MO · Earnings call · 2026Q3T · Full report

Illicit E-Vapor Market Dynamics

ALTRIA GROUP, INC. · 2026-10-29 · Importance 49 · Surprise 32

Management said the e-vapor market remains predominantly driven by illicit products, which it views as a threat to the long-term harm-reduction opportunity. It estimated approximately 20 million adult vapers at the end of September, down 1 million from a year earlier, primarily because fewer consumers were using illicit products. Management said stepped-up federal, state, and local enforcement appears to be affecting category dynamics and the illicit product supply chain, while emphasizing that enforcement needs to be sustained. The company said it intends to participate in e-vapor in a disciplined, profitable manner and continues to innovate on NJOY ACE, but did not announce a return-to-market date.

Key facts

• Altria estimated approximately 20 million adult vapers at the end of September 2026, down 1 million year over year, primarily because fewer e-vapor consumers were using illicit products.