Stock Analysis on Net
Stock Analysis on Net

Philip Morris International Inc. (NYSE:PM)

DuPont Analysis: Disaggregation of ROE, ROA, and Net Profit Margin 
Quarterly Data

Microsoft Excel

Decomposing ROE involves expressing net income divided by shareholders’ equity as the product of component ratios.

Two-Component Disaggregation of ROE

Philip Morris International Inc., decomposition of ROE (quarterly data)

Microsoft Excel
ROE = ROA × Financial Leverage
Sep 30, 2024 — = 14.70% × —
Jun 30, 2024 — = 13.38% × —
Mar 31, 2024 — = 12.20% × —
Dec 31, 2023 — = 11.96% × —
Sep 30, 2023 — = 12.74% × —
Jun 30, 2023 — = 13.01% × —
Mar 31, 2023 — = 14.04% × —
Dec 31, 2022 — = 14.67% × —
Sep 30, 2022 — = 21.48% × —
Jun 30, 2022 — = 22.18% × —
Mar 31, 2022 — = 21.62% × —
Dec 31, 2021 — = 22.06% × —
Sep 30, 2021 — = 21.62% × —
Jun 30, 2021 — = 21.81% × —
Mar 31, 2021 — = 21.73% × —
Dec 31, 2020 — = 17.98% × —
Sep 30, 2020 — = 19.67% × —
Jun 30, 2020 — = 18.60% × —
Mar 31, 2020 — = 20.42% × —
Dec 31, 2019 — = 16.76% × —
Sep 30, 2019 — = — × —
Jun 30, 2019 — = — × —
Mar 31, 2019 — = — × —

Based on: 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31).

Three-Component Disaggregation of ROE

Philip Morris International Inc., decomposition of ROE (quarterly data)

Microsoft Excel
ROE = Net Profit Margin × Asset Turnover × Financial Leverage
Sep 30, 2024 — = 26.42% × 0.56 × —
Jun 30, 2024 — = 24.15% × 0.55 × —
Mar 31, 2024 — = 22.16% × 0.55 × —
Dec 31, 2023 — = 22.21% × 0.54 × —
Sep 30, 2023 — = 23.38% × 0.54 × —
Jun 30, 2023 — = 24.26% × 0.54 × —
Mar 31, 2023 — = 27.20% × 0.52 × —
Dec 31, 2022 — = 28.49% × 0.51 × —
Sep 30, 2022 — = 27.57% × 0.78 × —
Jun 30, 2022 — = 28.56% × 0.78 × —
Mar 31, 2022 — = 28.58% × 0.76 × —
Dec 31, 2021 — = 29.00% × 0.76 × —
Sep 30, 2021 — = 29.25% × 0.74 × —
Jun 30, 2021 — = 29.51% × 0.74 × —
Mar 31, 2021 — = 29.69% × 0.73 × —
Dec 31, 2020 — = 28.08% × 0.64 × —
Sep 30, 2020 — = 26.57% × 0.74 × —
Jun 30, 2020 — = 24.98% × 0.74 × —
Mar 31, 2020 — = 25.35% × 0.81 × —
Dec 31, 2019 — = 24.11% × 0.70 × —
Sep 30, 2019 — = — × — × —
Jun 30, 2019 — = — × — × —
Mar 31, 2019 — = — × — × —

Based on: 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31).

Two-Component Disaggregation of ROA

Philip Morris International Inc., decomposition of ROA (quarterly data)

Microsoft Excel
ROA = Net Profit Margin × Asset Turnover
Sep 30, 2024 14.70% = 26.42% × 0.56
Jun 30, 2024 13.38% = 24.15% × 0.55
Mar 31, 2024 12.20% = 22.16% × 0.55
Dec 31, 2023 11.96% = 22.21% × 0.54
Sep 30, 2023 12.74% = 23.38% × 0.54
Jun 30, 2023 13.01% = 24.26% × 0.54
Mar 31, 2023 14.04% = 27.20% × 0.52
Dec 31, 2022 14.67% = 28.49% × 0.51
Sep 30, 2022 21.48% = 27.57% × 0.78
Jun 30, 2022 22.18% = 28.56% × 0.78
Mar 31, 2022 21.62% = 28.58% × 0.76
Dec 31, 2021 22.06% = 29.00% × 0.76
Sep 30, 2021 21.62% = 29.25% × 0.74
Jun 30, 2021 21.81% = 29.51% × 0.74
Mar 31, 2021 21.73% = 29.69% × 0.73
Dec 31, 2020 17.98% = 28.08% × 0.64
Sep 30, 2020 19.67% = 26.57% × 0.74
Jun 30, 2020 18.60% = 24.98% × 0.74
Mar 31, 2020 20.42% = 25.35% × 0.81
Dec 31, 2019 16.76% = 24.11% × 0.70
Sep 30, 2019 — = — × —
Jun 30, 2019 — = — × —
Mar 31, 2019 — = — × —

Based on: 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31).

The primary reason for the increase in return on assets ratio (ROA) over Q3 2024 is the increase in profitability measured by net profit margin ratio.