Philip Morris Smoke-Free Revenue at 41%
Philip Morris International (NYSE:PM), a global tobacco and nicotine products company, reported its Q2 2025 results on July 22, 2025. The standout news was robust adjusted earnings per share—$1.91 versus a $1.86 estimate—surpassing forecasts by 2.7%. However, GAAP revenue of $10.1 billion fell 2.1% short of expectations. Despite the revenue shortfall, the company continued to advance its smoke-free strategy, raised its outlook for full-year 2025 adjusted EPS. Overall, the period showed strong profit progress, sustained momentum in new category products, and steady cash generation.
Philip Morris International is one of the world’s largest producers of tobacco and nicotine products. Its business spans both traditional cigarettes and a growing portfolio of smoke-free alternatives, serving about 170 markets. The company’s well-known brands include Marlboro, Parliament, and the expanding IQOS, ZYN, and VEEV product lines.
In recent years, the company has focused on shifting its business from combustible (traditional) cigarettes to smoke-free products. These include heated tobacco (heat-not-burn) devices like IQOS, oral nicotine pouches such as ZYN, and electronic vapor offerings under the VEEV brand. Success factors for its ongoing transformation center on innovation, regulatory clearance, supply chain execution, and effective brand positioning in new markets. Regulatory engagement also remains critical given substantial approval requirements for new product types worldwide.
Source Fool.com
