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

FDA Warns Retailers Over Unauthorized Nicotine Pouches Resembling Candy and Everyday Products
FDA Warns Retailers Over Unauthorized Nicotine Pouches Resembling Candy and Everyday Products
The FDA issued warning letters to eight retailers selling unauthorized nicotine pouches and dissolvable tobacco products resembling candy, breath strips and cough drops. The action highlights rising scrutiny of packaging, youth appeal and accidental ingestion risks, as the agency clarifies enforcement priorities for unauthorized ENDS and nicotine pouch products while maintaining PMTA as the legal market pathway.
Special Report
May.21
 RFK Jr. Spokesman Resigns Over FDA Authorization of Fruit-Flavored Vapes
RFK Jr. Spokesman Resigns Over FDA Authorization of Fruit-Flavored Vapes
Richard Danker, a senior public affairs official in Health Secretary Robert F. Kennedy Jr.’s team, resigned from his role at HHS over the FDA’s recent authorization of fruit-flavored vaping products. In a resignation letter addressed to President Donald Trump, Danker argued that the products could expose minors to nicotine addiction, lung damage, and increased cancer risks, while also conflicting with recent HHS guidance on youth risks associated with flavored nicotine products.
News
May.15
 Former DHS Spokesperson Analyzes CBP’s $175 Million Illegal Vape Seizure
Former DHS Spokesperson Analyzes CBP’s $175 Million Illegal Vape Seizure
The Washington Examiner published an opinion article by Tricia McLaughlin, former Assistant Secretary for Public Affairs and spokesperson at the U.S. Department of Homeland Security, arguing that the Trump administration is strengthening enforcement against illegal vape supply chains through the FDA, CBP, and DHS.
Regulations
May.25
Exclusive | TPE 2026 Cools as Caution Deepens in the U.S. Vape Market
Exclusive | TPE 2026 Cools as Caution Deepens in the U.S. Vape Market
The show had become an important check-in point for Chinese manufacturers and brand owners looking for signs of change in the U.S. market after months of softer demand. Instead, participants said the event highlighted a more restrained mood: traffic in the vape section was uneven, standout launches were limited, and conversations often failed to turn into orders.
Special Report
Apr.12
KT&G Launches Two New lil AIBLE Dedicated Sticks as Aim Portfolio Expands to 13
KT&G Launches Two New lil AIBLE Dedicated Sticks as Aim Portfolio Expands to 13
KT&G said on April 20 that it has launched two new “AIIM” sticks for its lil AIBLE heated tobacco device at convenience stores nationwide in South Korea. The new products are “AIIM CHANGE UP” and “AIIM COOL SHOT.” The company said the products were developed based on the existing lil SOLID dedicated sticks “Fiit Change Up” and “Fiit Cool Shot.” With the launch, the Aim lineup for lil AIBLE has expanded to 13 products.
Apr.20 by 2FIRSTS.ai
FDA Opens Public Comment Period on Draft Guidance for Flavored E-Cigarette Applications
FDA Opens Public Comment Period on Draft Guidance for Flavored E-Cigarette Applications
The U.S. Food and Drug Administration’s Center for Tobacco Products announced an open public comment period for a draft guidance titled Flavored Electronic Nicotine Delivery Systems (ENDS) Premarket Applications – Considerations Related to Youth Risk.
Apr.09 by 2FIRSTS.ai