PM Q3 2018 Earnings Report — Philip Morris International Inc. Revenue & Financial Results | Market Cap Arena

Philip Morris International Inc.PM

Q3 2018 Earnings

Reported October 25, 2018

Quarter Comparison

Revenue

Operating Income

Gross Margin

Net Margin

EPS (Diluted)

Free Cash Flow

Metric	Q3 2018	Q2 2018	Q3 2017	QoQ Change	YoY Change
Revenue	$7.5B	$7.7B	$7.5B	-2.9%	0.4%
Op. Income	$3.1B	$3.1B	$3.1B	2.0%	2.0%
Gross Margin	65.1%	64.5%	63.4%	0.6pp	1.7pp
Net Margin	29.9%	28.4%	26.4%	1.5pp	3.6pp
EPS (Diluted)	$1.44	$1.41	$1.27	2.1%	13.4%
Free Cash Flow	$1.4B	$3.6B	$1.5B	-62.2%	-8.8%

Revenue Flow

Item	Amount
REVENUE	$7.5B
Cost of Revenue	$2.6B
GROSS PROFIT	$4.9B
R&D Expenses	$0
Selling & Marketing	$0
General & Administrative	$1.7B
SG&A Expenses	$1.7B
Other Expenses	$13M
Operating Expenses	$1.7B
Cost & Expenses	$4.3B
OPERATING INCOME	$3.1B
Interest Income	$0
Interest Expense	$145M
Other Income/Expenses	-$124M
INCOME BEFORE TAX	$3.0B
Income Tax Expense	$691M
Net Income from Continuing Ops	$2.3B
Net Income from Discontinued Ops	$0
Other Adjustments	$0
NET INCOME	$2.2B
Net Income Deductions	$0
BOTTOM LINE NET INCOME	$2.2B
D&A	$246M
EBIT	$3.1B
EBITDA	$3.4B
EPS	$1
EPS Diluted	$1

Income Statement

Item	Amount
REVENUE	$7.5B
Cost of Revenue	$2.6B
GROSS PROFIT	$4.9B
R&D Expenses	$0
Selling & Marketing	$0
General & Administrative	$1.7B
SG&A Expenses	$1.7B
Other Expenses	$13M
Operating Expenses	$1.7B
Cost & Expenses	$4.3B
OPERATING INCOME	$3.1B
Interest Income	$0
Interest Expense	$145M
Other Income/Expenses	-$124M
INCOME BEFORE TAX	$3.0B
Income Tax Expense	$691M
Net Income from Continuing Ops	$2.3B
Net Income from Discontinued Ops	$0
Other Adjustments	$0
NET INCOME	$2.2B
Net Income Deductions	$0
BOTTOM LINE NET INCOME	$2.2B
D&A	$246M
EBIT	$3.1B
EBITDA	$3.4B
EPS	$1
EPS Diluted	$1

Cash Flow Statement

Item	Amount
Net Income	$2.2B
Depreciation & Amortization	$246M
Stock-Based Compensation	$13M
Deferred Income Tax	$3M
Other Non-Cash Items	$81M
Change in Working Capital	-$907M
OPERATING CASH FLOW	$1.7B
Capital Expenditure	-$328M
Acquisitions (Net)	-$11M
Purchases of Investments	$0
Sales/Maturities of Investments	$0
Other Investing Activities	-$142M
NET CASH FROM INVESTING	-$481M
Net Debt Issuance	-$44M
Common Stock Repurchased	$0
Common Dividends Paid	-$1.8B
Other Financing Activities	-$67M
NET CASH FROM FINANCING	-$1.9B
FREE CASH FLOW	$1.4B
Net Change in Cash	-$709M

Balance Sheet

Item	Amount
Cash & Equivalents	$5.9B
Short-Term Investments	$0
Net Receivables	$3.5B
Inventory	$8.4B
Other Current Assets	$696M
TOTAL CURRENT ASSETS	$18.5B
PP&E (Net)	$7.1B
Goodwill	$7.3B
Intangible Assets	$2.3B
Long-Term Investments	$1.4B
Tax Assets	$990M
Other Non-Current Assets	$1.8B
TOTAL NON-CURRENT ASSETS	$20.8B
TOTAL ASSETS	$39.4B
Account Payables	$1.7B
Short-Term Debt	$3.6B
Deferred Revenue	$0
Other Current Liabilities	$8.9B
TOTAL CURRENT LIABILITIES	$15.6B
Long-Term Debt	$28.2B
Deferred Revenue NC	$0
Deferred Tax Liabilities	$809M
Other Non-Current Liabilities	$4.7B
TOTAL NON-CURRENT LIABILITIES	$33.7B
TOTAL LIABILITIES	$49.3B
Common Stock	$0
Additional Paid-In Capital	$1.9B
Retained Earnings	$30.9B
Treasury Stock	-$35.3B
Accum. Other Comp. Income	-$9.2B
Other Equity	$0
TOTAL STOCKHOLDERS' EQUITY	-$11.7B
Minority Interest	$1.8B
TOTAL EQUITY	-$9.9B
TOTAL LIABILITIES & EQUITY	$39.4B
Total Debt	$31.8B
Net Debt	$25.9B