Philip Morris Misses Revenue, Raises 2025 Guidance

Philip Morris International reported second-quarter 2025 adjusted earnings per share of $1.91, surpassing analyst expectations, but net revenues of $10.14 billion missed estimates despite rising 7.1% year over year. Smoke-free products, including IQOS and Zyn, accounted for 41% of net revenues and saw double-digit shipment volume growth, while cigarette sales volumes declined 1.5%. Strong performance in smoke-free and oral nicotine products boosted overall profitability and market share, particularly in the U.S., Europe, and Japan. The company raised its 2025 adjusted EPS guidance to $7.43–$7.56 per share, citing ongoing momentum in its multi-category smoke-free portfolio. Despite the revenue miss, Philip Morris's shares dipped, but its strategic shift toward smoke-free alternatives is outpacing competitors. CEO Jacek Olczak noted excellent momentum in key markets as regulatory headwinds begin to ease.