includes a reduction in net revenues of |
|||||||||||||||||||||||||||||
(2) Included in Marketing, Administration and Research Costs above. |
|||||||||||||||||||||||||||||
(3) Included in Net Revenues above. |
Net revenues increased by 7.9%, excluding currency, mainly reflecting: favorable volume/mix, primarily driven by higher heated tobacco unit volume (notably in the EU, particularly
Operating income increased by 9.9%, excluding currency, primarily reflecting: favorable volume/mix, primarily driven by higher heated tobacco unit volume (reflecting the same geographies as for net revenues noted above); a favorable pricing variance; and lower manufacturing costs (driven by productivity gains related to reduced-risk and combustible products); partly offset by the unfavorable impact of the
Adjusted operating income increased by 18.7% on an organic basis. Adjusted operating income margin increased by 2.7 points on the same basis, as detailed in Schedule 8.
Six Months Year-to-Date
Financial Summary - Six Months Ended |
|
|
|
|
Change Fav./(Unfav.) |
|
Variance Fav./(Unfav.) |
||||||||||||||||||||||
|
2021 |
|
2020 |
|
Total |
|
Excl. Curr. |
|
Total |
|
Cur- rency |
|
Price |
|
Vol/ Mix |
|
Cost/ Other |
||||||||||||
(in millions) |
|
|
|
|
|
|
|
|
|
||||||||||||||||||||
Net Revenues |
|
$ |
15,179 |
|
$ |
13,804 |
|
|
10.0 |
% |
5.3 |
% |
|
1,375 |
|
645 |
|
432 |
|
544 |
|
(246 |
) |
||||||
Saudi Arabia Customs Assessments |
|
|
(246 |
) |
|
— |
|
|
— |
% |
— |
% |
|
(246 |
) |
— |
|
— |
|
— |
|
(246 |
) |
||||||
Adjusted Net Revenues |
|
$ |
15,425 |
|
$ |
13,804 |
|
|
11.7 |
% |
7.1 |
% |
|
1,621 |
|
645 |
|
432 |
|
544 |
|
— |
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
Net Revenues (1) |
|
$ |
15,179 |
|
$ |
13,804 |
|
|
10.0 |
% |
5.3 |
% |
|
1,375 |
|
645 |
|
432 |
|
544 |
|
(246 |
) |
||||||
Cost of Sales |
|
|
(4,627 |
) |
|
(4,581 |
) |
|
(1.0 |
)% |
3.8 |
% |
|
(46 |
) |
(220 |
) |
— |
|
(118 |
) |
292 |
|
||||||
Marketing, Administration and Research Costs |
|
|
(3,942 |
) |
|
(3,666 |
) |
|
(7.5 |
)% |
(4.5 |
)% |
|
(276 |
) |
(110 |
) |
— |
|
— |
|
(166 |
) |
||||||
Amortization of Intangibles |
|
|
(37 |
) |
|
(37 |
) |
|
— |
% |
2.7 |
% |
|
— |
|
(1 |
) |
— |
|
— |
|
1 |
|
||||||
Operating Income |
|
$ |
6,573 |
|
$ |
5,520 |
|
|
19.1 |
% |
13.4 |
% |
|
1,053 |
|
314 |
|
432 |
|
426 |
|
(119 |
) |
||||||
Asset Impairment & Exit Costs (2) |
|
|
(127 |
) |
|
(71 |
) |
|
(78.9 |
)% |
(78.9 |
)% |
|
(56 |
) |
— |
|
— |
|
— |
|
(56 |
) |
||||||
Saudi Arabia Customs Assessments (3) |
|
|
(246 |
) |
|
— |
|
|
— |
% |
— |
% |
|
(246 |
) |
— |
|
— |
|
— |
|
(246 |
) |
||||||
Adjusted Operating Income |
|
$ |
6,946 |
|
$ |
5,591 |
|
|
24.2 |
% |
18.6 |
% |
|
1,355 |
|
314 |
|
432 |
|
426 |
|
183 |
|
||||||
Adjusted Operating Income Margin |
|
|
45.0 |
% |
|
40.5 |
% |
|
4.5 |
pp |
4.4 |
pp |
|
|
|
|
|
|
|||||||||||
(1) Cost/Other variance includes a reduction in net revenues of |
|||||||||||||||||||||||||||||
(2) Included in Marketing, Administration and Research Costs above. |
|||||||||||||||||||||||||||||
(3) Included in Net Revenues above. |
Net revenues increased by 5.3%, excluding currency, mainly reflecting: favorable volume/mix, primarily driven by higher heated tobacco unit volume (notably in the EU, particularly
Operating income increased by 13.4%, excluding currency, primarily reflecting: a favorable pricing variance; favorable volume/mix, mainly driven by the same factors as for net revenues noted above; and lower manufacturing costs (driven by productivity gains related to reduced-risk and combustible products); partly offset by the unfavorable impact of the
Adjusted operating income increased by 18.6% on an organic basis. Adjusted operating income margin increased by 4.4 points on the same basis, as detailed in Schedule 8.
EUROPEAN UNION REGION
Second-Quarter
Financial Summary - Quarters Ended |
|
|
|
|
Change Fav./(Unfav.) |
|
Variance Fav./(Unfav.) |
||||||||||||||||||||||
|
2021 |
|
2020 |
|
Total |
|
Excl. Curr. |
|
Total |
|
Cur- rency |
|
Price |
|
Vol/ Mix |
|
Cost/ Other |
||||||||||||
(in millions) |
|
|
|
|
|
|
|
|
|
||||||||||||||||||||
Net Revenues |
|
$ |
3,149 |
|
$ |
2,475 |
|
|
27.2 |
% |
15.6 |
% |
|
674 |
|
288 |
|
35 |
|
351 |
|
— |
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
Operating Income |
|
$ |
1,641 |
|
$ |
1,178 |
|
|
39.3 |
% |
24.2 |
% |
|
463 |
|
178 |
|
35 |
|
304 |
|
(54 |
) |
||||||
Asset Impairment & Exit Costs (1) |
|
|
(35 |
) |
|
(27 |
) |
|
(29.6 |
)% |
(29.6 |
)% |
|
(8 |
) |
— |
|
— |
|
— |
|
(8 |
) |
||||||
Adjusted Operating Income |
|
$ |
1,676 |
|
$ |
1,205 |
|
|
39.1 |
% |
24.3 |
% |
|
471 |
|
178 |
|
35 |
|
304 |
|
(46 |
) |
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
Adjusted Operating Income Margin |
|
|
53.2 |
% |
|
48.7 |
% |
|
4.5 |
pp |
3.7 |
pp |
|
|
|
|
|
|
|||||||||||
(1) Included in marketing, administration and research costs at the consolidated operating income level. |
Net revenues increased by 15.6% on an organic basis, reflecting: favorable volume/mix, mainly driven by higher heated tobacco unit volume (notably in
Operating income increased by 24.2%, excluding currency, primarily reflecting: favorable volume/mix, driven by the same factors as for net revenues noted above; lower manufacturing costs (driven mainly by combustible products); and a favorable pricing variance; partly offset by higher marketing, administration and research costs.
Adjusted operating income increased by 24.3% on an organic basis. Adjusted operating income margin increased by 3.7 points on the same basis, as detailed in Schedule 8.
Six Months Year-to-Date
Financial Summary - Six Months Ended |
|
|
|
|
Change Fav./(Unfav.) |
|
Variance Fav./(Unfav.) |
||||||||||||||||||||||
|
2021 |
|
2020 |
|
Total |
|
Excl. Curr. |
|
Total |
|
Cur- rency |
|
Price |
|
Vol/ Mix |
|
Cost/ Other |
||||||||||||
(in millions) |
|
|
|
|
|
|
|
|
|
||||||||||||||||||||
Net Revenues |
|
$ |
6,058 |
|
$ |
5,010 |
|
|
20.9 |
% |
10.5 |
% |
|
1,048 |
|
523 |
|
72 |
|
453 |
|
— |
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
Operating Income |
|
$ |
3,131 |
|
$ |
2,336 |
|
|
34.0 |
% |
19.7 |
% |
|
795 |
|
334 |
|
72 |
|
405 |
|
(16 |
) |
||||||
Asset Impairment & Exit Costs (1) |
|
|
(44 |
) |
|
(27 |
) |
|
(63.0 |
)% |
(63.0 |
)% |
|
(17 |
) |
— |
|
— |
|
— |
|
(17 |
) |
||||||
Adjusted Operating Income |
|
$ |
3,175 |
|
$ |
2,363 |
|
|
34.4 |
% |
20.2 |
% |
|
812 |
|
334 |
|
72 |
|
405 |
|
1 |
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
Adjusted Operating Income Margin |
|
|
52.4 |
% |
|
47.2 |
% |
|
5.2 |
pp |
4.1 |
pp |
|
|
|
|
|
|
|||||||||||
(1) Included in marketing, administration and research costs at the consolidated operating income level. |
Net revenues increased by 10.5% on an organic basis, reflecting: favorable volume/mix, mainly driven by higher heated tobacco unit volume (notably in
Operating income increased by 19.7%, excluding currency, primarily reflecting: favorable volume/mix, driven by the same factors as for net revenues noted above; lower manufacturing costs (driven by combustible and reduced-risk products); and a favorable pricing variance; partly offset by higher marketing, administration and research costs.
Adjusted operating income increased by 20.2% on an organic basis. Adjusted operating income margin increased by 4.1 points on the same basis, as detailed in Schedule 8.
