The leading American company in the tobacco alternative sector recently revised upwards its revenue forecast for its nicotine pouch range. While it initially expected sales volume between $60 million and $80 million for 2025, it now anticipates significantly higher performance, with a target of between $80 million and $95 million. This decision reflects the strong growth momentum for these tobacco-free products, prized for their discreet use and lack of combustion.
Revealing financial results
The company's first-quarter 2025 performance confirms its strong performance. Overall revenue grew more than 28% year-over-year to approximately $106 million. The "modern oral" category, which specifically includes nicotine pouches, posted sales of nearly $22 million, a tenfold increase compared to the same period last year. This result also represents a near doubling compared to the previous quarter. Adjusted EBITDA stood at nearly $28 million, reflecting year-over-year growth of 12%.
The levers of rapid growth
Several structural factors explain the meteoric rise of this product category:
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Changing consumer habits : A growing proportion of the adult public now prefers tobacco-free products, which are considered less harmful and more practical to use.
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Strengthening innovation : The company has invested in diversifying its nicotine pouches, with variations in flavors, dosages and formats adapted to a varied clientele.
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Permissive regulatory environment Recent adjustments in US legislation facilitate market access for these products, reducing constraints on their marketing.
Maintaining global forecasts and regulatory vigilance
Despite a significant increase in a key segment, adjusted EBITDA guidance remains stable for the full year 2025, estimated at between $108 million and $113 million. However, the company will face increasingly intense competition and remain attentive to federal health authority requirements, particularly regarding marketing authorizations for nicotine-containing products.
A clear direction towards alternatives to tobacco
This upward revision of its objectives confirms the company's strategic focus on smoke-free nicotine replacement products. Thanks to a keen understanding of consumer trends and a strategy focused on product innovation, it is consolidating its position in a rapidly changing market. The current momentum suggests a promising future for nicotine pouches, which are set to become a key pillar of alternative tobacco products.
