Philip Morris International

PM Q1 2025 Earnings

Reported Apr 23, 2025 at 7:05 AM ET · SEC Source

Q1 25 EPS

$1.69

BEAT +4.79%

Est. $1.61

Q1 25 Revenue

$9.30B

BEAT +1.71%

Est. $9.14B

vs S&P Since Q1 25

-32.4%

TRAILING MARKET

PM +2.2% vs S&P +34.6%

Market Reaction

Did PM Beat Earnings? Q1 2025 Results

Philip Morris International opened 2025 with a strong first quarter, posting earnings per share of $1.69 against a consensus estimate of $1.61, a beat of 4.79%, while revenue of $9.30 billion topped the $9.14 billion estimate by 1.71% and climbed 5.8… Read more Philip Morris International opened 2025 with a strong first quarter, posting earnings per share of $1.69 against a consensus estimate of $1.61, a beat of 4.79%, while revenue of $9.30 billion topped the $9.14 billion estimate by 1.71% and climbed 5.8% year over year. The standout driver behind the outperformance was the company's smoke-free business, which now accounts for 42% of total net revenues and delivered organic revenue growth exceeding 20% in the period, with U.S. ZYN nicotine pouch shipments surging 53% to exceed 200 million cans as expanded production capacity came online ahead of schedule. IQOS continued to gain ground internationally, reaching a record 32.2% adjusted market share in Japan and 11.4% in Europe. With momentum firmly in place, PMI raised its full-year adjusted diluted EPS guidance to $7.36 to $7.49, representing growth of 12% to 14%, and projected operating cash flow exceeding $11.00 billion for the year, reinforcing confidence in the company's ongoing shift toward smoke-free products.

Key Takeaways

  • Smoke-free business organic net revenue growth of over 20% and organic gross profit growth of over 33%
  • IQOS HTU adjusted IMS volume grew 9.4% globally
  • ZYN U.S. shipments grew 53%, exceeding 200 million cans, beating initial expectations
  • Strong combustible pricing contributing to favorable pricing variance
  • Adjusted operating income margin expanded 2.5 percentage points to 40.7%
  • IQOS market share gains in Japan (up 3.0pp to record 32.2%) and Europe (up 1.2pp to record 11.4%)
  • VEEV e-vapor shipment volumes more than doubled
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PM YoY Financials

Q1 2025 vs Q1 2024, source: SEC Filings

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PM Revenue by Segment

With YoY comparisons, source: SEC Filings

Q1 25 Q1 26
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PM Revenue by Geography

With YoY comparisons, source: SEC Filings

Q1 25 Q4 25

“We achieved exceptionally strong performance in the first quarter, with continued volume growth supporting an excellent top-line performance and very strong margin expansion.”

— Jacek Olczak, Q1 2025 Earnings Press Release