Philip Morris International Inc. (NYSE:PM)

The analysis of the quarterly financial ratios reveals several notable trends over the observed periods. The net fixed asset turnover ratio exhibited generally stable behavior with some fluctuations. Starting at 4.89 in the first quarter of 2021, it increased steadily to peak at 5.65 in the third quarter of 2022, suggesting improved efficiency in utilizing fixed assets for revenue generation during this time frame. Subsequently, there was a pronounced decline to 4.73 in the fourth quarter of 2022, indicating a potential reduction in operational efficiency or changes in asset base utilization. Following this dip, the ratio demonstrated a pattern of moderate recovery with minor fluctuations, ending near 4.93 in the third quarter of 2025, which is slightly above the initial level observed in 2021.

The total asset turnover ratio similarly showed a consistent, albeit less volatile, trend. Initially, it was 0.73 in the first quarter of 2021 and gradually increased, reaching 0.78 by the third quarter of 2022. This suggests a gradual improvement in the company's ability to generate sales from its total assets. However, a sharp decrease occurred in the fourth quarter of 2022, dropping to 0.51. This significant fall mirrors the decline seen in net fixed asset turnover during the same period, potentially indicating a broader operational or asset utilization challenge. After this drop, total asset turnover recovered slowly, stabilizing around the mid-0.50s range and gradually improving towards 0.60 by the third quarter of 2025. Despite this recovery, it did not regain the higher levels observed before the decline in late 2022.

The equity turnover ratio was not reported across all periods, which precludes any meaningful analysis of trends or insights from this particular metric within the provided timeframe.

Overall, the data reflects a period of operational performance improvement in asset use efficiency from early 2021 through mid-2022, followed by a notable downturn in late 2022, and a gradual recovery phase thereafter. Monitoring should continue to assess whether these ratios stabilize at higher levels or if further fluctuations occur, potentially signaling changes in the company’s asset management or operational environment.

Net Revenues

The net revenues exhibit a generally upward trend over the analyzed periods. Starting from approximately $7.6 billion in the first quarter of 2021, revenues increased to over $10.8 billion by the third quarter of 2025. Notable fluctuations occur within individual years, but the overall trajectory reflects growth. Periods such as the second and third quarters of 2023 and 2024 show marked revenue increases, indicating potential seasonality or successful strategic initiatives. Some quarters reveal slight dips, for instance, the fourth quarter of 2024, yet these are followed by significant recoveries, reinforcing the positive momentum in revenue generation.

Property, Plant, and Equipment, Less Accumulated Depreciation

The net book value of property, plant, and equipment demonstrates variability without a clear linear trend. Values remained relatively stable around $6 billion during much of 2021 and part of 2022, but a notable decrease to approximately $5.6 billion occurred by the third quarter of 2022. Subsequent periods show recovery and growth, reaching a peak exceeding $8 billion in the third quarter of 2025. This pattern may suggest cycles of capital expenditures and asset disposals or depreciations followed by reinvestments, reflecting active asset management and possible capacity expansion efforts.

Net Fixed Asset Turnover Ratio

The net fixed asset turnover ratio fluctuates around an average level of about 5.0, indicating a fairly consistent efficiency in utilizing fixed assets to generate revenues. The ratio peaks at approximately 5.65 in the third quarter of 2022, suggesting a period of improved asset utilization. Conversely, dips below 4.7 occur sporadically, notably in the fourth quarter of 2022 and the fourth quarter of 2023, reflecting times of either lower revenue generation relative to asset base or increased asset investment without immediate revenue impact. Despite these fluctuations, no significant long-term declining or improving trend is evident, implying stable operational efficiency concerning fixed assets over the analyzed timeframe.

The analysis of the quarterly financial data indicates several notable trends across key financial metrics. Net revenues demonstrate a general upward trajectory, with fluctuations observed within individual quarters. Starting from approximately 7,585 million US dollars in the first quarter of 2021, net revenues experienced moderate growth throughout 2021 and 2022, reaching 8,152 million US dollars by the end of 2022. A more pronounced increase is visible in 2023 and 2024, with revenues peaking around 10,845 million US dollars by the third quarter of 2025, despite some short-term decreases occurring sporadically throughout these periods.

Total assets show a relatively stable pattern until the end of 2021, maintaining values around the 40,000 million US dollars range, with slight rises and falls. A significant increase is observed in the fourth quarter of 2022, where total assets jump sharply from approximately 40,717 million to 61,681 million US dollars, suggesting possible asset acquisitions or revaluations during that period. Following this spike, total assets continue to grow gradually, reaching a high of approximately 68,506 million US dollars in late 2024 before experiencing a slight reduction toward the middle of 2025.

The total asset turnover ratio reveals an inverse pattern relative to the changes in total assets, indicating efficiency in asset utilization. This ratio remained relatively consistent, between 0.73 and 0.78, through the end of 2021 and most of 2022. However, with the significant increase in total assets noted at the end of 2022, the turnover ratio dropped markedly to around 0.51 and remained at lower levels throughout 2023 and 2024. A gradual recovery in asset turnover is apparent starting in 2025, with values increasing again to approximately 0.60 by the third quarter. This suggests that the company is slowly improving its efficiency in generating revenues relative to its asset base after the asset increase.

In summary, the company demonstrates steady revenue growth over the analyzed period, punctuated by some fluctuations. The substantial rise in total assets in late 2022 marks a pivotal change in the balance sheet, which temporarily affected asset turnover efficiency. The gradual improvement in turnover ratio in 2025 signals a positive trend in asset utilization following this adjustment. These patterns could reflect strategic investments or structural changes impacting both asset composition and operational performance.

Net Revenues

Exhibited consistent growth with periodic fluctuations; increased from 7,585 million US dollars in early 2021 to over 10,800 million US dollars by late 2025.

Total Assets

Relatively stable near 40,000 million US dollars until late 2022, followed by a sharp increase to over 60,000 million US dollars; continued gradual growth with minor decreases into 2025.

Total Asset Turnover

Maintained around 0.73–0.78 until the asset increase; declined to roughly 0.51 post-increase, then steadily improved to 0.60 by late 2025, indicating recovery in asset utilization efficiency.

Net Revenues

Net revenues demonstrate a generally upward trend over the observed periods. Starting from approximately 7,585 million US dollars in March 2021, the revenues exhibit some fluctuations but increase notably toward the end of the timeline. By September 2025, net revenues reach 10,845 million US dollars, marking a significant growth from the initial period. Quarterly data show seasonal variations with occasional dips but overall steady growth, indicating increasing sales or successful pricing strategies over the examined periods.

Total PMI Stockholders’ Deficit

The total stockholders’ deficit shows persistent negative values throughout the periods, indicating a continuous equity deficit situation. Initially, the deficit stands at around -11,548 million US dollars in March 2021 and fluctuates over time with no clear decreasing trend. There are periods of partial improvement, such as between December 2021 and June 2022, yet the deficit deepens again towards the end of the data, reaching around -10,914 million US dollars by September 2025. This suggests ongoing challenges in capital structure or accumulated losses impacting shareholders’ equity.

Equity Turnover

No data is available for equity turnover across the examined quarters, preventing analysis of asset utilization efficiency in generating sales or revenues.