Altria | 8-K: FY2026 Q2 Revenue Beats Estimate at USD 6.111 B

Revenue: As of FY2026 Q2, the actual value is USD 6.111 B, beating the estimate of USD 5.348 B.

EPS: As of FY2026 Q2, the actual value is USD 1.37, missing the estimate of USD 1.4926.

EBIT: As of FY2026 Q2, the actual value is USD 3.224 B.

Overall Financial Performance - Second Quarter 2026

Gross profit was $3,820 million, a decrease of -0.8% from Q2 2025.
Operating companies income (OCI) was $3,246 million, a decrease of -2.2% compared to Q2 2025.
Operating income was $3,136 million, a decrease of -2.9%.
Net earnings were $2,298 million, a decrease of -3.4% compared to Q2 2025.
The reported effective tax rate was 21.5%, a decrease of -2.2 percentage points.
The adjusted effective tax rate was 23.0%, a decrease of -0.3 percentage points.

Overall Financial Performance - First Half 2026

Gross profit was $7,326 million, an increase of 3.2% compared to the first half of 2025.
Operating companies income (OCI) was $6,278 million, an increase of 20.5% compared to the first half of 2025.
Operating income increased by 21.4% to $6,092 million.
Net earnings were $4,481 million, an increase of 29.7% compared to the first half of 2025.
The reported effective tax rate was 22.6%, a decrease of -5.4 percentage points.
The adjusted effective tax rate was 23.0%, a decrease of -0.4 percentage points.

Shareholder Returns

In the second quarter of 2026, Altria Group, Inc. repurchased 0.8 million shares for a total cost of $55 million at an average price of $65.11 per share.
Through the first half of 2026, 5.3 million shares were repurchased for a total cost of $335 million at an average price of $62.78 per share.
As of June 30, 2026, $665 million remained under the $2 billion share repurchase program, which expires on December 31, 2026.
Dividends paid were $1.8 billion in the second quarter and $3.6 billion in the first half of 2026.

Segment Performance - Smokeable Products Segment

Second Quarter 2026

Net revenues increased by 0.7% to $5,392 million.
Revenues net of excise taxes increased by 2.0% to $4,660 million.
Reported OCI increased by 0.4% to $2,942 million.
Adjusted OCI increased by 2.4% to $3,018 million, with Adjusted OCI margins increasing by 0.3 percentage points to 64.8%.
Domestic cigarette shipment volume decreased by -3.2%.
Marlboro volume decreased by -7.4% and Discount volume increased by 67.3%.
Reported cigar shipment volume increased by 5.0% to 503 million.
Marlboro retail share of the total cigarette category was 39.5%, a decrease of -1.5 share points, while its share of the premium segment was 59.6%, unchanged.
The cigarette industry discount retail share increased by 2.6 share points to 33.8%.

First Half 2026

Net revenues increased by 1.7% to $10,150 million.
Revenues net of excise taxes increased by 3.5% to $8,770 million.
Reported OCI increased by 4.0% to $5,615 million.
Adjusted OCI increased by 4.2% to $5,694 million, with Adjusted OCI margins increasing by 0.4 percentage points to 64.9%.
Domestic cigarette shipment volume decreased by -2.8%.
Marlboro volume decreased by -7.6% and Discount volume increased by 94.4%.
Reported cigar shipment volume increased by 2.6% to 907 million.
Marlboro retail share of the total cigarette category was 39.6%, a decrease of -1.4 share points, and its share of the premium segment was 59.6%, an increase of 0.1 share point.
The cigarette industry discount retail share increased by 2.6 share points to 33.6%.
Contract manufactured export cigarettes shipment volume increased by over 100%.

Segment Performance - Oral Tobacco Products Segment

Second Quarter 2026

Net revenues decreased by -5.3% to $713 million.
Revenues net of excise taxes decreased by -5.2% to $690 million.
Reported OCI decreased by -23.5% to $381 million.
Adjusted OCI decreased by -8.0% to $460 million, with Adjusted OCI margins decreasing by -2.0 percentage points to 66.7%.
Domestic shipment volume decreased by -8.5%, with Copenhagen volume down -10.9% and Skoal volume down -13.7%, while on! volume decreased by -4.2%.
The on! retail share of the oral tobacco category was 8.6%, an increase of 0.3 share points.

First Half 2026

Net revenues decreased by -1.8% to $1,382 million.
Revenues net of excise taxes decreased by -1.5% to $1,337 million.
Reported OCI decreased by -12.4% to $816 million.
Adjusted OCI decreased by -4.2% to $896 million, with Adjusted OCI margins decreasing by -1.9 percentage points to 67.0%.
Domestic shipment volume decreased by -6.0%, with Copenhagen volume down -10.7% and Skoal volume down -12.5%, while on! volume increased by 5.1%.
The on! retail share of the U.S. oral tobacco category was 8.2%, a decrease of -0.3 share points.
The total oral industry volume increased by an estimated 6%.

