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Dec 31, 2023

Altria Q4 2023 Earnings Report

Altria reported fourth-quarter and full-year results for 2023 and provided full-year earnings guidance for 2024.

Key Takeaways

Altria's Q4 2023 results showed a decrease in net revenues by 2.2% to $5.975 billion, while adjusted diluted EPS remained unchanged at $1.18. The company made significant progress in enhancing its smoke-free product portfolio. For 2024, Altria expects to deliver a full-year adjusted diluted EPS in the range of $5.00 to $5.15.

Net revenues decreased by 2.2% to $5.975 billion.

Adjusted diluted EPS was unchanged at $1.18.

Completed acquisition of NJOY Holdings, Inc. on June 1, 2023, and focused on strengthening the supply chain and expanding distribution.

Board authorized a new $1 billion share repurchase program expected to be completed by December 31, 2024.

Total Revenue
$5.02B
Previous year: $5.08B
-1.2%
EPS
$1.18
Previous year: $1.18
+0.0%
Marlboro Retail Share
42.2%
Previous year: 42.2%
+0.0%
Gross Profit
$3.46B
Previous year: $3.51B
-1.5%
Cash and Equivalents
$3.69B
Previous year: $4.03B
-8.5%
Free Cash Flow
$3.17B
Previous year: $2.56B
+23.9%
Total Assets
$38.6B
Previous year: $37B
+4.4%

Altria

Altria

Altria Revenue by Segment

Forward Guidance

Altria expects to deliver 2024 full-year adjusted diluted EPS in a range of $5.00 to $5.15, representing a growth rate of 1% to 4% from a base of $4.95 in 2023. Growth is expected to be weighted to the second half of the year.

Positive Outlook

  • Includes the impact of two additional shipping days in 2024.
  • Assumes limited impact from enforcement efforts in the illicit e-vapor market on combustible and e-vapor volumes.
  • Includes planned investments in support of our Vision, such as marketplace activities in support of our smoke-free products.
  • Includes continued smoke-free product research, development and regulatory preparation expenses.
  • Expects 2024 full-year adjusted effective tax rate to be in a range of 24.5% to 25.5%.

Challenges Ahead

  • The external environment remains dynamic.
  • Conditions related to the economy, including the cumulative impact of inflation, could impact results.
  • Adult tobacco consumer dynamics, including purchasing patterns and adoption of smoke-free products, could impact results.
  • Illicit e-vapor enforcement could impact results.
  • Regulatory, litigation and legislative developments could impact results.

Revenue & Expenses

Visualization of income flow from segment revenue to net income