- Philip Morris International (PM, Financial) reported a 24.6% increase in Q1 2025 diluted EPS to $1.72.
- The smoke-free business accounted for 42% of PMI's total net revenues, with shipment volumes growing 14.4%.
- PM's adjusted diluted EPS forecast for 2025 is set at $7.36-$7.49, indicating a 12.0-14.0% growth from 2024.
Philip Morris International Inc. (PM) reported robust financial performance for the first quarter of 2025, including a significant increase in diluted earnings per share (EPS). The company’s reported diluted EPS rose by 24.6% to $1.72, while the adjusted diluted EPS experienced a 12.7% increase reaching $1.69. Excluding currency effects, the adjusted EPS grew by 17.3%.
The smoke-free business segment, which makes up 42% of PMI's total net revenues and 44% of the total gross profit, demonstrated strong momentum in Q1 2025. Shipment volumes increased by 14.4%, and net revenues rose by 15.0% (20.4% organically). Notably, the company’s IQOS product line strengthened its position in the global heat-not-burn category, where PMI holds approximately 77% of the market volume share.
In Japan, PMI's IQOS adjusted in-market sales (IMS) volume grew by an estimated 9.3%, contributing to an increase in market share to a record 32.2%. Meanwhile, in Europe, the IQOS HTU adjusted market share increased by 1.2pp to 11.4%, with adjusted IMS growing by an estimated 7.4%.
In the U.S. market, the ZYN nicotine pouch product also saw impressive growth, with shipments exceeding 200 million cans, marking a 53% increase from the previous year as production capacity expanded.
For the full year of 2025, PMI has forecasted adjusted diluted EPS to be in the range of $7.36 to $7.49, representing a projected increase of 12.0% to 14.0% from the previous year. This forecast includes favorable currency impacts and excludes restructuring charges expected in the second quarter related to optimizing manufacturing operations in Germany.