Total Market, PMI Shipment & Market Share Commentaries
European Union Key Data |
Second-Quarter |
Six Months Year-to-Date |
||||||||||||||||
|
|
|
Change |
|
|
Change |
||||||||||||
|
2021 |
2020 |
% / pp |
2021 |
2020 |
% / pp |
||||||||||||
Total Market (billion units) |
121.6 |
116.1 |
4.8 |
% |
228.1 |
225.5 |
1.1 |
% |
||||||||||
|
|
|
|
|
|
|
||||||||||||
PMI Shipment Volume (million units) |
|
|
|
|
|
|
||||||||||||
Cigarettes |
41,504 |
40,317 |
2.9 |
% |
78,273 |
80,963 |
(3.3 |
)% |
||||||||||
Heated Tobacco Units |
6,921 |
4,227 |
63.7 |
% |
13,347 |
8,888 |
50.2 |
% |
||||||||||
Total EU |
48,425 |
44,544 |
8.7 |
% |
91,620 |
89,851 |
2.0 |
% |
||||||||||
|
|
|
|
|
|
|
||||||||||||
PMI Market Share |
|
|
|
|
|
|
||||||||||||
|
16.7 |
% |
17.7 |
% |
(1.0 |
) |
16.8 |
% |
17.7 |
% |
(0.9 |
) |
||||||
L&M |
5.7 |
% |
6.5 |
% |
(0.8 |
) |
5.7 |
% |
6.5 |
% |
(0.8 |
) |
||||||
Chesterfield |
5.4 |
% |
5.5 |
% |
(0.1 |
) |
5.4 |
% |
5.6 |
% |
(0.2 |
) |
||||||
Philip Morris |
2.2 |
% |
2.6 |
% |
(0.4 |
) |
2.2 |
% |
2.6 |
% |
(0.4 |
) |
||||||
HEETS |
5.5 |
% |
3.9 |
% |
1.6 |
|
5.6 |
% |
3.9 |
% |
1.7 |
|
||||||
Others |
3.1 |
% |
3.0 |
% |
0.1 |
|
3.2 |
% |
3.0 |
% |
0.2 |
|
||||||
Total EU |
38.6 |
% |
39.2 |
% |
(0.6 |
) |
38.9 |
% |
39.3 |
% |
(0.4 |
) |
||||||
Note: HEETS includes HEETS Dimensions. |
Second-Quarter
The estimated total market in the EU increased by 4.8% to 121.6 billion units, mainly driven by:
Denmark , up by +100%. Excluding the net favorable impact of estimated trade inventory movements, the total estimated market was down by 16.9%, primarily reflecting the impact of excise tax-driven price increases;Italy , up by 9.3%, mainly reflecting the impact on adult smoker average daily consumption of the easing of pandemic-related measures;Poland , up by 17.6%, primarily reflecting the impact on adult smoker average daily consumption and border sales of the easing of pandemic-related measures, as well as a lower prevalence of illicit trade; andSpain , up by 8.9%, or by 5.2% excluding the net favorable impact of estimated trade inventory movements, mainly reflecting the impact on in-bound tourism and border sales of the easing of pandemic-related measures;
partly offset by
Germany , down by 7.2%, or by 1.9% excluding the net unfavorable impact of estimated trade inventory movements, primarily due to the impact of price increases.
PMI's total shipment volume increased by 8.7% to 48.4 billion units, primarily driven by:
Italy , up by 25.8%, or by 11.4% excluding the net favorable impact of estimated distributor inventory movements, mainly reflecting the higher total market and a higher market share driven by heated tobacco units; andSpain , up by 51.5%, or by 8.3% excluding the net favorable impact of estimated distributor inventory movements, mainly reflecting the higher total market;
partly offset by
Germany , down by 7.4%, mainly reflecting the lower total market.
Excluding the net favorable impact of estimated distributor inventory movements, PMI's total in-market sales volume increased by 3.2%.
Six Months Year-to-Date
The estimated total market in the EU increased by 1.1% to 228.1 billion units, primarily driven by:
Italy , up by 5.4%, mainly reflecting the same factor as in the quarter; andPoland , up by 8.3%, primarily reflecting the same factors as in the quarter;
partly offset by
Czech Republic , down by 10.8%, mainly reflecting the impact, in the first quarter of 2021, of lower border sales due to pandemic-related lockdown measures; andFrance , down by 5.1%, primarily reflecting the impact of excise tax-driven price increases and higher cross-border (non-domestic) purchases due to the easing of pandemic-related measures.
PMI's total shipment volume increased by 2.0% to 91.6 billion units, primarily driven by:
Italy , up by 14.4%, or by 7.3% excluding the net favorable impact of estimated distributor inventory movements, mainly reflecting the same factors as in the quarter; andSpain , up by 7.0%, or by 0.5% excluding the net favorable impact of estimated distributor inventory movements, primarily reflecting the same factor as in the quarter;
partly offset by
Czech Republic , down by 13.8%, mainly reflecting the lower total market and a lower market share (due to cigarettes, partly offset by heated tobacco units); andFrance , down by 7.1%, mainly reflecting the lower total market and a lower market share of cigarettes.
Excluding the net favorable impact of estimated distributor inventory movements, PMI's total in-market sales volume increased by 0.2%.
Second-Quarter
Financial Summary - Quarters Ended |
|
|
|
|
Change Fav./(Unfav.) |
|
Variance Fav./(Unfav.) |
||||||||||||||||||||||
(in millions) |
|
2021 |
|
2020 |
|
Total |
|
Excl. Curr. |
|
Total |
|
Cur- rency |
|
Price |
|
Vol/ Mix |
|
Cost/ Other |
|||||||||||
Net Revenues |
|
$ |
895 |
|
$ |
783 |
|
|
14.3 |
% |
12.5 |
% |
|
112 |
|
14 |
|
22 |
|
76 |
|
— |
|
||||||
Operating Income |
|
$ |
314 |
|
$ |
266 |
|
|
18.0 |
% |
32.7 |
% |
|
48 |
|
(39 |
) |
22 |
|
56 |
|
9 |
|
||||||
Asset Impairment & Exit Costs (1) |
|
|
(7 |
) |
|
(7 |
) |
|
— |
% |
— |
% |
|
— |
|
— |
|
— |
|
— |
|
— |
|
||||||
Adjusted Operating Income |
|
$ |
321 |
|
$ |
273 |
|
|
17.6 |
% |
31.9 |
% |
|
48 |
|
(39 |
) |
22 |
|
56 |
|
9 |
|
||||||
Adjusted Operating Income Margin |
|
|
35.9 |
% |
|
|
34.9 |
% |
|
1.0 |
pp |
|
6.0 |
pp |
|
|
|
|
|
|
|||||||||
(1) Included in marketing, administration and research costs at the consolidated operating income level. |
Net revenues increased by 12.5% on an organic basis, reflecting: favorable volume/mix, driven by higher heated tobacco unit volume (primarily in
Operating income increased by 32.7%, excluding currency, primarily reflecting: favorable volume/mix, driven by the same factors as for net revenues noted above; a favorable pricing variance; and lower manufacturing costs (primarily related to reduced-risk products, mainly in
Adjusted operating income increased by 31.9% on an organic basis. Adjusted operating income margin increased by 6.0 points on the same basis, as detailed in Schedule 8.
Six Months Year-to-Date
Financial Summary - Six Months Ended |
|
|
|
|
Change Fav./(Unfav.) |
|
Variance Fav./(Unfav.) |
||||||||||||||||||||||
|
2021 |
|
2020 |
|
Total |
|
Excl. Curr. |
|
Total |
|
Cur- rency |
|
Price |
|
Vol/ Mix |
|
Cost/ Other |
||||||||||||
(in millions) |
|
|
|
|
|
|
|
|
|
||||||||||||||||||||
Net Revenues |
|
$ |
1,691 |
|
$ |
1,571 |
|
|
7.6 |
% |
11.5 |
% |
|
120 |
|
(61 |
) |
46 |
|
135 |
|
— |
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
Operating Income |
|
$ |
575 |
|
$ |
365 |
|
|
57.5 |
% |
66.3 |
% |
|
210 |
|
(32 |
) |
46 |
|
113 |
|
83 |
|
||||||
Asset Impairment & Exit Costs (1) |
|
|
(9 |
) |
|
(7 |
) |
|
(28.6 |
)% |
(28.6 |
)% |
|
(2 |
) |
— |
|
— |
|
— |
|
(2 |
) |
||||||
Adjusted Operating Income |
|
$ |
584 |
|
$ |
372 |
|
|
57.0 |
% |
65.6 |
% |
|
212 |
|
(32 |
) |
46 |
|
113 |
|
85 |
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
Adjusted Operating Income Margin |
|
|
34.5 |
% |
|
23.7 |
% |
|
10.8 |
pp |
11.5 |
pp |
|
|
|
|
|
|
|||||||||||
(1) Included in marketing, administration and research costs at the consolidated operating income level. |
Net revenues increased by 11.5% on an organic basis, reflecting: favorable volume/mix, driven by higher heated tobacco unit volume (mainly in
Operating income increased by 66.3%, excluding currency, primarily reflecting: favorable volume/mix, driven by the same factors as for net revenues noted above; lower manufacturing costs (mainly related to reduced-risk products, primarily in
Adjusted operating income increased by 65.6% on an organic basis. Adjusted operating income margin increased by 11.5 points on the same basis, as detailed in Schedule 8.
Total Market, PMI Shipment & Market Share Commentaries
PMI Shipment Volume |
Second-Quarter |
Six Months Year-to-Date |
||||||||||
(million units) |
2021 |
2020 |
Change |
2021 |
2020 |
Change |
||||||
Cigarettes |
22,785 |
23,657 |
(3.7)% |
42,751 |
45,076 |
(5.2)% |
||||||
Heated Tobacco Units |
6,840 |
5,126 |
33.4% |
12,475 |
9,492 |
31.4% |
||||||
Total |
29,625 |
28,783 |
2.9% |
55,226 |
54,568 |
1.2% |
Second-Quarter
The estimated total market in
Russia , down by 2.7%, primarily reflecting the impact of excise tax-driven price increases, partly offset by the impact on adult smoker average daily consumption of the easing of pandemic-related measures; andUkraine , down by 3.7%, mainly reflecting the impact of excise tax-driven price increases and a higher prevalence of illicit trade, partly offset by the impact on adult smoker average daily consumption of the easing of pandemic-related measures.
