As Altria (MO) gears up for its Q3 2025 earnings, a couple of factors to notice

Shares of Altria Group, Inc. (NYSE: MO) stayed inexperienced on Thursday. The inventory has gained 8% over the previous three months. The tobacco firm is scheduled to report its earnings outcomes for the third quarter of 2025 on Thursday, October 30, earlier than market open. Right here’s a have a look at what to anticipate from the earnings report:

Income

Analysts are projecting income of $5.31 billion for Altria within the third quarter of 2025. This means a slight dip from income of $5.34 billion reported within the third quarter of 2024. Within the second quarter of 2025, revenues web of excise taxes rose barely year-over-year to $5.3 billion.

Earnings

The consensus goal for earnings per share in Q3 2025 is $1.45, which signifies a rise of practically 5% from the year-ago interval. In Q2 2025, adjusted EPS rose 8% YoY to $1.44.

Factors to notice

Altria is more likely to proceed going through challenges in its smokeable merchandise section on account of continued quantity declines. In Q2, home cigarette cargo quantity decreased 10.2%, primarily on account of an increase in illicit e-vapor merchandise, and discretionary revenue pressures on prospects.

Cargo quantity of Marlboro and different premium manufacturers fell double-digits final quarter, whereas inflationary pressures led to a rise within the low cost section, which noticed quantity development within the double-digits. These developments could have continued within the third quarter.

Inside its e-vapor enterprise, Altria is engaged on a modified NJOY ACE resolution that would assist handle the patent points. Additionally it is constructing a broader portfolio of vapor merchandise that may cater to the altering calls for of customers.

In the meantime the oral tobacco section is performing properly, led by on! nicotine pouches, which grew cargo quantity by 26.5% in Q2, whilst the opposite manufacturers witnessed quantity declines. Whole US oral tobacco class share for on! nicotine pouches grew 0.7 share factors to eight.7% in Q2. This section is more likely to have maintained its momentum within the third quarter.