Interim Report January - September 2020

STOCKHOLM, Oct. 27, 2020

• Sales and operating profit increased for the Smokefree product segment in both the US and Scandinavia, as well as for cigars. Sales and operating profit elevated by COVID-19 related effects on consumer demand and channel shifts.
• In local currencies, sales increased by 23 percent for the third quarter. Reported sales increased by 15 percent to 4,400 MSEK (3,829).
• In local currencies, operating profit from product segments¹⁾ increased by 37 percent for the third quarter. Reported operating profit from product segments increased by 28 percent to 2,046 MSEK (1,603).
• Operating profit amounted to 2,019 MSEK (1,586) for the third quarter.
• Profit after tax, which includes a charge of 286 MSEK following adverse ruling in a tax case, amounted to 1,193 MSEK (1,180) for the third quarter.
• Adjusted earnings per share increased by 31 percent to 9.21 SEK (7.04) for the third quarter. Earnings per share increased by 6 percent to 7.44 SEK (7.04).
• Revised outlook provided on page 12 to reflect higher expected underlying corporate tax rate for the year 2020 as a consequence of a stronger than previously anticipated result development for the business in the US.

1) Excludes Other operations and larger one-time items.

For the full report: www.swedishmatch.com/Investors/Financial-reports/Interim-reports/

Swedish Match telephone conference

A telephone conference will be held today, Tuesday, October 27 at 2:00 p.m. (CET), (1:00 p.m. UK time). At this time we will review and comment on the results. Participants will include Lars Dahlgren, Anders Larsson, and Emmett Harrison.

Listen to the telephone conference: www.swedishmatch.com/Investors/Presentations/Webcasts-and-audiocasts/

Telephone conference presentation: www.swedishmatch.com/Investors/Presentations/