# Altria Group, Inc. (MO) Q2 2025 Financial Results Summary
**Release Date:** July 30, 2025
Altria Group, Inc. (NYSE: MO) released its financial results for the second quarter and first half of 2025, highlighting key business metrics and adjustments in their full-year guidance. Below is the summary of the financial performance:
### Financial Highlights
– **Net Revenues**
– Q2 2025: $6,102 million, **decreased by 1.7%** vs. Q2 2024 ($6,209 million)
– First Half 2025: $11,361 million, **decreased by 3.6%** vs. First Half 2024 ($11,785 million)
– **Revenues Net of Excise Taxes**
– Q2 2025: $5,290 million, **increased by 0.2%** vs. Q2 2024 ($5,270 million)
– First Half 2025: $9,809 million, **decreased by 1.9%** vs. First Half 2024 ($10,196 million)
– **Adjusted Diluted Earnings Per Share (EPS)**
– Q2 2025: $1.44, **increased by 8.3%** vs. Q2 2024 ($1.33)
– First Half 2025: $2.67, **increased by 7.2%** vs. First Half 2024 ($2.49)
– **Reported Diluted EPS**
– Q2 2025: $1.41, **decreased by 36.2%** vs. Q2 2024 ($2.21)
– First Half 2025: $2.04, **decreased by 40.2%** vs. First Half 2024 ($3.41)
– **Tax Rates**
– Reported tax rate: Q2 2025 at 23.7%, **decreased by 2.0 percentage points** vs. Q2 2024 (25.7%)
– Adjusted tax rate: Q2 2025 at 23.3%, **decreased by 1.0 percentage point** vs. Q2 2024 (24.3%)
### Cash Returns to Shareholders
– **Dividends**
– Q2 2025: $1.7 billion paid in dividends
– First Half 2025: $3.5 billion paid in dividends
– **Share Repurchase Program**
– Q2 2025: 4.7 million shares repurchased at an average price of $58.63, totaling $274 million.
– First Half 2025: 10.4 million shares repurchased at an average price of $57.71, totaling $600 million.
– Remaining under the $1 billion program: $400 million, expected completion by December 31, 2025.
### Segment Performance
– **Smokeable Products**
– Net Revenues: Q2 2025 at $5,357 million, **decreased by 2.5%**, and First Half 2025 at $9,979 million, **decreased by 4.1%** from previous year.
– Reported Operating Companies Income (OCI): Q2 improved by 4.4% to $2,930 million. First Half grew by 2.9% to $5,399 million.
– **Oral Tobacco Products**
– Net Revenues: Q2 2025 at $753 million, **increased by 5.9%**, and First Half 2025 at $1,407 million, **increased by 3.3%** from previous year.
– Reported OCI: Q2 increased over 100% to $498 million, and First Half increased by 75.0% to $931 million.
### Market Trends
– The smokeable products segment reported a **10.2%** decline in domestic cigarette shipment volume for Q2 2025 compared to Q2 2024.
– The oral tobacco products segment saw a **1.0%** decrease in domestic shipment volume in Q2 2025 vs. Q2 2024.
– Cigarette Retail Share:
– Marlboro: 41.0%, **declined by 0.9 percentage points** year-on-year.
– Discount cigarettes: 31.2%, **increased by 1.9 percentage points** against the previous year.
### 2025 Full-Year Guidance
– Adjusted diluted EPS is now projected between $5.35 and $5.45, suggesting **growth of 3.0% to 5.0%** from a base of $5.19 in 2024.
– Continued investments in smoke-free products, management monitoring external conditions, and anticipating the impact of increased tariffs on costs.
### Conclusion
Altria’s financial performance in Q2 2025 reflects a complex environment with pressure on smokeable products offset by strong performance in oral tobacco. The company remains focused on optimizing shareholder value while navigating challenges in the marketplace.
Here’s the extracted information from the press release:
### Table 1 – Consolidated Statements of Earnings (Income Statement)
*Amounts are in millions*
| ALTRIA GROUP, INC. | 2025 | 2024 | % Change |
|---|---|---|---|
| Net revenues | $6,102 | $6,209 | -1.7% |
| Cost of sales1 | $1,440 | ||
| Excise taxes on products1 | $812 | ||
| Gross profit | $3,850 | $3,675 | 4.8% |
| Marketing, administration and research costs | $529 | $528 | |
| Asset impairment and exit costs | $1 | $354 | |
| Operating companies income | $3,320 | $2,793 | 18.9% |
| Amortization of intangibles | $37 | $37 | |
| General corporate expenses | $53 | $223 | |
| Operating income | $3,230 | $2,533 | 27.5% |
| Interest and other debt expense, net | $275 | $261 | |
| Net periodic benefit income, excluding service cost | -$15 | -$25 | |
| (Income) losses from investments in equity securities1 | -$148 | -$119 | |
| Gain on the sale of IQOS System commercialization rights | -$2,700 | ||
| Earnings before income taxes | $3,118 | $5,116 | -39.1% |
| Provision for income taxes | $740 | $1,313 | |
| Net earnings | $2,378 | $3,803 | -37.5% |
| Diluted earnings per share | $1.41 | $2.21 | -36.2% |
| Weighted-average diluted shares outstanding | 1,684 | 1,718 | -2.0% |
### Table 2 – Condensed Consolidated Balance Sheets (Balance Sheet)
*Amounts are in millions*
| ALTRIA GROUP, INC. | June 30, 2025 | December 31, 2024 |
|---|---|---|
| Cash and cash equivalents | $1,287 | $3,127 |
| Inventories | $1,016 | $1,080 |
| Other current assets | $329 | $306 |
| Property, plant and equipment, net | $1,610 | $1,617 |
| Goodwill and other intangible assets, net | $18,972 | $19,918 |
| Investments in equity securities | $8,143 | $8,195 |
| Other long-term assets | $975 | $934 |
| Total assets | $32,332 | $35,177 |
| Current portion of long-term debt | $1,069 | $1,527 |
| Accrued settlement charges | $1,098 | $2,354 |
| Other current liabilities | $4,621 | $4,900 |
| Long-term debt | $23,651 | $23,399 |
| Deferred income taxes | $3,661 | $3,749 |
| Accrued pension costs | $133 | $136 |
| Accrued postretirement health care costs | $935 | $935 |
| Other long-term liabilities | $370 | $365 |
| Total liabilities | $35,538 | $37,365 |
| Total stockholders’ equity (deficit) attributable to Altria | -$3,256 | -$2,238 |
| Noncontrolling interest | $50 | $50 |
| Total liabilities and stockholders’ equity (deficit) | $32,332 | $35,177 |
| Total debt | $24,720 | $24,926 |
