Strong First Quarter Performance

Philip Morris International Inc. announced a robust first-quarter performance, with net revenue climbing 5.8% year-over-year to $9.3 billion. The company's operating income saw a significant 16.4% increase, reaching $3.5 billion, while diluted earnings per share (EPS) soared by 24.6% to $1.72.

Smoke-Free Business Leads Growth

The smoke-free segment, now accounting for 42% of total net revenues, reported a 15% year-on-year sales increase. This highlights the company's successful pivot towards reduced-risk products amid changing consumer preferences.

Confident Outlook Despite Global Uncertainties

CEO Jacek Olczak expressed confidence in the company's resilience, stating, "We remain confident in our ability to deliver superior results, despite an uncertain and volatile global economic environment." Philip Morris projects a net revenue growth of 6% to 8% and operating income growth of 10.5% to 12.5% on an organic basis for 2025, with Q2 diluted EPS forecasted between $1.80 and $1.85.

Notably, the company has decided against a stock buyback this year. Following the earnings announcement, Philip Morris shares appreciated by 1.76% in premarket trading.