Market Value Added (MVA)
Market value added (MVA) is the difference between a firm fair value and its invested capital. MVA is a measure of the value a company has created in excess of the resources already committed to the enterprise.
MVA
Philip Morris International Inc., MVA calculation
US$ in millions
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).
1 Fair value of debt. See details »
2 Invested capital. See details »
| Item | Description | The company |
|---|---|---|
| MVA | Philip Morris International Inc. market (fair) value less invested capital. | Philip Morris International Inc. MVA decreased from 2021 to 2022 and from 2022 to 2023. |
MVA Spread Ratio
Philip Morris International Inc., MVA spread ratio calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Market value added (MVA)1 | 136,143) | 155,228) | 170,543) | 139,735) | 140,903) | |
| Invested capital2 | 51,440) | 47,466) | 29,268) | 31,958) | 31,284) | |
| Performance Ratio | ||||||
| MVA spread ratio3 | 264.66% | 327.03% | 582.70% | 437.24% | 450.40% | |
| Benchmarks | ||||||
| MVA Spread Ratio, Competitors4 | ||||||
| Altria Group Inc. | 237.03% | 268.30% | 269.92% | 179.16% | 157.62% | |
| Coca-Cola Co. | 258.44% | 267.55% | 289.24% | 244.21% | 297.74% | |
| PepsiCo Inc. | 265.48% | 296.11% | 297.67% | 237.73% | 302.36% | |
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).
1 MVA. See details »
2 Invested capital. See details »
3 2023 Calculation
MVA spread ratio = 100 × MVA ÷ Invested capital
= 100 × 136,143 ÷ 51,440 = 264.66%
4 Click competitor name to see calculations.
| Performance ratio | Description | The company |
|---|---|---|
| MVA spread ratio | The ratio of MVA to invested capital. It measures the efficiency with which investors’ capital investment has translated into a franchise value and into an aggregate net present value premium. | Philip Morris International Inc. MVA spread ratio deteriorated from 2021 to 2022 and from 2022 to 2023. |
MVA Margin
Philip Morris International Inc., MVA margin calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Market value added (MVA)1 | 136,143) | 155,228) | 170,543) | 139,735) | 140,903) | |
| Net revenues | 35,174) | 31,762) | 31,405) | 28,694) | 29,805) | |
| Performance Ratio | ||||||
| MVA margin2 | 387.06% | 488.72% | 543.05% | 486.98% | 472.75% | |
| Benchmarks | ||||||
| MVA Margin, Competitors3 | ||||||
| Altria Group Inc. | 277.34% | 307.92% | 347.85% | 284.28% | 267.55% | |
| Coca-Cola Co. | 471.88% | 497.46% | 600.94% | 559.78% | 589.26% | |
| PepsiCo Inc. | 217.79% | 238.05% | 261.55% | 236.69% | 267.35% | |
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).
1 MVA. See details »
2 2023 Calculation
MVA margin = 100 × MVA ÷ Net revenues
= 100 × 136,143 ÷ 35,174 = 387.06%
3 Click competitor name to see calculations.
| Performance ratio | Description | The company |
|---|---|---|
| MVA margin | The ratio of MVA to sales. It measures how efficiently and prodigiously sales translate into franchise value. | Philip Morris International Inc. MVA margin ratio deteriorated from 2021 to 2022 and from 2022 to 2023. |