Philip Morris International Inc.

pmi.com

What Do They Do?

Sells cigarettes and smoke-free products to adult smokers and other adult users of nicotine products.

How Do They Make Money?

Retailers and distributors buy cigarettes and smoke-free products; they generally pay soon after the goods ship or arrive.

revenue

Segment	Share	Revenue	How money arrives
Combustible Tobacco Products Sold outright	59% FY2022: 68%		Sold outright
Smoke-Free Products Sold outright	41% FY2022: 32%		Sold outright

Who Are Their Customers?

Retailers buy directly in some markets and through independent, territory-based distributors or wholesalers in others. E-commerce serves trade partners and consumers, while branded stores sell to consumers.

Customers above 10% of revenue, FY2025

of revenue from two customers (10%, 12%)

FY2023: 23% from two customers

Do Revenues Turn Into Profits?

Yes. It kept 28 cents of every revenue dollar as net income in FY2025 and turned 26 cents into free cash flow.

Operating income, FY2025

37% of revenue

▲ +11% vs FY2024 ($13.4B, 35%)

Net income, FY2025

28% of revenue

▲ +61% vs FY2024 ($7.1B, 19%)

Free cash flow, FY2025

26% of revenue

▼ −1% vs FY2024 ($10.8B, 28%)

How Are They Changing?

Since the FY2025 annual report

Latest quarter: Q3 FY2026, the three months to Sep 30, 2026

Revenue: ▲ +5%; vs $10.8B in Q3 FY2025
Net income: ▼ −5%; vs $3.5B in Q3 FY2025

Combustible Tobacco Products share of revenue vs 59.0% in Q3 FY2025

Sep 8, 2026 Raises full-year diluted earnings forecast for currency The reported diluted EPS forecast rose to $7.28 to $7.43 to reflect currency only.
Jul 22, 2026 Updates full-year adjusted earnings forecast for currency The second-quarter release updated the adjusted diluted EPS forecast for currency only.
Jul 9, 2026 Names Massimo Andolina as group CFO, replacing Emmanuel Babeau The appointment became effective August 1, 2026; Babeau remains a strategic adviser through March 31, 2027.

Growing. Revenue grew 29% in 4 years, from $31.4B in FY2021 to $40.6B in FY2025, about 7% a year.

Wellness portfolio The older report described Vectura Fertin Pharma as a wellness and healthcare business; the latest says Vectura was sold and describes Aspeya's focus on oral consumer wellness offerings.

Revenue over time

Combustible Tobacco Products Smoke-Free Products

$50B$25B$0

FY2021 FY2022 FY2023 FY2024 FY2025

Who Do They Compete With?

Competes with Altria Group, British American Tobacco, Japan Tobacco, and Imperial Brands

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