Name: Altria Group Inc. (NYSE:MO) | Income Statement
Creator: Stock Analysis on Net

Income Statement

The income statement presents information on the financial results of a company business activities over a period of time. The income statement communicates how much revenue the company generated during a period and what cost it incurred in connection with generating that revenue.

Download chart

Altria Group Inc., consolidated income statement

US$ in millions

12 months ended:	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Net revenues	24,483)	25,096)	26,013)	26,153)	25,110)
Cost of sales	(6,218)	(6,442)	(7,119)	(7,818)	(7,085)
Excise taxes on products	(3,981)	(4,408)	(4,902)	(5,312)	(5,314)
Gross profit	14,284)	14,246)	13,992)	13,023)	12,711)
Marketing, administration and research costs	(2,737)	(2,327)	(2,432)	(2,154)	(2,226)
Asset impairment and exit costs	—)	—)	—)	4)	(159)
Operating income	11,547)	11,919)	11,560)	10,873)	10,326)
Interest expense	(1,149)	(1,128)	(1,188)	(1,223)	(1,322)
Interest income	160)	70)	26)	14)	42)
Interest and other debt expense, net	(989)	(1,058)	(1,162)	(1,209)	(1,280)
Loss on early extinguishment of debt	—)	—)	(649)	—)	—)
Net periodic benefit income, excluding service cost	127)	184)	202)	77)	37)
Income (losses) from investments in equity securities	243)	(3,641)	(5,979)	(111)	1,725)
Impairment of JUUL equity securities	—)	—)	—)	(2,600)	(8,600)
Loss on Cronos-related financial instruments	—)	(15)	(148)	(140)	(1,442)
Earnings before income taxes	10,928)	7,389)	3,824)	6,890)	766)
(Provision) benefit for income taxes	(2,798)	(1,625)	(1,349)	(2,436)	(2,064)
Net earnings (losses)	8,130)	5,764)	2,475)	4,454)	(1,298)
Net losses attributable to noncontrolling interests	—)	—)	—)	13)	5)
Net earnings (losses) attributable to Altria	8,130)	5,764)	2,475)	4,467)	(1,293)

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).

The financial performance between 2019 and 2023 is characterized by a notable divergence between declining top-line revenues and expanding gross profitability. While net revenues peaked in 2020 at 26,153 million US$ and subsequently declined to 24,483 million US$ by 2023, gross profit consistently trended upward, rising from 12,711 million US$ in 2019 to 14,284 million US$ in 2023.

Revenue and Margin Analysis: A contraction in net revenues is observed starting after 2020, yet the gross profit margin improved. This was driven by a significant reduction in cost of sales, which decreased from a peak of 7,818 million US$ in 2020 to 6,218 million US$ in 2023, and a steady decline in excise taxes on products, which fell from 5,314 million US$ in 2019 to 3,981 million US$ in 2023.
Operating Performance: Operating income demonstrated resilience, growing from 10,326 million US$ in 2019 to a peak of 11,919 million US$ in 2022. A slight correction occurred in 2023, with operating income settling at 11,547 million US$. This stability suggests that the core operational business remained robust despite the decline in overall revenue.
Non-Operating Volatility and Impairments: Net earnings were subject to extreme volatility due to significant non-cash charges and investment losses. A substantial impairment of JUUL equity securities totaling 8,600 million US$ in 2019 and 2,600 million US$ in 2020, combined with losses from Cronos-related financial instruments, resulted in a net loss for 2019. Further volatility was observed in 2021 due to a 5,979 million US$ loss from investments in equity securities.
Debt and Interest Expenses: Interest and other debt expenses, net, show a consistent downward trend, improving from -1,280 million US$ in 2019 to -989 million US$ in 2023. This reduction in financing costs has contributed positively to the earnings before income taxes.
Net Earnings Trajectory: Following the stabilization of investment-related losses and the cessation of major JUUL impairments, net earnings attributable to Altria grew significantly, rising from 2,475 million US$ in 2021 to 8,130 million US$ in 2023. This recovery reflects the strength of the underlying operating income once extraordinary non-operating losses were mitigated.

AI Ask an analyst for more

My previous chats

Add tokens

Hi, I’m an AI-powered financial analyst at Stock Analysis on Net.
Without a user account, I tend to respond rather slowly.

How can I help you?