PMI's total shipment volume increased by 2.9% to 29.6 billion units, notably driven by:
Ukraine , up by 8.8%, or by 5.0% excluding the net favorable impact of estimated distributor inventory movements, mainly reflecting a higher market share driven by heated tobacco units, partially offset by the lower total market;
partly offset by
Russia , down by 1.7%. Excluding the net favorable impact of estimated distributor inventory movements (primarily due to cigarettes), PMI's in-market sales decreased by 6.0%, mainly reflecting a lower market share due to cigarettes and the lower total market.
Excluding the net favorable impact of estimated distributor inventory movements, PMI's total in-market sales volume decreased by 0.8%.
Six Months Year-to-Date
The estimated total market in
Ukraine , down by 9.5%, mainly reflecting the same factors as in the quarter;
partly offset by
Russia , up by 0.6%. Excluding the net favorable impact of estimated trade inventory movements, the total estimated market was down by 1.0%, primarily reflecting: the impact of excise tax-driven price increases, partly offset by the impact on adult smoker average daily consumption of the easing of pandemic-related measures, as well as a lower estimated prevalence of illicit trade.
PMI's total shipment volume increased by 1.2% to 55.2 billion units, mainly driven by:
Russia , up by 1.0%. Excluding the net favorable impact of estimated distributor inventory movements, PMI’s total in-market sales volume was down by 3.1%, primarily reflecting a lower market share due to cigarettes.
Excluding the net favorable impact of estimated distributor inventory movements, PMI's total in-market sales volume decreased by 1.2%.
Second-Quarter
Financial Summary - Quarters Ended |
|
|
|
|
Change Fav./(Unfav.) |
|
Variance Fav./(Unfav.) |
||||||||||||||||||||||
|
2021 |
|
2020 |
|
Total |
|
Excl. Curr. |
|
Total |
|
Cur- rency |
|
Price |
|
Vol/ Mix |
|
Cost/ Other |
||||||||||||
(in millions) |
|
|
|
|
|
|
|
|
|
||||||||||||||||||||
Net Revenues |
|
$ |
560 |
|
$ |
704 |
|
|
(20.5 |
)% |
(18.2 |
)% |
|
(144 |
) |
(16 |
) |
50 |
|
100 |
|
(278 |
) |
||||||
Saudi Arabia Customs Assessments |
|
|
(246 |
) |
|
— |
|
|
— |
% |
— |
% |
|
(246 |
) |
— |
|
— |
|
— |
|
(246 |
) |
||||||
Adjusted Net Revenues |
|
$ |
806 |
|
$ |
704 |
|
|
14.5 |
% |
16.8 |
% |
|
102 |
|
(16 |
) |
50 |
|
100 |
|
(32 |
) |
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
Net Revenues (1) |
|
$ |
560 |
|
$ |
704 |
|
|
(20.5 |
)% |
(18.2 |
)% |
|
(144 |
) |
(16 |
) |
50 |
|
100 |
|
(278 |
) |
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
Operating Income |
|
$ |
16 |
|
$ |
237 |
|
|
(93.2 |
)% |
(79.7 |
)% |
|
(221 |
) |
(32 |
) |
50 |
|
65 |
|
(304 |
) |
||||||
Asset Impairment & Exit Costs (2) |
|
|
(8 |
) |
|
(9 |
) |
|
11.1 |
% |
11.1 |
% |
|
1 |
|
— |
|
— |
|
— |
|
1 |
|
||||||
Saudi Arabia Customs Assessments (3) |
|
|
(246 |
) |
|
— |
|
|
— |
% |
— |
% |
|
(246 |
) |
— |
|
— |
|
— |
|
(246 |
) |
||||||
Adjusted Operating Income |
|
$ |
270 |
|
$ |
246 |
|
|
9.8 |
% |
22.8 |
% |
|
24 |
|
(32 |
) |
50 |
|
65 |
|
(59 |
) |
||||||
Adjusted Operating Income Margin |
|
|
33.5 |
% |
|
34.9 |
% |
|
(1.4 |
)pp |
1.8 |
pp |
|
|
|
|
|
|
|||||||||||
(1) Cost/Other variance includes a reduction in net revenues of |
|||||||||||||||||||||||||||||
(2) Included in Marketing, Administration and Research Costs above. |
|||||||||||||||||||||||||||||
(3) Included in Net Revenues above. |
Net revenues decreased by 18.2%, excluding currency, predominantly due to the unfavorable impact of the
Adjusted net revenues increased by 16.8% on an organic basis, as detailed above and in Schedule 5, primarily reflecting: favorable volume/mix, mainly driven by higher cigarette volume (primarily in PMI Duty Free,
Operating income decreased by 79.7%, excluding currency, predominantly due to the unfavorable impact of the
Adjusted operating income increased by 22.8% on an organic basis, mainly reflecting: favorable volume/mix, due to the same factors as for net revenues noted above; and a favorable pricing variance; partly offset by higher marketing, administration and research costs; and lower fees for certain distribution rights, as noted above for net revenues.
Adjusted operating income margin increased by 1.8 points on an organic basis, as detailed in Schedule 8.
Six Months Year-to-Date
Financial Summary - Six Months Ended |
|
|
|
|
Change Fav./(Unfav.) |
|
Variance Fav./(Unfav.) |
||||||||||||||||||||||
|
2021 |
|
2020 |
|
Total |
|
Excl. Curr. |
|
Total |
|
Cur- rency |
|
Price |
|
Vol/ Mix |
|
Cost/ Other |
||||||||||||
(in millions) |
|
|
|
|
|
|
|
|
|
||||||||||||||||||||
Net Revenues |
|
$ |
1,361 |
|
$ |
1,580 |
|
|
(13.9 |
)% |
(11.4 |
)% |
|
(219 |
) |
(39 |
) |
127 |
|
(59 |
) |
(248 |
) |
||||||
Saudi Arabia Customs Assessments |
|
|
(246 |
) |
|
— |
|
|
— |
% |
— |
% |
|
(246 |
) |
— |
|
— |
|
— |
|
(246 |
) |
||||||
Adjusted Net Revenues |
|
$ |
1,607 |
|
$ |
1,580 |
|
|
1.7 |
% |
4.2 |
% |
|
(27 |
) |
(39 |
) |
127 |
|
(59 |
) |
(2 |
) |
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
Net Revenues (1) |
|
$ |
1,361 |
|
$ |
1,580 |
|
|
(13.9 |
)% |
(11.4 |
)% |
|
(219 |
) |
(39 |
) |
127 |
|
(59 |
) |
(248 |
) |
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
Operating Income |
|
$ |
351 |
|
$ |
558 |
|
|
(37.1 |
)% |
(29.0 |
)% |
|
(207 |
) |
(45 |
) |
127 |
|
(65 |
) |
(224 |
) |
||||||
Asset Impairment & Exit Costs (2) |
|
|
(10 |
) |
|
(9 |
) |
|
(11.1 |
)% |
(11.1 |
)% |
|
(1 |
) |
— |
|
— |
|
— |
|
(1 |
) |
||||||
Saudi Arabia Customs Assessments (3) |
|
|
(246 |
) |
|
— |
|
|
— |
% |
— |
% |
|
(246 |
) |
— |
|
— |
|
— |
|
(246 |
) |
||||||
Adjusted Operating Income |
|
$ |
607 |
|
$ |
567 |
|
|
7.1 |
% |
15.0 |
% |
|
40 |
|
(45 |
) |
127 |
|
(65 |
) |
23 |
|
||||||
Adjusted Operating Income Margin |
|
|
37.8 |
% |
|
35.9 |
% |
|
1.9 |
pp |
3.7 |
pp |
|
|
|
|
|
|
|||||||||||
(1) Cost/Other variance includes a reduction in net revenues of |
|||||||||||||||||||||||||||||
(2) Included in Marketing, Administration and Research Costs above. |
|||||||||||||||||||||||||||||
(3) Included in Net Revenues above. |
Net revenues decreased by 11.4%, excluding currency, predominantly due to the unfavorable impact of the
Adjusted net revenues increased by 4.2% on an organic basis, as detailed above and in Schedule 5, primarily reflecting: a favorable pricing variance, driven by combustible pricing (mainly in
Operating income decreased by 29.0%, excluding currency, predominantly due to the unfavorable impact of the
Adjusted operating income increased by 15.0% on an organic basis, mainly reflecting: a favorable pricing variance; and lower manufacturing costs; partly offset by unfavorable volume/mix, due to the same factors as for net revenues noted above.
Adjusted operating income margin increased by 3.7 points on an organic basis, as detailed in Schedule 8.
Total Market, PMI Shipment & Market Share Commentaries
PMI Shipment Volume |
Second-Quarter |
Six Months Year-to-Date |
||||||||||
(million units) |
2021 |
2020 |
Change |
2021 |
2020 |
Change |
||||||
Cigarettes |
30,347 |
27,188 |
11.6% |
57,989 |
57,184 |
1.4% |
||||||
Heated Tobacco Units |
512 |
185 |
+100% |
908 |
655 |
38.6% |
||||||
Total |
30,859 |
27,373 |
12.7% |
58,897 |
57,839 |
1.8% |
Second-Quarter
The estimated total market in the
Egypt , up by 43.9%, or by 35.6% excluding the net favorable impact of estimated trade inventory movements, primarily reflecting: a favorable comparison due to pandemic-related supply-chain shortages involving competitors' products in the second quarter of 2020 and in-switching to cigarettes from other combustible tobacco products;- International Duty Free, up by 54.1%, reflecting the impact of reduced government travel restrictions and increased passenger traffic in certain geographies;
South Africa , reflecting a favorable comparison versus the second quarter of 2020, in which the total market was fully impacted by the pandemic-related ban on all tobacco sales fromMarch 27, 2020 , throughAugust 17, 2020 ; andTurkey , up by 7.7%, mainly reflecting the impact on adult smoker average daily consumption of the easing of pandemic-related measures.
