$PM

Philip Morris International Inc.

CIK:0001413329|SEC Filings

Condensed Consolidated Statements of Earnings - USD ($)
$ in Millions

3 Months Ended

6 Months Ended

Jun. 30, 2026

Jun. 30, 2025

Jun. 30, 2026

Jun. 30, 2025

Income Statement [Abstract]

Net revenues (Note 13)

$ 11,192

^[1],[2]

$ 10,140

^[1],[2]

$ 21,338

^[3],[4]

$ 19,441

^[3],[4]

Cost of sales (Note 1)

3,533

3,274

6,774

6,305

Gross profit

7,659

6,866

14,564

13,136

Marketing, administration and research costs (Notes 1 & 15)

2,981

2,988

5,838

5,416

Impairment of goodwill (Note 5)

Corporate expenses and other (Note 1)

148

125

303

423

Operating income

4,530

3,712

8,423

7,256

Interest expense, net

243

277

480

518

Pension and other employee benefit (income) costs (Note 4)

(5)

(10)

Earnings before income taxes

4,292

3,424

7,953

6,715

Provision for income taxes

955

652

1,631

1,311

511

Equity investments and securities (income)/loss, net (Note 13)

(159)

(376)

244

(581)

Net earnings

2,985

3,148

5,567

5,985

Net earnings attributable to noncontrolling interests

168

109

312

256

Net earnings attributable to PMI

$ 2,817

$ 3,039

$ 5,255

$ 5,729

Per share data (Note 7):

Basic earnings per share (in dollars per share)

$ 1.80

$ 1.95

$ 3.36

$ 3.67

Diluted earnings per share (in dollars per share)

$ 1.80

$ 1.95

$ 3.36

$ 3.67

[1]	Includes net revenues from related parties of $1,255 million and $1,143 million for the three months ended June 30, 2026 and 2025, respectively.
[2]	Net revenues are shown net of excise tax on products. For the three months ended June 30, 2026 and 2025, excise tax on products was $14,973 million and $13,272 million, respectively.
[3]	Includes net revenues from related parties of $2,440 million and $2,080 million for the six months ended June 30, 2026 and 2025, respectively.
[4]	Net revenues are shown net of excise tax on products. For the six months ended June 30, 2026 and 2025, excise tax on products was $27,826 million and $25,274 million, respectively.

Condensed Consolidated Statements of Cash Flows - USD ($)
$ in Millions

6 Months Ended

Jun. 30, 2026

Jun. 30, 2025

CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES

Net earnings

$ 5,567

$ 5,985

Adjustments to reconcile net earnings to operating cash flows:

Depreciation and amortization expense

1,023

970

Impairment of goodwill (Note 5)

511

Deferred income tax (benefit) provision

(10)

(274)

Restructuring charges, net of cash paid (Note 15)

(15)

239

Cash effects of changes, net of the effects from acquired and divested companies:

Receivables, net

(690)

(780)

Inventories

(80)

(419)

Accounts payable

(284)

(161)

Accrued liabilities and other current assets

(1,081)

(1,972)

Income taxes

(200)

(611)

Pension plan contributions (Note 4)

(67)

(62)

Other

419

106

Net cash provided by (used in) operating activities

5,093

3,062

CASH PROVIDED BY (USED IN) INVESTING ACTIVITIES

Capital expenditures

(733)

(760)

Proceeds from sale of businesses, net of cash disposed (Note 2)

Purchases of debt securities

(5)

(105)

Sales and maturities of debt securities

193

Equity investments

(45)

(35)

Collateral posted/settlements for derivatives, (paid)/returned (Note 6)

543

(1,953)

Other

(17)

Net cash provided by (used in) investing activities

(2,750)

Short-term borrowing activity by original maturity:

Net issuances (repayments) - maturities of 90 days or less

2,525

2,294

Issuances - maturities longer than 90 days

1,659

170

Repayments - maturities longer than 90 days

(994)