Outlook / Guidance

Altria Group, Inc. narrowed its 2026 full-year adjusted diluted EPS guidance to a range of $5.61 to $5.72, representing a growth rate of 3.5% to 5.5% from a base of $5.42 in 2025. This guidance anticipates impacts from moderated e-vapor industry growth, increased macroeconomic uncertainty, and investments in contract manufacturing capabilities and its Vision. Capital expenditures for 2026 are expected to be between $375 million and $450 million, an increase from the previous expectation of $300 million to $375 million, primarily due to investments in the USSTC Facilities Consolidation.

Revenue: As of FY2026 Q2, the actual value is USD 6.111 B, beating the estimate of USD 5.348 B.

EPS: As of FY2026 Q2, the actual value is USD 1.37, missing the estimate of USD 1.4926.

EBIT: As of FY2026 Q2, the actual value is USD 3.224 B.

Overall Financial Performance - Second Quarter 2026

Gross profit was $3,820 million, a decrease of -0.8% from Q2 2025.
Operating companies income (OCI) was $3,246 million, a decrease of -2.2% compared to Q2 2025.
Operating income was $3,136 million, a decrease of -2.9%.
Net earnings were $2,298 million, a decrease of -3.4% compared to Q2 2025.
The reported effective tax rate was 21.5%, a decrease of -2.2 percentage points.
The adjusted effective tax rate was 23.0%, a decrease of -0.3 percentage points.

Overall Financial Performance - First Half 2026

Gross profit was $7,326 million, an increase of 3.2% compared to the first half of 2025.
Operating companies income (OCI) was $6,278 million, an increase of 20.5% compared to the first half of 2025.
Operating income increased by 21.4% to $6,092 million.
Net earnings were $4,481 million, an increase of 29.7% compared to the first half of 2025.
The reported effective tax rate was 22.6%, a decrease of -5.4 percentage points.
The adjusted effective tax rate was 23.0%, a decrease of -0.4 percentage points.

Shareholder Returns

In the second quarter of 2026, Altria Group, Inc. repurchased 0.8 million shares for a total cost of $55 million at an average price of $65.11 per share.
Through the first half of 2026, 5.3 million shares were repurchased for a total cost of $335 million at an average price of $62.78 per share.
As of June 30, 2026, $665 million remained under the $2 billion share repurchase program, which expires on December 31, 2026.
Dividends paid were $1.8 billion in the second quarter and $3.6 billion in the first half of 2026.

Segment Performance - Smokeable Products Segment

Second Quarter 2026

Net revenues increased by 0.7% to $5,392 million.
Revenues net of excise taxes increased by 2.0% to $4,660 million.
Reported OCI increased by 0.4% to $2,942 million.
Adjusted OCI increased by 2.4% to $3,018 million, with Adjusted OCI margins increasing by 0.3 percentage points to 64.8%.
Domestic cigarette shipment volume decreased by -3.2%.
Marlboro volume decreased by -7.4% and Discount volume increased by 67.3%.
Reported cigar shipment volume increased by 5.0% to 503 million.
Marlboro retail share of the total cigarette category was 39.5%, a decrease of -1.5 share points, while its share of the premium segment was 59.6%, unchanged.
The cigarette industry discount retail share increased by 2.6 share points to 33.8%.

First Half 2026

Net revenues increased by 1.7% to $10,150 million.
Revenues net of excise taxes increased by 3.5% to $8,770 million.
Reported OCI increased by 4.0% to $5,615 million.
Adjusted OCI increased by 4.2% to $5,694 million, with Adjusted OCI margins increasing by 0.4 percentage points to 64.9%.
Domestic cigarette shipment volume decreased by -2.8%.
Marlboro volume decreased by -7.6% and Discount volume increased by 94.4%.
Reported cigar shipment volume increased by 2.6% to 907 million.
Marlboro retail share of the total cigarette category was 39.6%, a decrease of -1.4 share points, and its share of the premium segment was 59.6%, an increase of 0.1 share point.
The cigarette industry discount retail share increased by 2.6 share points to 33.6%.
Contract manufactured export cigarettes shipment volume increased by over 100%.

Segment Performance - Oral Tobacco Products Segment

Second Quarter 2026

Net revenues decreased by -5.3% to $713 million.
Revenues net of excise taxes decreased by -5.2% to $690 million.
Reported OCI decreased by -23.5% to $381 million.
Adjusted OCI decreased by -8.0% to $460 million, with Adjusted OCI margins decreasing by -2.0 percentage points to 66.7%.
Domestic shipment volume decreased by -8.5%, with Copenhagen volume down -10.9% and Skoal volume down -13.7%, while on! volume decreased by -4.2%.
The on! retail share of the oral tobacco category was 8.6%, an increase of 0.3 share points.

First Half 2026

Net revenues decreased by -1.8% to $1,382 million.
Revenues net of excise taxes decreased by -1.5% to $1,337 million.
Reported OCI decreased by -12.4% to $816 million.
Adjusted OCI decreased by -4.2% to $896 million, with Adjusted OCI margins decreasing by -1.9 percentage points to 67.0%.
Domestic shipment volume decreased by -6.0%, with Copenhagen volume down -10.7% and Skoal volume down -12.5%, while on! volume increased by 5.1%.
The on! retail share of the U.S. oral tobacco category was 8.2%, a decrease of -0.3 share points.
The total oral industry volume increased by an estimated 6%.