PMI's total shipment volume increased by 12.7% to 30.9 billion units, notably driven by:
Egypt , up by 13.3%, primarily reflecting the higher total market, partly offset by a lower market share (due to an unfavorable comparison following pandemic-related supply-chain shortages involving competitors' products during the second quarter of 2020);- PMI Duty Free, up by +100%, or by 89.3% excluding the net favorable impact of estimated distributor inventory movements, mainly reflecting the higher total market and a higher market share; and
Turkey , up by 16.1%, primarily reflecting a higher market share, driven by the growth ofMarlboro andParliament , as well as the higher total market;
partly offset by
Saudi Arabia , down by 27.1%, or by 5.7% excluding the net unfavorable impact of estimated distributor inventory movements, mainly reflecting a lower total market, partly offset by a higher market share of cigarettes (driven byParliament ) and heated tobacco units.
Six Months Year-to-Date
The estimated total market in the
Egypt , up by 22.9%, or by 17.8% excluding the net favorable impact of estimated trade inventory movements, primarily reflecting the same factors as in the quarter;South Africa , up by 45.6%, primarily reflecting a favorable comparison versus the second quarter of 2020, in which the total market was fully impacted by the pandemic-related ban on all tobacco sales fromMarch 27, 2020 , throughAugust 17, 2020 , partly offset by a higher estimated prevalence of illicit trade stemming from the aforementioned ban; andTurkey , up by 2.8%, mainly reflecting the impact on adult smoker average daily consumption of the easing of pandemic-related measures, as well as a lower estimated prevalence of illicit trade related to cut tobacco (particularly in the first quarter of 2021);
partly offset by
- International Duty Free, down by 31.7%, primarily reflecting the impact of government travel restrictions and reduced passenger traffic since the start of the pandemic in
March 2020 .
PMI's total shipment volume increased by 1.8% to 58.9 billion units, notably driven by:
Turkey , up by 12.2%, mainly reflecting a higher market share (driven byMarlboro andParliament ) and the higher total market;
partly offset by
- PMI Duty Free, down by 30.3%, or by 23.9% excluding the net unfavorable impact of estimated distributor inventory movements (principally due to cigarettes), mainly reflecting the lower total market, partly offset by a higher market share.
SOUTH &
Second-Quarter
Financial Summary - Quarters Ended |
|
|
|
|
Change Fav./(Unfav.) |
|
Variance Fav./(Unfav.) |
||||||||||||||||||||||
|
2021 |
|
2020 |
|
Total |
|
Excl. Curr. |
|
Total |
|
Cur- rency |
|
Price |
|
Vol/ Mix |
|
Cost/ Other |
||||||||||||
(in millions) |
|
|
|
|
|
|
|
|
|
||||||||||||||||||||
Net Revenues |
|
$ |
1,046 |
|
$ |
889 |
|
|
17.7 |
% |
10.0 |
% |
|
157 |
|
68 |
|
20 |
|
69 |
|
— |
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
Operating Income |
|
$ |
331 |
|
$ |
289 |
|
|
14.5 |
% |
8.0 |
% |
|
42 |
|
19 |
|
20 |
|
33 |
|
(30 |
) |
||||||
Asset Impairment & Exit Costs (1) |
|
|
(10 |
) |
|
(11 |
) |
|
9.1 |
% |
9.1 |
% |
|
1 |
|
— |
|
— |
|
— |
|
1 |
|
||||||
Adjusted Operating Income |
|
$ |
341 |
|
$ |
300 |
|
|
13.7 |
% |
7.3 |
% |
|
4 |
|
19 |
|
20 |
|
33 |
|
(31 |
) |
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
Adjusted Operating Income Margin |
|
|
32.6 |
% |
|
33.7 |
% |
|
(1.1 |
)pp |
(0.8 |
)pp |
|
|
|
|
|
|
|||||||||||
(1) Included in marketing, administration and research costs at the consolidated operating income level. |
Net revenues increased by 10.0% on an organic basis, reflecting: favorable volume/mix, due to higher cigarette volume (primarily in
Operating income increased by 8.0%, excluding currency, primarily reflecting: favorable volume/mix, due to the same factors as for net revenues noted above; and a favorable pricing variance; partly offset by higher marketing, administration and research costs (mainly related to combustible products in
Adjusted operating income increased by 7.3% on an organic basis. Adjusted operating income margin decreased by 0.8 points on the same basis, as detailed in Schedule 8.
Six Months Year-to-Date
Financial Summary - Six Months Ended |
|
|
|
|
Change Fav./(Unfav.) |
|
Variance Fav./(Unfav.) |
||||||||||||||||||||||
|
2021 |
|
2020 |
|
Total |
|
Excl. Curr. |
|
Total |
|
Cur- rency |
|
Price |
|
Vol/ Mix |
|
Cost/ Other |
||||||||||||
(in millions) |
|
|
|
|
|
|
|
|
|
||||||||||||||||||||
Net Revenues |
|
$ |
2,219 |
|
$ |
2,140 |
|
|
3.7 |
% |
(0.8 |
)% |
|
79 |
|
96 |
|
(18 |
) |
1 |
|
— |
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
Operating Income |
|
$ |
860 |
|
$ |
888 |
|
|
(3.2 |
)% |
(6.8 |
)% |
|
(28 |
) |
32 |
|
(18 |
) |
(39 |
) |
(3 |
) |
||||||
Asset Impairment & Exit Costs (1) |
|
|
(13 |
) |
|
(11 |
) |
|
(18.2 |
)% |
(18.2 |
)% |
|
(2 |
) |
— |
|
— |
|
— |
|
(2 |
) |
||||||
Adjusted Operating Income |
|
$ |
873 |
|
$ |
899 |
|
|
(2.9 |
)% |
(6.5 |
)% |
|
(26 |
) |
32 |
|
(18 |
) |
(39 |
) |
(1 |
) |
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
Adjusted Operating Income Margin |
|
|
39.3 |
% |
|
42.0 |
% |
|
(2.7 |
)pp |
(2.4 |
)pp |
|
|
|
|
|
|
|||||||||||
(1) Included in marketing, administration and research costs at the consolidated operating income level. |
Net revenues decreased by 0.8% on an organic basis, reflecting: an unfavorable pricing variance, due to
Operating income decreased by 6.8%, excluding currency, primarily reflecting: unfavorable volume/mix, due mainly to lower cigarette volume (primarily in
Adjusted operating income decreased by 6.5% on an organic basis. Adjusted operating income margin decreased by 2.4 points on the same basis, as detailed in Schedule 8.
Total Market, PMI Shipment & Market Share Commentaries
PMI Shipment Volume |
Second-Quarter |
Six Months Year-to-Date |
||||||||||
(million units) |
2021 |
2020 |
Change |
2021 |
2020 |
Change |
||||||
Cigarettes |
35,321 |
33,346 |
5.9% |
70,209 |
70,941 |
(1.0)% |
||||||
Heated Tobacco Units |
39 |
— |
—% |
72 |
— |
—% |
||||||
Total South & |
35,360 |
33,346 |
6.0 % |
70,281 |
70,941 |
(0.9)% |
Second-Quarter
The estimated total market in South &
Bangladesh , up by 30.9%, primarily reflecting a favorable comparison versus the second quarter of 2020, during which pandemic-related restrictions impacted tobacco product availability;India , up by 35.7%, mainly reflecting a favorable comparison versus the second quarter of 2020, during which pandemic-related restrictions impacted the movement of certain products, including tobacco; andIndonesia , up by 12.4%, mainly reflecting the growth of the tax-advantaged 'below tier one' segment and the impact on adult smoker average daily consumption of the easing of pandemic-related measures.
PMI's total shipment volume increased by 6.0% to 35.4 billion units, notably driven by:
Indonesia , up by 11.5%, primarily reflecting the higher total market, partly offset by a lower market share (mainly due to adult smoker down-trading to the 'below tier one' segment as a result of significantly lower retail prices, partly offset by share growth for PMI's premium and hand-rolled kretek portfolio); andThailand , up by 28.0%, or by 12.6% excluding the net favorable impact of estimated distributor inventory movements, primarily due to a higher total market and a higher market share (driven by L&M 7.1);
partly offset by
the Philippines , down by 12.0%, mainly reflecting a lower market share (primarily due to mid-price Fortune, reflecting the impact of price increases in the fourth quarter of 2020, partly offset byMarlboro ), as well as a lower total market.
Six Months Year-to-Date
The estimated total market in South &
Bangladesh , up by 13.2%, primarily reflecting the same factor as in the quarter;India , up by 16.7%, mainly reflecting the same factor as in the quarter;Indonesia , up by 8.7%, primarily reflecting the same factors as in the quarter;Pakistan , up by 14.6%, or by 9.3% excluding the net favorable impact of estimated trade inventory movements, notably reflecting a lower prevalence of illicit trade (partly due to pandemic-related supply disruptions for illicit products); andVietnam , up by 7.4%, mainly reflecting a lower prevalence of illicit trade due to pandemic-related supply disruptions for illicit products;
partly offset by:
the Philippines , down by 9.0%, primarily reflecting the impact of industry-wide price increases in the fourth quarter of 2020.
PMI's total shipment volume decreased by 0.9% to 70.3 billion units, notably due to:
the Philippines , down by 18.3%, mainly reflecting the same factors as in the quarter;
partly offset by:
Indonesia , up by 3.9%, primarily reflecting the same factors as in the quarter;Pakistan , up by 12.8%, mainly reflecting the higher total market; andThailand , up by 9.1%, primarily reflecting the same factors as in the quarter.
