Retail / news
Philip Morris Travel Retail Unit Lifts Smoke-Free Growth as Q3 Revenue Reaches $11.4 Billion
Philip Morris International's global travel retail business helped drive smoke-free growth in the third quarter and first nine months of 2026, with IQOS heated tobacco share at duty-free airports rising 1.6 percentage points to 19.6%. Group net revenues for the quarter climbed 5.5% to US$11.4 billion.
At airport duty-free locations stocking IQOS, the company's heated tobacco unit market share came in at 19.6%, up from the level recorded a year earlier. The channel also delivered encouraging early results for ZYN nicotine pouches and the VEEV device range.
PMI booked third-quarter net revenues of US$11.4 billion, a 5.5% increase year on year, or 7.1% on an organic basis. The company attributed the gain to growth across its business lines.
Smoke-free products generated more than 40% of total quarterly net revenues and around 42% across the first nine months of 2026. In more than 30 markets, smoke-free items now account for over half of net revenues.
Group CEO Jacek Olczak described the period as another strong quarter, pointing to rising total volumes, double-digit organic operating income growth and margin expansion.
Global travel retail sits alongside other markets contributing to the smoke-free momentum, with the duty-free airport channel serving as a visible showcase for IQOS, ZYN and VEEV as the company broadens its portfolio beyond combustible cigarettes.