Stock Analysis on Net

Philip Morris International Inc. (NYSE:PM)

Analysis of Solvency Ratios 

Microsoft Excel

Solvency Ratios (Summary)

Philip Morris International Inc., solvency ratios

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Debt Ratios
Debt to equity
Debt to equity (including operating lease liability)
Debt to capital 1.31 1.26 1.57 1.66 1.59
Debt to capital (including operating lease liability) 1.30 1.26 1.55 1.64 1.57
Debt to assets 0.73 0.70 0.67 0.70 0.72
Debt to assets (including operating lease liability) 0.74 0.71 0.69 0.72 0.74
Financial leverage
Coverage Ratios
Interest coverage 7.95 16.33 17.80 16.07 13.59
Fixed charge coverage 6.92 12.59 13.43 11.50 9.88

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).

Solvency ratio Description The company
Debt to capital ratio A solvency ratio calculated as total debt divided by total debt plus shareholders’ equity. Philip Morris International Inc. debt to capital ratio improved from 2021 to 2022 but then slightly deteriorated from 2022 to 2023.
Debt to capital ratio (including operating lease liability) A solvency ratio calculated as total debt (including operating lease liability) divided by total debt (including operating lease liability) plus shareholders’ equity. Philip Morris International Inc. debt to capital ratio (including operating lease liability) improved from 2021 to 2022 but then slightly deteriorated from 2022 to 2023.
Debt to assets ratio A solvency ratio calculated as total debt divided by total assets. Philip Morris International Inc. debt to assets ratio deteriorated from 2021 to 2022 and from 2022 to 2023.
Debt to assets ratio (including operating lease liability) A solvency ratio calculated as total debt (including operating lease liability) divided by total assets. Philip Morris International Inc. debt to assets ratio (including operating lease liability) deteriorated from 2021 to 2022 and from 2022 to 2023.

Solvency ratio Description The company
Interest coverage ratio A solvency ratio calculated as EBIT divided by interest payments. Philip Morris International Inc. interest coverage ratio deteriorated from 2021 to 2022 and from 2022 to 2023.
Fixed charge coverage ratio A solvency ratio calculated as earnings before fixed charges and tax divided by fixed charges. Philip Morris International Inc. fixed charge coverage ratio deteriorated from 2021 to 2022 and from 2022 to 2023.

Debt to Equity

Philip Morris International Inc., debt to equity calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Selected Financial Data (US$ in millions)
Short-term borrowings 1,968 5,637 225 244 338
Current portion of long-term debt 4,698 2,611 2,798 3,124 4,051
Long-term debt, excluding current portion 41,243 34,875 24,783 28,168 26,656
Total debt 47,909 43,123 27,806 31,536 31,045
 
Total PMI stockholders’ deficit (11,225) (8,957) (10,106) (12,567) (11,577)
Solvency Ratio
Debt to equity1
Benchmarks
Debt to Equity, Competitors2
Altria Group Inc. 10.38 4.51
Coca-Cola Co. 1.62 1.62 1.86 2.22 2.25
PepsiCo Inc. 2.38 2.28 2.51 3.28 2.17
Debt to Equity, Sector
Food, Beverage & Tobacco 5.40 5.23 5.08 6.43 4.71
Debt to Equity, Industry
Consumer Staples 1.39 1.26 1.27 1.44 1.34

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 2023 Calculation
Debt to equity = Total debt ÷ Total PMI stockholders’ deficit
= 47,909 ÷ -11,225 =

2 Click competitor name to see calculations.


Debt to Equity (including Operating Lease Liability)

Philip Morris International Inc., debt to equity (including operating lease liability) calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Selected Financial Data (US$ in millions)
Short-term borrowings 1,968 5,637 225 244 338
Current portion of long-term debt 4,698 2,611 2,798 3,124 4,051
Long-term debt, excluding current portion 41,243 34,875 24,783 28,168 26,656
Total debt 47,909 43,123 27,806 31,536 31,045
Current operating lease liabilities (included in Accrued liabilities, Other) 197 178 192 190 194
Noncurrent operating lease liabilities (included in Income taxes and other liabilities) 456 436 344 517 569
Total debt (including operating lease liability) 48,562 43,737 28,342 32,243 31,808
 