Second-Quarter
Financial Summary - Quarters Ended |
|
|
|
|
Change Fav./(Unfav.) |
|
Variance Fav./(Unfav.) |
||||||||||||||||||||||
|
2021 |
|
2020 |
|
Total |
|
Excl. Curr. |
|
Total |
|
Cur- rency |
|
Price |
|
Vol/ Mix |
|
Cost/ Other |
||||||||||||
(in millions) |
|
|
|
|
|
|
|
|
|
||||||||||||||||||||
Net Revenues |
|
$ |
1,514 |
|
$ |
1,432 |
|
|
5.7 |
% |
3.1 |
% |
|
82 |
|
37 |
|
88 |
|
(43 |
) |
— |
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
Operating Income |
|
$ |
715 |
|
$ |
669 |
|
|
6.9 |
% |
7.0 |
% |
|
46 |
|
(1 |
) |
88 |
|
(40 |
) |
(1 |
) |
||||||
Asset Impairment & Exit Costs (1) |
|
|
(15 |
) |
|
(13 |
) |
|
(15.4 |
)% |
(15.4 |
)% |
|
(2 |
) |
— |
|
— |
|
— |
|
(2 |
) |
||||||
Adjusted Operating Income |
|
$ |
730 |
|
$ |
682 |
|
|
7.0 |
% |
7.2 |
% |
|
48 |
|
(1 |
) |
88 |
|
(40 |
) |
1 |
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
Adjusted Operating Income Margin |
|
|
48.2 |
% |
|
47.6 |
% |
|
0.6 |
pp |
1.9 |
pp |
|
|
|
|
|
|
|||||||||||
(1) Included in marketing, administration and research costs at the consolidated operating income level. |
Net revenues increased by 3.1% on an organic basis, reflecting: a favorable pricing variance, primarily driven by higher heated tobacco and combustible pricing in
Operating income increased by 7.0%, excluding currency, mainly reflecting: a favorable pricing variance; and lower manufacturing costs (primarily related to reduced-risk products in
Adjusted operating income increased by 7.2% on an organic basis. Adjusted operating income margin increased by 1.9 points on the same basis, as detailed in Schedule 8.
Six Months Year-to-Date
Financial Summary - Six Months Ended |
|
|
|
|
Change Fav./(Unfav.) |
|
Variance Fav./(Unfav.) |
||||||||||||||||||||||
|
2021 |
|
2020 |
|
Total |
|
Excl. Curr. |
|
Total |
|
Cur- rency |
|
Price |
|
Vol/ Mix |
|
Cost/ Other |
||||||||||||
(in millions) |
|
|
|
|
|
|
|
|
|
||||||||||||||||||||
Net Revenues |
|
$ |
2,986 |
|
$ |
2,687 |
|
|
11.1 |
% |
7.1 |
% |
|
299 |
|
108 |
|
193 |
|
(2 |
) |
— |
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
Operating Income |
|
$ |
1,410 |
|
$ |
1,155 |
|
|
22.1 |
% |
20.6 |
% |
|
255 |
|
17 |
|
193 |
|
18 |
|
27 |
|
||||||
Asset Impairment & Exit Costs (1) |
|
|
(46 |
) |
|
(13 |
) |
|
-(100 |
)% |
-(100 |
)% |
|
(33 |
) |
— |
|
— |
|
— |
|
(33 |
) |
||||||
Adjusted Operating Income |
|
$ |
1,456 |
|
$ |
1,168 |
|
|
24.7 |
% |
23.2 |
% |
|
288 |
|
17 |
|
193 |
|
18 |
|
60 |
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
Adjusted Operating Income Margin |
|
|
48.8 |
% |
|
43.5 |
% |
|
5.3 |
pp |
6.5 |
pp |
|
|
|
|
|
|
|||||||||||
(1) Included in marketing, administration and research costs at the consolidated operating income level. |
Net revenues increased by 7.1% on an organic basis, mainly reflecting: a favorable pricing variance, primarily driven by higher heated tobacco and combustible pricing in
Operating income increased by 20.6%, excluding currency, mainly reflecting: a favorable pricing variance; lower manufacturing costs (primarily related to reduced-risk products in
Adjusted operating income increased by 23.2%, on an organic basis. Adjusted operating income margin increased by 6.5 points on the same basis, as detailed in Schedule 8.
Total Market, PMI Shipment & Market Share Commentaries
PMI Shipment Volume |
Second-Quarter |
Six Months Year-to-Date |
||||||||||
(million units) |
2021 |
2020 |
Change |
2021 |
2020 |
Change |
||||||
Cigarettes |
10,968 |
12,071 |
(9.1)% |
22,330 |
24,370 |
(8.4)% |
||||||
Heated Tobacco Units |
9,904 |
9,076 |
9.1% |
19,043 |
16,198 |
17.6% |
||||||
Total |
20,872 |
21,147 |
(1.3)% |
41,373 |
40,568 |
2.0% |
Second-Quarter
The estimated total market in
Australia , down by 7.8%, or by 12.5% excluding the net favorable impact of estimated trade inventory movements, mainly reflecting the impact of the ending of the pandemic-related wage subsidy by the government; andSouth Korea , down by 1.6%, mainly reflecting the structural market trend.
PMI's total shipment volume decreased by 1.3% to 20.9 billion units, primarily due to:
South Korea , down by 5.9%, mainly reflecting a lower market share (primarily due to the unfavorable impact of the growth of the cigarette new taste dimension segment, in which PMI has a relatively low share) and the lower total market.
Excluding the net unfavorable impact of estimated distributor inventory movements, PMI's total in-market sales volume was essentially stable.
Six Months Year-to-Date
The estimated total market in
Japan , down by 4.2%, primarily reflecting the impact of excise tax-driven price increases.
PMI's total shipment volume increased by 2.0% to 41.4 billion units, notably driven by:
Japan , up by 3.9%, mainly reflecting a higher market share driven by heated tobacco units, partially offset by the lower total market;
partly offset by
South Korea , down by 5.0%, primarily reflecting a lower market share (due to the same factor as in the quarter).
Excluding the net unfavorable impact of estimated distributor inventory movements, PMI's total in-market sales volume was stable.
Second-Quarter
Financial Summary - Quarters Ended |
|
|
|
|
Change Fav./(Unfav.) |
|
Variance Fav./(Unfav.) |
||||||||||||||||||||||
|
2021 |
|
2020 |
|
Total |
|
Excl. Curr. |
|
Total |
|
Cur- rency |
|
Price |
|
Vol/ Mix |
|
Cost/ Other |
||||||||||||
(in millions) |
|
|
|
|
|
|
|
|
|
||||||||||||||||||||
Net Revenues |
|
$ |
430 |
|
$ |
368 |
|
|
16.8 |
% |
9.0 |
% |
|
62 |
|
29 |
|
11 |
|
22 |
|
— |
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
Operating Income |
|
$ |
112 |
|
$ |
92 |
|
|
21.7 |
% |
19.6 |
% |
|
20 |
|
2 |
|
11 |
|
10 |
|
(3 |
) |
||||||
Asset Impairment & Exit Costs (1) |
|
|
(4 |
) |
|
(4 |
) |
|
— |
% |
— |
% |
|
— |
|
— |
|
— |
|
— |
|
— |
|
||||||
Adjusted Operating Income |
|
$ |
116 |
|
$ |
96 |
|
|
20.8 |
% |
18.8 |
% |
|
20 |
|
2 |
|
11 |
|
10 |
|
(3 |
) |
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
Adjusted Operating Income Margin |
|
|
27.0 |
% |
|
26.1 |
% |
|
0.9 |
pp |
2.3 |
pp |
|
|
|
|
|
|
|||||||||||
(1) Included in marketing, administration and research costs at the consolidated operating income level. |
Net revenues increased by 9.0% on an organic basis, reflecting: favorable volume/mix, mainly driven by higher cigarette volume (primarily in
Operating income increased by 19.6%, excluding currency, primarily reflecting: a favorable pricing variance; and favorable volume/mix, due to the same factor as for net revenues noted above.
Adjusted operating income increased by 18.8% on an organic basis. Adjusted operating income margin increased by 2.3 points on the same basis, as detailed in Schedule 8.
Six Months Year-to-Date
Financial Summary - Six Months Ended |
|
|
|
|
Change Fav./(Unfav.) |
|
Variance Fav./(Unfav.) |
||||||||||||||||||||||
|
2021 |
|
2020 |
|
Total |
|
Excl. Curr. |
|
Total |
|
Cur- rency |
|
Price |
|
Vol/ Mix |
|
Cost/ Other |
||||||||||||
(in millions) |
|
|
|
|
|
|
|
|
|
||||||||||||||||||||
Net Revenues |
|
$ |
864 |
|
$ |
816 |
|
|
5.9 |
% |
3.7 |
% |
|
48 |
|
18 |
|
12 |
|
16 |
|
2 |
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
Operating Income |
|
$ |
246 |
|
$ |
218 |
|
|
12.8 |
% |
9.2 |
% |
|
28 |
|
8 |
|
12 |
|
(6 |
) |
14 |
|
||||||
Asset Impairment & Exit Costs (1) |
|
|
(5 |
) |
|
(4 |
) |
|
(25.0 |
)% |
(25.0 |
)% |
|
(1 |
) |
— |
|
— |
|
— |
|
(1 |
) |
||||||
Adjusted Operating Income |
|
$ |
251 |
|
$ |
222 |
|
|
13.1 |
% |
9.5 |
% |
|
29 |
|
8 |
|
12 |
|
(6 |
) |
15 |
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
Adjusted Operating Income Margin |
|
|
29.1 |
% |
|
27.2 |
% |
|
1.9 |
pp |
1.5 |
pp |
|
|
|
|
|
|
|||||||||||
(1) Included in marketing, administration and research costs at the consolidated operating income level. |
Net revenues increased by 3.7% on an organic basis, mainly reflecting: favorable volume/mix, primarily driven by higher cigarette volume (mainly in
Operating income increased by 9.2%, excluding currency, primarily reflecting: lower marketing, administration and research costs; and a favorable pricing variance.
