PM Philip Morris International (PM) Q1 FY25 earnings call
Philip Morris International delivered a very strong Q1 FY25, primarily driven by exceptional performance in its smoke-free portfolio, which now accounts for 44% of total gross profit. The company saw robust growth across IQOS, ZYN, and VEEV, leading to significant margin expansion and double-digit EPS growth despite currency headwinds and increased SG&A investments. Management remains confident in achieving another year of superior growth, raising its full-year adjusted diluted EPS forecast.
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PM operating KPIs by quarter
| KPI | Dec 2024 Q4 FY24 | This call Mar 2025 Q1 FY25 | Sep 2025 Q3 FY25 | Mar 2026 Q1 FY26 | Change vs prior quarter |
|---|---|---|---|---|---|
| Shipment volume US ZYN | 165MSwitching categories now to ZYN, where we continued -- where continued strong demand supported Q4 US shipment volume growth of plus 42% year-on-year to 165 million cans.Source: earnings call transcript | 202MZYN, once again, delivered strong growth in the US with shipments increasing by an impressive plus 53% to reach 202 million cans, exceeding our initial expectations as demand remained strong and production capacity increased ahead of schedule in the latter part of March, enabling some initial replenishment of trade inventories.Source: earnings call transcript | 205MDriven by the strong performance in the fast-growing nicotine pouch category, US shipments grew by plus 37% to 205 million cans, ahead of expectation.Source: earnings call transcript | 155MWhile offtake volume increased, Q1 shipment declined to 155 million can, reflecting the inventory dynamic explained last quarter, which I will now briefly recap.Source: earnings call transcript | -24.4% |
| Markets Nicotine pouches | 37We launched nicotine pouches in 6 new markets during the quarter to reach a total of 37 worldwide, including Italy, Romania and Thailand.Source: earnings call transcript | 38We are now in 38 markets globally, following Q1 launches in the UAE and Colombia and you see at least all addressable market has meaningful opportunity given the unit [indiscernible].Source: earnings call transcript | 47Can shipment grew by plus 36% on a global basis with a presence now in 47 markets.Source: earnings call transcript | — | +23.7% |
Operating figures the company stated on at least two of the calls shown, checked against each call's transcript. Click a figure to read the sentence. A dash means it was not stated that quarter.
Inve summary of the company's earnings call; see how call summaries are prepared. Not investment advice.