By Timothy S. Donahue

Top Takeaways:

• Earnings growth: Adjusted EPS rose 7.3% to $1.32 in the First Quarter of 2026
• Combustibles strength: Pricing and Marlboro performance drove smokeable gains
• Category shift: Oral nicotine pouches grow while cigarette volumes continue to decline

Altria Group, Inc. reported first-quarter 2026 adjusted diluted earnings per share of $1.32, up 7.3% year over year, as higher pricing in its smokeable segment offset ongoing volume declines.

“We delivered a strong start to the year, growing adjusted diluted EPS by 7.3% in the first quarter,” CEO Billy Gifford said. “Our highly cash-generative businesses supported significant returns to shareholders through dividends and share repurchases, while we continued to invest in support of our Vision.”

Net revenues increased 3.2% to $5.4 billion, while revenues, net of excise taxes, rose 5.3% to $4.8 billion. “Our smokeable products segment generated strong income growth. Marlboro strengthened its position in the premium segment, and PM USA continued to execute its total portfolio strategy with discipline,” Gifford said.

Domestic cigarette shipment volume declined 2.4%, or about 4% after adjusting for trade inventory movements, reflecting ongoing industry contraction and pressure on adult nicotine consumers.

For oral tobacco, Altria reported modest revenue growth alongside mixed volume trends. “In the oral tobacco products segment, on! performed well in a highly competitive marketplace and Helix expanded on! PLUS nationwide,” Gifford said.

Shipment volume for nicotine pouches increased 17.6%, even as total oral tobacco volumes declined 3.1% and competitive pressures weighed on category share.

The company returned $1.8 billion in dividends and repurchased $280 million of shares during the quarter. Altria reaffirmed its 2026 adjusted diluted EPS guidance of $5.56 to $5.72, the company announced today.

“We reaffirm our expectation to deliver 2026 full-year adjusted diluted EPS in a range of $5.56 to $5.72,” Gifford said, noting the outlook reflects “moderated e-vapor industry growth” and “increased macroeconomic uncertainty facing adult nicotine consumers.”

The company said its guidance assumes continued investment in manufacturing and product development and assumes the absence of NJOY ACE from the market this year.

As the nicotine market continues to shift, Altria’s first-quarter results highlight a familiar trend: resilient earnings, driven by pricing and combustibles, set against declining volumes and intensifying competition in reduced-risk categories.