Adjusted operating income increased by 9.5% on an organic basis. Adjusted operating income margin increased by 1.5 points on the same basis, as detailed in Schedule 8.
Total Market, PMI Shipment & Market Share Commentaries
PMI Shipment Volume |
Second-Quarter |
Six Months Year-to-Date |
||||||||||
(million units) |
2021 |
2020 |
Change |
2021 |
2020 |
Change |
||||||
Cigarettes |
15,213 |
14,780 |
2.9% |
30,098 |
29,843 |
0.9% |
||||||
Heated Tobacco Units |
140 |
94 |
48.9% |
245 |
202 |
21.3% |
||||||
Total |
15,353 |
14,874 |
3.2% |
30,343 |
30,045 |
1.0% |
Second-Quarter
The estimated total market in
Argentina , up by 5.1%, or by 12.2% excluding the net unfavorable impact of estimated trade inventory movements, primarily reflecting a lower estimated prevalence of illicit trade and a favorable comparison related to retail out-of-stock in the second quarter of 2020 (due to temporary factory shutdowns related to the pandemic), partly offset by the impact of price increases;Brazil , up by 8.8%, mainly reflecting a lower estimated prevalence of illicit trade due to: reduced price gaps with legal products and the impact of border restrictions imposed as a result of the pandemic; andMexico , up by 6.3%, primarily reflecting the impact on adult smoker consumption patterns of the easing of pandemic-related measures;
partly offset by
Canada , down by 11.8%, notably reflecting the impact of price increases and out-switching from cigarettes to e-vapor products.
PMI's total shipment volume increased by 3.2% to 15.4 billion units, mainly driven by:
Brazil , up by 7.3%, primarily reflecting the higher total market; andMexico , up by 7.9%, mainly reflecting the higher total market and a higher market share (driven byMarlboro );
partly offset by
Argentina , down by 4.8%, mainly reflecting a lower market share (primarily due to adult smoker down-trading to ultra-low-price brands produced by local manufacturers).
Six Months Year-to-Date
The estimated total market in
Argentina , up by 11.5%, primarily reflecting the same factors as in the quarter;Brazil , up by 8.5%, mainly reflecting the same factors as in the quarter; andMexico , up by 4.2%, primarily reflecting the same factors as in the quarter;
partly offset by
Canada , down by 5.8%, mainly reflecting the same factors as in the quarter.
PMI's total shipment volume increased by 1.0% to 30.3 billion units, primarily driven by:
Brazil , up by 8.5%, mainly reflecting the higher total market; andMexico , up by 3.9%, primarily reflecting the higher total market;
partly offset by
Argentina , down by 2.4%, mainly reflecting a lower market share (primarily due to the same factor as in the quarter).
Forward-Looking and Cautionary Statements
This press release contains projections of future results and other forward-looking statements. Achievement of future results is subject to risks, uncertainties and inaccurate assumptions. In the event that risks or uncertainties materialize, or underlying assumptions prove inaccurate, actual results could vary materially from those contained in such forward-looking statements. Pursuant to the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995, PMI is identifying important factors that, individually or in the aggregate, could cause actual results and outcomes to differ materially from those contained in any forward-looking statements made by PMI.
PMI's business risks include: excise tax increases and discriminatory tax structures; increasing marketing and regulatory restrictions that could reduce our competitiveness, eliminate our ability to communicate with adult consumers, or ban certain of our products; health concerns relating to the use of tobacco and other nicotine-containing products and exposure to environmental tobacco smoke; litigation related to tobacco use and intellectual property; intense competition; the effects of global and individual country economic, regulatory and political developments, natural disasters and conflicts; changes in adult smoker behavior; lost revenues as a result of counterfeiting, contraband and cross-border purchases; governmental investigations; unfavorable currency exchange rates and currency devaluations, and limitations on the ability to repatriate funds; adverse changes in applicable corporate tax laws; adverse changes in the cost, availability, and quality of tobacco and other agricultural products and raw materials, as well as components and materials for our electronic devices; and the integrity of its information systems and effectiveness of its data privacy policies. PMI's future profitability may also be adversely affected should it be unsuccessful in its attempts to produce and commercialize reduced-risk products or if regulation or taxation do not differentiate between such products and cigarettes; if it is unable to successfully introduce new products, promote brand equity, enter new markets or improve its margins through increased prices and productivity gains; if it is unable to expand its brand portfolio internally or through acquisitions and the development of strategic business relationships; or if it is unable to attract and retain the best global talent. Future results are also subject to the lower predictability of our reduced-risk product category's performance.
In addition, PMI’s business risks also include risks and uncertainties related to PMI’s potential acquisitions of
The COVID-19 pandemic has created significant societal and economic disruption, and resulted in closures of stores, factories and offices, and restrictions on manufacturing, distribution and travel, all of which will adversely impact our business, results of operations, cash flows and financial position during the continuation of the pandemic. Our business continuity plans and other safeguards may not be effective to mitigate the impact of the pandemic. Currently, significant risks include our diminished ability to convert adult smokers to our RRPs, significant volume declines in our duty-free business and certain other key markets, disruptions or delays in our manufacturing and supply chain, increased currency volatility, and delays in certain cost saving, transformation and restructuring initiatives. Our business could also be adversely impacted if key personnel or a significant number of employees or business partners become unavailable due to the COVID-19 outbreak. The significant adverse impact of COVID-19 on the economic or political conditions in markets in which we operate could result in changes to the preferences of our adult consumers and lower demand for our products, particularly for our mid-price or premium-price brands. Continuation of the pandemic could disrupt our access to the credit markets or increase our borrowing costs. Governments may temporarily be unable to focus on the development of science-based regulatory frameworks for the development and commercialization of RRPs or on the enforcement or implementation of regulations that are significant to our business. In addition, messaging about the potential negative impacts of the use of our products on COVID-19 risks may lead to increasingly restrictive regulatory measures on the sale and use of our products, negatively impact demand for our products, the willingness of adult consumers to switch to our RRPs and our efforts to advocate for the development of science-based regulatory frameworks for the development and commercialization of RRPs.
The impact of these risks also depends on factors beyond our knowledge or control, including the duration and severity of the pandemic, its recurrence in our key markets, actions taken to contain its spread and to mitigate its public health effects, and the ultimate economic consequences thereof.
PMI is further subject to other risks detailed from time to time in its publicly filed documents, including the Form 10-Q for the quarter ended
Key Terms, Definitions and Explanatory Notes
General
- "PMI" refers to
Philip Morris International Inc. and its subsidiaries. Trademarks and service marks that are the registered property of, or licensed by, the subsidiaries of PMI, are italicized. - Comparisons are made to the same prior-year period unless otherwise stated.
- References to total industry, total market, PMI shipment volume and PMI market share performance reflect cigarettes and heated tobacco units, unless otherwise stated.
- References to total international market, defined as worldwide cigarette and heated tobacco unit volume excluding the
U.S. , total industry, total market and market shares are PMI estimates for tax-paid products based on the latest available data from a number of internal and external sources and may, in defined instances, excludethe People's Republic of China and/or PMI's duty free business. - 2020 and 2021 estimates for total industry volume and market share in certain geographies reflect limitations on the availability and accuracy of industry data during pandemic-related restrictions.
- "OTP" is defined as "other tobacco products," primarily roll-your-own and make-your-own cigarettes, pipe tobacco, cigars and cigarillos, and does not include reduced-risk products.
- "Combustible products" is the term PMI uses to refer to cigarettes and OTP, combined.
- In-market sales, or "IMS," is defined as sales to the retail channel, depending on the market and distribution model.
- "Total shipment volume" is defined as the combined total of cigarette shipment volume and heated tobacco unit shipment volume.
- In
July 2021 , theLatin America &Canada operating segment was renamed as theAmericas operating segment. - "
North Africa " is defined asAlgeria ,Egypt ,Libya ,Morocco andTunisia . - "The GCC" (
Gulf Cooperation Council ) is defined asBahrain ,Kuwait ,Oman ,Qatar ,Saudi Arabia and theUnited Arab Emirates (UAE ). - Following the deconsolidation of PMI's Canadian subsidiary,
Rothmans, Benson & Hedges, Inc. (RBH) onMarch 22, 2019 , PMI continues to report the volume of brands sold by RBH for which other PMI subsidiaries are the trademark owner. These include HEETS, Next, Philip Morris and Rooftop. - From time to time, PMI’s shipment volumes are subject to the impact of distributor inventory movements, and estimated total industry/market volumes are subject to the impact of inventory movements in various trade channels that include estimated trade inventory movements of PMI’s competitors arising from market-specific factors that significantly distort reported volume disclosures. Such factors may include changes to the manufacturing supply chain, shipment methods, consumer demand, timing of excise tax increases or other influences that may affect the timing of sales to customers. In such instances, in addition to reviewing PMI shipment volumes and certain estimated total industry/market volumes on a reported basis, management reviews these measures on an adjusted basis that excludes the impact of distributor and/or estimated trade inventory movements. Management also believes that disclosing PMI shipment volumes and estimated total industry/market volumes in such circumstances on a basis that excludes the impact of distributor and/or estimated trade inventory movements, such as on an IMS basis, improves the comparability of performance and trends for these measures over different reporting periods.
Financial
- Net revenues related to combustible products refer to the operating revenues generated from the sale of these products, including shipping and handling charges billed to customers, net of sales and promotion incentives, and excise taxes. PMI recognizes revenue when control is transferred to the customer, typically either upon shipment or delivery of goods.
