Altria Q4 Earnings Exceed Expectations, Announces $1 Billion Buyback
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Zinger Key Points
  • Altria's Q4 earnings met expectations, with sales of $5.97B surpassing estimates.
  • A new $1B share repurchase program was authorized, to complete by Dec 2025.

Altria Group, Inc. MO shares are trading lower Thursday despite quarterly sales of $5.974 billion beating the analyst consensus estimate of $5.046 billion.

"2024 was another pivotal year for Altria, headlined by meaningful progress toward our Vision, strong financial results and significant cash returns to shareholders," said Billy Gifford, Altria's Chief Executive Officer.

The company authorized a new $1 billion share repurchase program, which is expected to complete by December 31, 2025.

See Also: IBM Beats Q4 Estimates, Bets Big On AI With $2 Billion Generative AI Business

NJOY consumables shipments grew 15.3% to 12.8 million units, while NJOY devices rose 22.2% to 1.1 million units. NJOY Retail share of consumables in the U.S. increased by 2.8 share points to 6.4%.

The company exited the quarter with cash and equivalents worth $3.127 billion, and inventories worth $1.08 billion. Altria's long-term debt as of quarter-end totaled $23.399 billion.

Outlook: The company expects to deliver 2025 full-year adjusted diluted EPS in a range of $5.22 to $5.37 versus $5.35 estimate, representing a growth rate of 2% to 5% from a base of $5.12 in 2024. 

"We expect our 2025 full-year adjusted effective tax rate to be in a range of 23% to 24%, our 2025 capital expenditures to be between $175 million and $225 million and our 2025 depreciation and amortization expenses to be approximately $290 million," the company said.

Price Action: Altria is down over 3.2% at last check, trading at roughly $50.96 per share.

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