PMI's Annual Profit Forecast Declines due to Lowered Heat Tobacco Shipments

PMI by 2FIRSTS.ai
Oct.20.2023
PMI's Annual Profit Forecast Declines due to Lowered Heat Tobacco Shipments
PMI's lower-than-expected shipments of heated tobacco products dampen profit forecasts and overshadow Q3 performance, according to French media Boursorama.

According to a report from Boursorama, a French media outlet, Philip Morris International (PMI) is expecting lower than anticipated shipments of its heated tobacco products this year. This has led to disappointment in the company's upward profit forecast for the year and its underperformance in the third quarter, which exceeded expectations.


Despite playing a significant role in the global tobacco industry, PMI is currently seeking alternatives to tobacco due to the increasing stringency of tobacco regulations and decreasing demands in certain markets. PMI's heated tobacco product, IQOS, has been the company's flagship product in its transition towards tobacco alternatives. Since 2008, PMI has announced investments of over $10 billion in heated tobacco products.


Philip Morris International (PMI) announced that due to delays in its product launch in the Taiwanese market and limited growth in the Russian and Ukrainian markets, as well as uncertainty surrounding the new regulations on heated tobacco products in Europe and its impact on inventory levels, its annual shipment volume of heated tobacco products will be lower than initially projected. This contradicts the optimistic outlook on heated tobacco products that was presented by the company during its investor day in September, shifting the focus away from profit growth.


PMI has announced that its adjusted earnings per share for the third quarter were $1.67. According to data provided by LSEG, analysts had an average expectation of earnings per share of $1.61. However, due to increased cigarette prices, demand for heated tobacco products, and the rapid growth of their nicotine pouch brand Zyn, the company has raised its full-year profit forecast and has exceeded expectations in the third quarter.


We welcome news tips, article submissions, interview requests, or comments on this piece.

Please contact us at info@2firsts.com, or reach out to Alan Zhao, CEO of 2Firsts, on LinkedIn


Notice

1.  This article is intended solely for professional research purposes related to industry, technology, and policy. Any references to brands or products are made purely for objective description and do not constitute any form of endorsement, recommendation, or promotion by 2Firsts.

2.  The use of nicotine-containing products — including, but not limited to, cigarettes, e-cigarettes, nicotine pouchand heated tobacco products — carries significant health risks. Users are responsible for complying with all applicable laws and regulations in their respective jurisdictions.

3.  This article is not intended to serve as the basis for any investment decisions or financial advice. 2Firsts assumes no direct or indirect liability for any inaccuracies or errors in the content.

4.  Access to this article is strictly prohibited for individuals below the legal age in their jurisdiction.

 

Copyright

 

This article is either an original work created by 2Firsts or a reproduction from third-party sources with proper attribution. All copyrights and usage rights belong to 2Firsts or the original content provider. Unauthorized reproduction, distribution, or any other form of unauthorized use by any individual or organization is strictly prohibited. Violators will be held legally accountable.

For copyright-related inquiries, please contact: info@2firsts.com

 

AI Assistance Disclaimer

 

This article may have been enhanced using AI tools to improve translation and editorial efficiency. However, due to technical limitations, inaccuracies may occur. Readers are encouraged to refer to the cited sources for the most accurate information.

We welcome any corrections or feedback. Please contact us at: info@2firsts.com

Scientific talk in Bursa Nilüfer spotlights cigarette and e-cigarette addiction and youth risks
Scientific talk in Bursa Nilüfer spotlights cigarette and e-cigarette addiction and youth risks
Nilüfer Municipality in Bursa held a scientific talk titled “Does Addiction Change Form? Cigarettes, E-Cigarettes and Lung Health” as part of February 9 Quit Smoking Day, aiming to raise awareness of the social impact of tobacco addiction. Experts discussed cigarette and e-cigarette addiction, risks for young people, harms of secondhand smoke for children, and health outcomes linked to tobacco use.
Feb.10 by 2FIRSTS.ai
Russia considers digital tagging for e-cigarette products to strengthen industry regulation
Russia considers digital tagging for e-cigarette products to strengthen industry regulation
Russia is considering digitizing e-cigarette products for better industry regulation, aiming to protect consumers and prevent counterfeit products.
Feb.05 by 2FIRSTS.ai
TGA Sets 2026–2027 Compliance Principles, Flags Vaping Goods as a 2026 Priority
TGA Sets 2026–2027 Compliance Principles, Flags Vaping Goods as a 2026 Priority
The Therapeutic Goods Administration (TGA) has released its Compliance Principles for 2026 and 2027.Among 12 therapeutic goods categories identified for priority compliance and enforcement activity, TGA includes vaping goods, and it plans a further review of these priorities in March 2026.
Jan.23 by 2FIRSTS.ai
Manchester’s Cheetham Hill Hosts 54 Vape Shops Across Two Streets
Manchester’s Cheetham Hill Hosts 54 Vape Shops Across Two Streets
Cheetham Hill in Greater Manchester has become one of the UK’s most concentrated vape retail clusters, with 54 e-cigarette shops operating along two adjacent streets following a police crackdown on counterfeit goods in the area.
Feb.21
2Firsts Flash|PMI Reports 2025 Results as Smoke-Free Products Account for 41.5% of Net Revenues
2Firsts Flash|PMI Reports 2025 Results as Smoke-Free Products Account for 41.5% of Net Revenues
Philip Morris International reported full-year 2025 results on February 6, with smoke-free products accounting for 41.5% of adjusted net revenues, up from 38.7% a year earlier. Total net revenues rose 7.3% to $40.65 billion, while shipment volumes increased 1.4%, widening the gap between revenue and volume growth. Cigarette shipments declined as smoke-free volumes rose 12.8%, driven by heated tobacco, oral nicotine and e-vapor products. Results were released alongside a 9:00 a.m. EST webcast.
Feb.06
Singapore Health Minister Ong Ye Kung receives SEATCA award for tobacco control and anti-vaping push
Singapore Health Minister Ong Ye Kung receives SEATCA award for tobacco control and anti-vaping push
SEATCA has honoured Singapore Health Minister Ong Ye Kung with its inaugural Trailblazer Award, citing Singapore’s long-standing vaping ban, stepped-up enforcement and regulatory measures, and the city-state’s role in sharing tobacco-control policy experience across ASEAN.
Feb.06 by 2FIRSTS.ai