- Net revenues related to RRPs represent the sale of heated tobacco units, heat-not-burn devices and related accessories, and other nicotine-containing products, primarily e-vapor products, including shipping and handling charges billed to customers, net of sales and promotion incentives, and excise taxes. PMI recognizes revenue when control is transferred to the customer, typically either upon shipment or delivery of goods.
- Adjusted net revenues exclude the impact related to the
Saudi Arabia customs assessments. - "Cost of sales" consists principally of: tobacco leaf, non-tobacco raw materials, labor and manufacturing costs; shipping and handling costs; and the cost of devices produced by third-party electronics manufacturing service providers. Estimated costs associated with device warranty programs are generally provided for in cost of sales in the period the related revenues are recognized.
- "Marketing, administration and research costs" include the costs of marketing and selling our products, other costs generally not related to the manufacture of our products (including general corporate expenses), and costs incurred to develop new products. The most significant components of our marketing, administration and research costs are marketing and sales expenses and general and administrative expenses.
- "Cost/Other" in the Consolidated Financial Summary table of total PMI and the six operating segments of this release reflects the currency-neutral variances of: cost of sales (excluding the volume/mix cost component); marketing, administration and research costs (including asset impairment and exit costs); and amortization of intangibles. “Cost/Other” also includes the currency-neutral net revenue variance, unrelated to volume/mix and price components, attributable to: fees for certain distribution rights billed to customers in certain markets in the
ME&A Region and theSaudi Arabia customs assessment net revenue adjustment. - "Adjusted Operating Income Margin" is calculated as adjusted operating income, divided by adjusted net revenues.
- "Adjusted EBITDA" is defined as earnings before interest, taxes, depreciation, amortization and equity (income)/loss in unconsolidated subsidiaries, excluding asset impairment and exit costs, and unusual items.
- "Net debt" is defined as total debt, less cash and cash equivalents.
- Growth rates presented on an organic basis reflect currency-neutral underlying results.
- Management reviews net revenues, operating income, operating income margin, operating cash flow and earnings per share, or "EPS," on an adjusted basis, which may exclude the impact of currency and other items such as acquisitions, asset impairment and exit costs, tax items and other special items. Organic growth rates reflect the way management views underlying performance for these measures. PMI believes that such measures provide useful insight into underlying business trends and results.
- Management reviews these measures because they exclude changes in currency exchange rates and other factors that may distort underlying business trends, thereby improving the comparability of PMI’s business performance between reporting periods. Furthermore, PMI uses several of these measures in its management compensation program to promote internal fairness and a disciplined assessment of performance against company targets. PMI discloses these measures to enable investors to view the business through the eyes of management.
- Non-GAAP measures used in this release should neither be considered in isolation nor as a substitute for the financial measures prepared in accordance with
U.S. GAAP. For a reconciliation of non-GAAP measures to the most directly comparableU.S. GAAP measures, see the relevant schedules provided with this press release. U.S. GAAP Treatment ofArgentina as a Highly Inflationary Economy. Following the categorization ofArgentina by theInternational Practices Task Force of theCenter for Audit Quality as a country with a three-year cumulative inflation rate greater than 100%, the country is considered highly inflationary in accordance withU.S. GAAP. Consequently, PMI began to account for the operations of its Argentinian affiliates as highly inflationary, and to treat theU.S. dollar as the functional currency of the affiliates, effectiveJuly 1, 2018 .- "Fair value adjustment for equity security investments" reflects the adjustment resulting from share price movements in passive investments for publicly traded entities that are not controlled or influenced by PMI. Under
U.S. GAAP, such adjustments are required, sinceJanuary 1, 2018 , to be reflected directly in the income statement.
Reduced-Risk Products
- Reduced-risk products (“RRPs”) is the term PMI uses to refer to products that present, are likely to present, or have the potential to present less risk of harm to smokers who switch to these products versus continuing smoking. PMI has a range of RRPs in various stages of development, scientific assessment and commercialization. PMI's RRPs are smoke-free products that produce an aerosol that contains far lower quantities of harmful and potentially harmful constituents than found in cigarette smoke.
- "Heated tobacco units," or "HTUs," is the term PMI uses to refer to heated tobacco consumables, which include the company's HEETS, HEETS Creations, HEETS Dimensions, HEETS Marlboro and HEETS FROM
MARLBORO (defined collectively as HEETS),Marlboro Dimensions,Marlboro HeatSticks and Parliament HeatSticks, as well as the KT&G-licensed brands, Fiit and Miix (outside ofKorea ). - Market share for HTUs is defined as the total sales volume for HTUs as a percentage of the total estimated sales volume for cigarettes and HTUs.
- Unless otherwise stated, all references to IQOS are to PMI's Platform 1 IQOS devices and heated tobacco consumables.
- The IQOS heat-not-burn device is a precisely controlled heating device into which a specially designed and proprietary tobacco unit is inserted and heated to generate an aerosol.
- "PMI heat-not-burn products" include licensed KT&G heat-not-burn products.
- "PMI HTUs" include licensed KT&G HTUs.
- “Total IQOS users” is defined as the estimated number of Legal Age (minimum 18 years) users of PMI heat-not-burn products for which PMI HTUs represented at least 5% of their daily tobacco consumption over the past seven days. Note: as of
December 2020 , PMI heat-not-burn products and HTUs include licensed KT&G heat-not-burn products and HTUs, respectively. - The estimated number of adults who have "switched to IQOS and stopped smoking" reflects:
- for markets where there are no heat-not-burn products other than PMI heat-not-burn products: daily individual consumption of PMI HTUs represents the totality of their daily tobacco consumption in the past seven days;
- for markets where PMI heat-not-burn products are among other heat-not-burn products: daily individual consumption of HTUs represents the totality of their daily tobacco consumption in the past seven days, of which at least 70% is PMI HTUs.
Note: as of
IQOS in
- On
April 30, 2019 , theU.S. Food and Drug Administration (FDA) announced that the marketing of a version of PMI's Platform 1 product, namely, IQOS 2.4, together with its heated tobacco units (the term PMI uses to refer to heated tobacco consumables), is appropriate for the protection of public health and authorized it for sale in theU.S. The FDA’s decision followed its comprehensive assessment of PMI’s premarket tobacco product applications (PMTAs) submitted to the Agency in 2017. - In the third quarter of 2019, PMI brought IQOS 2.4 and three variants of its heated tobacco units to the
U.S. through its license with Altria Group, Inc., whose subsidiary,Philip Morris USA Inc. , is responsible for marketing the product and complying with the provisions set forth in theFDA's marketing orders. - On
July 7, 2020 , the FDA authorized the marketing of a version of PMI's Platform 1 product, namely, IQOS 2.4, together with its heated tobacco units, as a Modified Risk Tobacco Product (MRTP). In doing so, the agency found that an IQOS exposure modification order is appropriate to promote the public health. The decision followed a review of the extensive scientific evidence package PMI submitted to the FDA inDecember 2016 to support its MRTP applications. - On
December 7, 2020 , the FDA confirmed that the marketing of a version of PMI's Platform 1 product, namely, IQOS 3, is appropriate for the protection of public health and authorized it for sale in theU.S. The FDA’s decision followed an assessment of a PMI's PMTA filed with the agency inMarch 2020 . - Shipment volume of heated tobacco units to the
U.S. is included in the heated tobacco unit shipment volume of theLatin America &Canada segment. Revenues from shipments of Platform 1 devices, heated tobacco units and accessories to Altria Group, Inc. for sale under license in theU.S. are included in Net Revenues of theLatin America &Canada segment.
