Posted By Uma Rajagopal
Posted on October 28, 2022
(Reuters) -Nicotine and tobacco products group Swedish Match on Friday reported third-quarter operating profit in line with forecasts as strong sales of its smoke-free products, such as nicotine pouches, offset weak results in other business areas.
Swedish Match is in the process of being bought by Philip Morris International and its board late on Thursday said it still recommended the offer, after its Swiss rival upped the offer price.
Quarterly operating profit rose to 2.40 billion Swedish crowns ($218.74 million) from 2.08 billion a year earlier. Analysts polled by Refinitiv had on average forecast a profit of 2.47 billion crowns.
Sales in its Smokefree unit rose 30% in the quarter. The unit includes both the company’s main product “snus” – a Swedish-style wet snuff – and its newer and fastest-growing product Zyn – tobacco-free nicotine pouches that like snus are put under the lip and sucked.
($1 = 10.9718 Swedish crowns)
(Reporting by Marie Mannes, editing by Stine Jacobsen)
