Philip Morris International

Philip Morris International (PM) Q1 2026 Earnings

Reported Apr 22, 2026 at 7:02 AM ET · SEC Source

Q1 26 EPS

$1.96

BEAT +7.07%

Est. $1.83

Q1 26 Revenue

$10.15B

BEAT +2.41%

Est. $9.91B

vs S&P Since Q1 26

+13.8%

BEATING MARKET

PM +22.5% vs S&P +8.7%

Market Reaction

Did PM Beat Earnings? Q1 2026 Results

Philip Morris International posted a strong first-quarter beat on Wednesday, with adjusted diluted EPS of $1.96 clearing the $1.89 consensus estimate by 3.70%, extending the company's streak of beating EPS expectations to four consecutive quarters. R… Read more Philip Morris International posted a strong first-quarter beat on Wednesday, with adjusted diluted EPS of $1.96 clearing the $1.89 consensus estimate by 3.70%, extending the company's streak of beating EPS expectations to four consecutive quarters. Revenue climbed 9.7% year-over-year to $10.15 billion, as the company's accelerating transformation toward smoke-free products continued to reframe its growth story. The primary engine behind the outperformance was the International Smoke-Free segment, which delivered net revenue growth of 24.7% to $3.84 billion with gross margins expanding to 70.0%, reflecting surging demand for IQOS heat-not-burn products. International Combustibles also proved resilient, with 8.5% pricing gains offsetting a 5.1% volume decline to generate $5.69 billion in segment revenue. The U.S. Segment was a notable soft spot, with ZYN pouch shipments falling 23.5% amid distributor inventory adjustments, though underlying consumer demand grew roughly 10%. Looking ahead, PMI reaffirmed its full-year adjusted diluted EPS guidance of $8.36 to $8.51, representing growth of 10.9% to 12.9% versus 2025.

Key Takeaways

  • IQOS drove double-digit growth in both shipment volume and adjusted IMS
  • Strong international pricing variance of 8.5% in combustibles
  • International Smoke-Free segment gross profit grew 28.6% with 70.0% adjusted gross profit margin
  • Broad-based IQOS growth across geographies including Italy, Japan, Taiwan, and key European markets
  • VEEV e-vapor exceeded 1 billion equivalent units shipped in a single quarter for the first time
  • Favorable currency impact of $0.18 per share on adjusted diluted EPS
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PM YoY Financials

Q1 2026 vs Q1 2025, source: SEC Filings

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PM Revenue by Segment

With YoY comparisons, source: SEC Filings

Q1 25 Q2 26
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PM Revenue by Geography

With YoY comparisons, source: SEC Filings

Q1 25 Q4 25

“Our performance exceeded our expectations in the first quarter, with an outstanding delivery from IQOS driving very good growth for the group against a strong prior-year comparison.”

— Jacek Olczak, Q1 2026 Earnings Press Release