Philip Morris International reported a 6.8% increase in net revenues year-over-year for the fourth quarter of 2025, with a strong earnings forecast for 2026 projecting adjusted earnings per share of $8.38 to $8.53. The company continues to pivot towards the smoke-free segment, generating 41.5% of its total revenue from these products. With a gross margin of 66% and a trailing 12-month free cash flow margin of 26.2%, Philip Morris has outperformed the Zacks Tobacco industry, further solidifying its market position.