Philip Morris International Inc. (NYSE:PM)

The financial data reveals several notable trends and fluctuations over the five-year period from 2020 to 2024.

Net Earnings

Net earnings demonstrated an upward trajectory from 2020 through 2021, increasing from $8,592 million to $9,710 million. However, beginning in 2022, there was a gradual decline, falling to $7,503 million by 2024. This trend indicates peak profitability in 2021 followed by a downward adjustment over the subsequent three years.

Unrealized Gains (Losses), Net of Income Taxes

These figures were highly volatile, with significant losses in 2020, 2022, and 2023, reaching as low as -$1,643 million in 2023. There was a positive outlier in 2021 with a small gain of $58 million and a reduction in losses to -$122 million in 2024. This pattern suggests exposure to fluctuating market or valuation conditions impacting unrealized gains and losses.

(Gains) Losses Transferred to Earnings, Net of Income Taxes

This item presents missing data for the first three years, with values appearing only in 2023 and 2024 at $12 million and $171 million, respectively. The introduction of positive figures in recent years may reflect changes in accounting recognition or realized gains/losses impacting earnings.

Change in Currency Translation Adjustments

Currency translation adjustments closely mirror the unrealized gains/losses pattern, showing large negative impacts in 2020, 2022, and 2023, with losses exceeding -$1,600 million in 2023. The switch to a positive adjustment of $49 million in 2024 suggests a partial reversal or stabilization of foreign exchange impacts.

Net Gains (Losses) and Prior Service Costs, Net of Income Taxes

These gains and losses fluctuated substantially. After improving to a gain of $1,055 million in 2021 and maintaining a positive $843 million in 2022, there was a sharp reversal to a loss of -$861 million in 2023 and near neutral in 2024. This volatility may be related to pension or benefit obligation adjustments.

Amortization of Net Losses, Prior Service Costs and Net Transition Costs

Amortization expenses declined over the period, starting at $299 million in 2020, peaking slightly in 2021 to $323 million, then decreasing to $87 million in 2023 before a modest increase to $135 million in 2024. This pattern indicates a gradual reduction in amortization burden over time.

Change in Net Loss and Prior Service Cost

This item showed a significant positive change in 2021 and 2022, with increases of $1,378 million and $1,060 million respectively, followed by a sharp negative swing to -$774 million in 2023. In 2024, values returned to a positive figure of $125 million, highlighting substantial fluctuations in pension-related costs.

Gains (Losses) Recognized, Net of Income Taxes

Recognized gains improved markedly over time, from a small loss of -$68 million in 2020 to gains of $439 million by 2024, indicating an increasing trend of recognizing positive income items.

(Gains) Losses Transferred to Earnings, Net of Income Taxes

This item consistently demonstrated negative values, suggesting recurring losses or reversals transferred to earnings. The magnitude increased in negative terms from -$20 million in 2020 to approximately -$213 million in 2024, pointing to a growing transfer of losses.

Change in Fair Value of Derivatives Accounted for as Hedges

The fair value changes fluctuated throughout the years without a clear trend: starting with a -$88 million loss in 2020, an increase to $262 million in 2022, a loss of -$25 million in 2023, and a rebound to $226 million gain in 2024. This indicates volatility in derivative instruments' valuation.

Other Comprehensive Earnings (Losses), Net of Income Taxes

Other comprehensive earnings/losses exhibited significant instability, with a large negative balance in 2020 (-$1,780 million), a strong positive in 2021 ($1,525 million), near-neutral in 2022, and a substantial decline to -$2,430 million in 2023. There was a recovery to positive $400 million in 2024. These shifts imply considerable variability in components outside net income affecting overall equity.

Comprehensive Earnings

Comprehensive earnings peaked in 2021 at $11,235 million, followed by a decline in 2022 to $9,581 million and a sharp drop to $5,838 million in 2023. In 2024, there was a partial recovery to $7,903 million. This highlights the influence of other comprehensive income components alongside net earnings.

Comprehensive Earnings Attributable to Noncontrolling Interests

These values were consistently negative, representing losses attributable to noncontrolling interests, with reduced magnitude in recent years from -$574 million in 2020 to about -$345 million in 2024, indicating a decrease in losses shared with minority stakeholders.

Comprehensive Earnings Attributable to PMI

The comprehensive earnings available to the company showed similar trends as the total comprehensive earnings, rising to $10,713 million in 2021, declining to $5,557 million in 2023, and recovering to $7,558 million in 2024. This pattern reflects the core entity’s earnings volatility consistent with broader comprehensive income fluctuations.