Philip Morris International Inc. reported third-quarter 2026 net revenue of $11.4 billion, up 5.5%, while an investment valuation adjustment weighed on reported earnings per share despite higher sales.
Reported diluted earnings per share fell 4.9% from a year earlier to $2.12. Adjusted diluted earnings per share rose 5.4% to $2.36, the company said.
The company attributed the reported EPS decline chiefly to a noncash remeasurement of its equity security investments. Gross profit rose 6.7%, and operating income increased 14.1%.
The company furnished its earnings release with a Form 8-K filed Oct. 21 with the Securities and Exchange Commission.
Pricing gains in international combustibles and U.S. operations helped lift organic revenue 7.1%.
Smoke-free products generated more than two-fifths of quarterly net revenue, the company said. The company’s smoke-free portfolio had a presence in 110 markets.
For 2026, the company updated its adjusted diluted earnings forecast to $8.29 to $8.44 per share. That range includes a favorable currency effect of 18 cents per share, compared with 24 cents in its previous outlook. It also forecast organic revenue growth of 5% to 7% for the year.
Philip Morris International said energy-related inflation linked to the Middle East conflict had raised costs. In the fourth quarter, it expects international smoke-free revenue to grow, while energy-related input prices have a slightly greater effect on costs.
