Philip Morris International Inc. (PMI) has released its first quarter results for 2023 with net revenues up 3.5 per cent compared with the same period last year, according to PMI’s press release.

“Our business performed strongly in the first quarter, with adjusted diluted EPS of USD 1.38 exceeding our expectations,” said Jacek Olczak, Chief Executive Officer.
“Net revenues increased by 3.5 per cent on a reported basis and by 3.2 per cent organically, reflecting accelerated combustible tobacco pricing and robust underlying heated tobacco unit shipment volume growth before the impact of inventory movements.” PMI reported net revenues of USD 8 billion in the first quarter of 2023. The operating income decreased 17.2 per cent to USD 2.7 billion.
In the cigarette and heated tobacco sector, PMI sold a total of 171 billion units worldwide during the first quarter of 2023, which was 1.1 per cent less than in the same period in 2022. This reflects a 3.1 per cent decline in cigarette shipments (mainly due to the Europe, SSEA, CIS & MEA, and EA, AU & PMI DF Regions), partly offset by a 10.4 per cent increase in HTU shipments to 27.4 billion (primarily driven by the EA, AU & PMI DF Region). Cigarette shipment volume for Marlboro decreased by 2.4 per cent to 55.9 billion units.
PMI’s total oral product shipment volume increased by +100 per cent, driven by the Swedish Match acquisition. On a pro forma basis, it increased by 9.7 per cent, primarily reflecting growth in nicotine pouches (particularly in the US and Scandinavia), partly offset by a decline for snus (mainly in Scandinavia). “We continue to successfully integrate Swedish Match, which delivered impressive – and accretive – results, accelerating our transition to a majority smoke-free company. The outstanding performance of ZYN in the U.S. complemented the positive momentum of IQOS, including the excellent traction of ILUMA across launch markets, and reinforces our position as a truly global smoke-free champion.”
“With our encouraging start to the year, we are reaffirming our full-year 2023 forecast for organic net revenue growth of 7 per cent to 8.5 per cent and currency-neutral adjusted diluted EPS growth of 7 per cent to 9 per cent.”