|
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|
Appendix 1 |
|||||||||||||||||||
|
|||||||||||||||||||||||||||||||||||||||||||
Key Market Data |
|||||||||||||||||||||||||||||||||||||||||||
|
|
|
|
|
|
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|
|
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|
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|
|
|
|
|
|
|
||||||||||||||||||
Quarters Ended |
|||||||||||||||||||||||||||||||||||||||||||
Market |
|
Total Market, bio units |
|
PMI Shipments, bio units |
|
PMI Market Share, % (1) |
|||||||||||||||||||||||||||||||||||||
|
|
Total |
|
Cigarette |
|
HTU |
|
Total |
|
HTU |
|||||||||||||||||||||||||||||||||
|
2021 |
2020 |
% |
|
2021 |
2020 |
% |
|
2021 |
2020 |
% |
|
2021 |
2020 |
% |
|
2021 |
2020 |
pp |
|
2021 |
2020 |
pp |
||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||
Total |
|
649.9 |
|
607.4 |
|
7.0 |
|
|
180.5 |
|
170.1 |
|
6.1 |
|
|
156.1 |
|
151.4 |
|
3.2 |
|
|
24.4 |
|
18.7 |
|
30.2 |
|
|
27.3 |
|
28.1 |
|
(0.8 |
) |
|
3.5 |
|
3.0 |
|
0.5 |
|
|
|
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9.1 |
|
9.8 |
|
(7.6 |
) |
|
4.1 |
|
4.5 |
|
(7.8 |
) |
|
4.1 |
|
4.4 |
|
(7.8 |
) |
|
— |
|
— |
|
— |
|
|
43.5 |
|
44.9 |
|
(1.4 |
) |
|
0.6 |
|
0.5 |
|
0.1 |
|
|
|
|
18.6 |
|
20.0 |
|
(7.2 |
) |
|
7.2 |
|
7.8 |
|
(7.4 |
) |
|
6.7 |
|
7.4 |
|
(9.1 |
) |
|
0.5 |
|
0.4 |
|
23.4 |
|
|
38.8 |
|
38.9 |
|
(0.1 |
) |
|
2.7 |
|
2.0 |
|
0.7 |
|
|
|
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17.9 |
|
16.3 |
|
9.3 |
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9.9 |
|
7.9 |
|
25.8 |
|
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7.7 |
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6.8 |
|
12.6 |
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2.2 |
|
1.1 |
|
+100 |
|
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53.1 |
|
52.1 |
|
1.0 |
|
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11.2 |
|
7.7 |
|
3.5 |
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12.5 |
|
10.6 |
|
17.6 |
|
|
4.7 |
|
4.2 |
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12.1 |
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|
3.9 |
|
3.7 |
|
5.1 |
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|
0.8 |
|
0.5 |
|
67.7 |
|
|
37.5 |
|
39.3 |
|
(1.8 |
) |
|
6.3 |
|
4.4 |
|
1.9 |
|
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|
10.5 |
|
9.6 |
|
8.9 |
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4.1 |
|
2.7 |
|
51.5 |
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4.0 |
|
2.7 |
|
50.2 |
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0.1 |
|
0.1 |
|
+100 |
|
|
31.1 |
|
31.3 |
|
(0.2 |
) |
|
1.2 |
|
1.0 |
|
0.2 |
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55.1 |
|
56.7 |
|
(2.7 |
) |
|
17.6 |
|
17.9 |
|
(1.7 |
) |
|
13.3 |
|
14.3 |
|
(7.1 |
) |
|
4.3 |
|
3.6 |
|
19.6 |
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31.6 |
|
32.7 |
|
(1.1 |
) |
|
7.3 |
|
6.0 |
|
1.3 |
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||||||||||||||||||||||
|
|
5.3 |
|
6.0 |
|
(12.4 |
) |
|
2.0 |
|
2.7 |
|
(27.1 |
) |
|
1.9 |
|
2.7 |
|
(29.6 |
) |
|
0.1 |
|
— |
|
— |
|
|
41.5 |
|
38.6 |
|
2.9 |
|
|
0.9 |
|
0.2 |
|
0.7 |
|
|
|
|
|
30.5 |
|
28.3 |
|
7.7 |
|
|
13.5 |
|
11.7 |
|
16.1 |
|
|
13.5 |
|
11.7 |
|
16.1 |
|
|
— |
|
— |
|
— |
|
|
44.3 |
|
41.1 |
|
3.2 |
|
|
— |
|
— |
|
— |
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||||||||||||||||||
South & |
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|||||||||||||||||||||||
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|
71.7 |
|
63.8 |
|
12.4 |
|
|
20.1 |
|
18.0 |
|
11.5 |
|
|
20.1 |
|
18.0 |
|
11.5 |
|
|
— |
|
— |
|
— |
|
|
28.1 |
|
28.3 |
|
(0.2 |
) |
|
— |
|
— |
|
— |
|
|
|
|
13.8 |
|
14.2 |
|
(3.0 |
) |
|
8.6 |
|
9.7 |
|
(12.0 |
) |
|
8.5 |
|
9.7 |
|
(12.4 |
) |
|
— |
|
— |
|
— |
|
|
62.0 |
|
68.4 |
|
(6.4 |
) |
|
0.3 |
|
— |
|
0.3 |
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|||||||||||||||||||||||
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|
2.4 |
|
2.6 |
|
(7.8 |
) |
|
0.7 |
|
0.8 |
|
(7.6 |
) |
|
0.7 |
|
0.8 |
|
(7.6 |
) |
|
— |
|
— |
|
— |
|
|
30.8 |
|
30.8 |
|
— |
|
|
— |
|
— |
|
— |
|
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|
|
35.0 |
|
35.1 |
|
(0.2 |
) |
|
14.2 |
|
14.1 |
|
0.4 |
|
|
5.5 |
|
6.3 |
|
(12.3 |
) |
|
8.6 |
|
7.8 |
|
10.6 |
|
|
38.3 |
|
36.8 |
|
1.5 |
|
|
22.7 |
|
20.2 |
|
2.5 |
|
|
|
|
18.1 |
|
18.4 |
|
(1.6 |
) |
|
3.6 |
|
3.8 |
|
(5.9 |
) |
|
2.4 |
|
2.6 |
|
(7.4 |
) |
|
1.2 |
|
1.2 |
|
(2.7 |
) |
|
20.0 |
|
21.1 |
|
(1.1 |
) |
|
6.5 |
|
6.6 |
|
(0.1 |
) |
|
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|
|||||||||||||||||||||||
|
|
8.1 |
|
7.7 |
|
5.1 |
|
|
4.5 |
|
4.8 |
|
(4.8 |
) |
|
4.5 |
|
4.8 |
|
(4.8 |
) |
|
— |
|
— |
|
— |
|
|
56.2 |
|
62.0 |
|
(5.8 |
) |
|
— |
|
— |
|
— |
|
|
|
|
8.0 |
|
7.6 |
|
6.3 |
|
|
5.1 |
|
4.7 |
|
7.9 |
|
|
5.0 |
|
4.7 |
|
7.7 |
|
|
— |
|
— |
|
— |
|
|
63.0 |
|
62.1 |
|
0.9 |
|
|
0.3 |
|
0.2 |
|
0.1 |
|
|
|
|
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|
|
|
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|
|
|
||||||||||||||||||
(1) Market share estimates are calculated using IMS data |
|||||||||||||||||||||||||||||||||||||||||||
Note: % change for Total Market and PMI shipments is computed based on millions of units. "-" indicates volume below 50 million units and market share below 0.1% |
|
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|
|
Appendix 2 |
|||||||||||||||||||
|
|||||||||||||||||||||||||||||||||||||||||||
Key Market Data |
|||||||||||||||||||||||||||||||||||||||||||
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|
||||||||||||||||||
Six Months Ended |
|||||||||||||||||||||||||||||||||||||||||||
Market |
|
Total Market, bio units |
|
PMI Shipments, bio units |
|
PMI Market Share, % (1) |
|||||||||||||||||||||||||||||||||||||
|
|
Total |
|
Cigarette |
|
HTU |
|
Total |
|
HTU |
|||||||||||||||||||||||||||||||||
|
2021 |
2020 |
% |
|
2021 |
2020 |
% |
|
2021 |
2020 |
% |
|
2021 |
2020 |
% |
|
2021 |
2020 |
pp |
|
2021 |
2020 |
pp |
||||||||||||||||||||
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|
||||||||||||||||||
Total |
|
1,265.1 |
|
1,222.6 |
|
3.5 |
|
|
347.7 |
|
343.8 |
|
1.1 |
|
|
301.7 |
|
308.4 |
|
(2.2 |
) |
|
46.1 |
|
35.4 |
|
30.1 |
|
|
27.0 |
|
27.8 |
|
(0.8 |
) |
|
3.5 |
|
2.9 |
|
0.6 |
|
|
|
|
|
|
|
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|
|
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||||||||||||||||||
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|
|
|||||||||||||||||||||||
|
|
17.3 |
|
18.2 |
|
(5.1 |
) |
|
7.9 |
|
8.5 |
|
(7.1 |
) |
|
7.8 |
|
8.4 |
|
(7.3 |
) |
|
0.1 |
|
0.1 |
|
13.2 |
|
|
43.6 |
|
44.7 |
|
(1.1 |
) |
|
0.6 |
|
0.4 |
|
0.2 |
|
|
|
|
36.0 |
|
36.0 |
|
(0.2 |
) |
|
14.3 |
|
14.5 |
|
(1.6 |
) |
|
13.2 |
|
13.7 |
|
(4.1 |
) |
|
1.1 |
|
0.8 |
|
41.4 |
|
|
39.8 |
|
40.4 |
|
(0.6 |
) |
|
3.1 |
|
2.2 |
|
0.9 |
|
|
|
|
33.8 |
|
32.0 |
|
5.4 |
|
|
19.5 |
|
17.1 |
|
14.4 |
|
|
15.1 |
|
14.6 |
|
3.9 |
|
|
4.4 |
|
2.5 |
|
75.7 |
|
|
52.9 |
|
52.0 |
|
0.9 |
|
|
11.2 |
|
7.5 |
|
3.7 |
|
|
|
|
23.2 |
|
21.5 |
|
8.3 |
|
|
8.6 |
|
8.5 |
|
1.4 |
|
|
7.3 |
|
7.6 |
|
(4.1 |
) |
|
1.4 |
|
0.9 |
|
46.5 |
|
|
37.1 |
|
39.7 |
|
(2.6 |
) |
|
5.9 |
|
4.3 |
|
1.6 |
|
|
|
|
20.1 |
|
20.0 |
|
0.3 |
|
|
6.8 |
|
6.4 |
|
7.0 |
|
|
6.6 |
|
6.2 |
|
6.7 |
|
|
0.2 |
|
0.2 |
|
14.3 |
|
|
31.1 |
|
31.1 |
|
— |
|
|
1.2 |
|
1.0 |
|
0.2 |
|
|
|
|
|
|
|
|
|
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||||||||||||||||||
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|
|
|||||||||||||||||||||||
|
|
|
104.2 |
|
103.6 |
|
0.6 |
|
|
33.3 |
|
32.9 |
|
1.0 |
|
|
25.4 |
|
26.7 |
|
(4.9 |
) |
|
7.9 |
|
6.2 |
|
26.3 |
|
|
31.3 |
|
32.6 |
|
(1.3 |
) |
|
7.5 |
|
6.2 |
|
1.3 |
|
|
|
|
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||||||||||||||||||
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|
|
|||||||||||||||||||||||
|
|
10.7 |
|
10.3 |
|
4.1 |
|
|
4.2 |
|
3.8 |
|
11.4 |
|
|
4.1 |
|
3.8 |
|
9.0 |
|
|
0.1 |
|
— |
|
— |
|
|
41.8 |
|
39.4 |
|
2.4 |
|
|
0.8 |
|
0.1 |
|
0.7 |
|
|
|
|
|
55.8 |
|
54.3 |
|
2.8 |
|
|
24.5 |
|
21.8 |
|
12.2 |
|
|
24.5 |
|
21.8 |
|
12.2 |
|
|
— |
|