(70)

Long-term debt proceeds

1,478

3,596

Long-term debt repaid

(4,021)

(1,566)

Dividends paid

(4,604)

(4,222)

Collateral received/settlements for derivatives, received/(returned)

404

(824)

Noncontrolling interests activity and Other

(326)

(268)

Net cash provided by (used in) financing activities

(3,879)

(890)

Effect of exchange rate changes on cash, cash equivalents and restricted cash

(105)

500

Cash, cash equivalents and restricted cash:

Increase (Decrease)

^[1]

1,132

(78)

Balance at beginning of period

^[1]

4,892

4,254

Balance at end of period

^[1]

$ 6,024

$ 4,176

[1]

The amounts for cash, cash equivalents and restricted cash shown above include restricted cash of $25 million and $38 million as of June 30, 2026 and 2025, respectively, and $20 million and $38 million as of December 31, 2025 and 2024, respectively, which were included in other current assets in the condensed consolidated balance sheets.

Condensed Consolidated Balance Sheets - USD ($)
$ in Millions

Jun. 30, 2026

Dec. 31, 2025

ASSETS

Cash and cash equivalents

$ 5,999

$ 4,872

Trade receivables (less allowances of $64 in 2026 and $23 in 2025)

^[1]

5,179

4,572

Other receivables (less allowances of $24 in 2026 and $24 in 2025)

1,295

1,238

Inventories:

Leaf tobacco

2,639

2,425

Other raw materials

2,629

2,223

Finished product

6,168

6,830

Total inventory, net

11,436

11,478

Other current assets

2,097

2,203

Total current assets

26,006

24,363

Property, plant and equipment, at cost

19,556

19,616

Less: accumulated depreciation

11,243

11,219

Total property, plant and equipment, net

8,313

8,397

Goodwill (Note 5)

16,917

17,264

Other intangible assets, net (Note 5)

10,178

10,884

Equity investments (Note 13)

2,130

2,891

Deferred income taxes

1,137

1,247

Other assets (less allowances of $11 in 2026 and $12 in 2025)

3,590

4,139

TOTAL ASSETS

68,271

69,185

LIABILITIES

Short-term borrowings (Note 11)

3,341

168

Current portion of long-term debt (Note 11)

3,406

3,533

Accounts payable

3,919

4,407

Accrued liabilities:

Marketing and selling

1,348

1,354

Taxes, except income taxes

6,572

7,555

Employment costs

1,293

1,545

Dividends payable

2,314

2,312

Other

3,273

3,298

Income taxes

1,076

1,255

Total current liabilities

26,542

25,427

Long-term debt (Note 11)

42,366

45,134

Deferred income taxes

2,057

2,065

Employment costs

2,249

2,406

Other liabilities

1,714

2,181

Total liabilities

74,928

77,213

Contingencies (Note 9)

STOCKHOLDERS’ (DEFICIT) EQUITY

Common stock, no par value (2,109,316,331 shares issued in 2026 and 2025)

Additional paid-in capital

2,477

2,453

Earnings reinvested in the business

36,055

35,400

Accumulated other comprehensive losses (Note 12)

(11,656)

(12,296)

Total stockholders' equity before treasury stock

26,876

25,557

Less: cost of repurchased stock (550,713,450 and 552,659,642 shares in 2026 and 2025, respectively)

35,459

35,551

Total PMI stockholders’ deficit

(8,583)

(9,994)

Noncontrolling interests

1,926

1,966

Total stockholders’ deficit

(6,657)

(8,028)

TOTAL LIABILITIES AND STOCKHOLDERS’ (DEFICIT) EQUITY

$ 68,271

$ 69,185

[1]	Includes trade receivables from related parties of $1,043 million and $839 million as of June 30, 2026, and December 31, 2025, respectively. For further details, see Note 13. Related Parties - Equity Investments and Other.