PM · Earnings call · 2026Q3T · Full report

International Smoke-Free Price Mix

Philip Morris International Inc. · 2026-10-21 · Importance 18 · Surprise 14

The analyst cited international smoke-free implied price mix of about 3.5% in the first half and about 70 basis points in the third quarter. The CFO said third-quarter IQOS revenue growth was affected by shipment comparisons, category mix within smoke-free, and the timing of certain IQOS pricing decisions. Total smoke-free product shipment volume grew 2.7% in the quarter, below growth in previous quarters, while the CFO said other smoke-free categories had excellent growth.

Key facts

• Year-to-date pricing added 6.2 percentage points of growth, including combustible pricing of 9.1% and low-single-digit IQOS HTU pricing.
• Increasing international smoke-free contribution added 1.5 percentage points to year-to-date growth.
• Combustible pricing was 8.9% in Q3 and 9.1% year-to-date, with contributions including Turkey, the Philippines, Indonesia, and Poland.
• PMI said category mix within smoke-free and the timing of certain IQOS pricing decisions affected quarterly IQOS revenue growth.