Total PMI stockholders’ deficit (11,225) (8,957) (10,106) (12,567) (11,577)
Solvency Ratio
Debt to equity (including operating lease liability)1
Benchmarks
Debt to Equity (including Operating Lease Liability), Competitors2
Coca-Cola Co. 1.67 1.68 1.92 2.30 2.33
PepsiCo Inc. 2.54 2.42 2.64 3.41 2.27
Debt to Equity (including Operating Lease Liability), Sector
Food, Beverage & Tobacco 5.57 5.38 5.23 6.60 4.84
Debt to Equity (including Operating Lease Liability), Industry
Consumer Staples 1.57 1.43 1.44 1.64 1.38

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 2023 Calculation
Debt to equity (including operating lease liability) = Total debt (including operating lease liability) ÷ Total PMI stockholders’ deficit
= 48,562 ÷ -11,225 =

2 Click competitor name to see calculations.


Debt to Capital

Philip Morris International Inc., debt to capital calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Selected Financial Data (US$ in millions)
Short-term borrowings 1,968 5,637 225 244 338
Current portion of long-term debt 4,698 2,611 2,798 3,124 4,051
Long-term debt, excluding current portion 41,243 34,875 24,783 28,168 26,656
Total debt 47,909 43,123 27,806 31,536 31,045
Total PMI stockholders’ deficit (11,225) (8,957) (10,106) (12,567) (11,577)
Total capital 36,684 34,166 17,700 18,969 19,468
Solvency Ratio
Debt to capital1 1.31 1.26 1.57 1.66 1.59
Benchmarks
Debt to Capital, Competitors2
Altria Group Inc. 1.16 1.17 1.06 0.91 0.82
Coca-Cola Co. 0.62 0.62 0.65 0.69 0.69
PepsiCo Inc. 0.70 0.69 0.72 0.77 0.68
Debt to Capital, Sector
Food, Beverage & Tobacco 0.84 0.84 0.84 0.87 0.82
Debt to Capital, Industry
Consumer Staples 0.58 0.56 0.56 0.59 0.57

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 2023 Calculation
Debt to capital = Total debt ÷ Total capital
= 47,909 ÷ 36,684 = 1.31

2 Click competitor name to see calculations.

Solvency ratio Description The company
Debt to capital ratio A solvency ratio calculated as total debt divided by total debt plus shareholders’ equity. Philip Morris International Inc. debt to capital ratio improved from 2021 to 2022 but then slightly deteriorated from 2022 to 2023.

Debt to Capital (including Operating Lease Liability)

Philip Morris International Inc., debt to capital (including operating lease liability) calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Selected Financial Data (US$ in millions)
Short-term borrowings 1,968 5,637 225 244 338
Current portion of long-term debt 4,698 2,611 2,798 3,124 4,051
Long-term debt, excluding current portion 41,243 34,875 24,783 28,168 26,656
Total debt 47,909 43,123 27,806 31,536 31,045
Current operating lease liabilities (included in Accrued liabilities, Other) 197 178 192 190 194
Noncurrent operating lease liabilities (included in Income taxes and other liabilities) 456 436 344 517 569
Total debt (including operating lease liability) 48,562 43,737 28,342 32,243 31,808
Total PMI stockholders’ deficit (11,225) (8,957) (10,106) (12,567) (11,577)
Total capital (including operating lease liability) 37,337 34,780 18,236 19,676 20,231
Solvency Ratio
Debt to capital (including operating lease liability)1 1.30 1.26 1.55 1.64 1.57
Benchmarks
Debt to Capital (including Operating Lease Liability), Competitors2
Coca-Cola Co. 0.63 0.63 0.66 0.70 0.70
PepsiCo Inc. 0.72 0.71 0.73 0.77 0.69
Debt to Capital (including Operating Lease Liability), Sector
Food, Beverage & Tobacco 0.85 0.84 0.84 0.87 0.83
Debt to Capital (including Operating Lease Liability), Industry
Consumer Staples 0.61 0.59 0.59 0.62 0.58

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 2023 Calculation
Debt to capital (including operating lease liability) = Total debt (including operating lease liability) ÷ Total capital (including operating lease liability)
= 48,562 ÷ 37,337 = 1.30

2 Click competitor name to see calculations.

Solvency ratio Description The company
Debt to capital ratio (including operating lease liability) A solvency ratio calculated as total debt (including operating lease liability) divided by total debt (including operating lease liability) plus shareholders’ equity. Philip Morris International Inc. debt to capital ratio (including operating lease liability) improved from 2021 to 2022 but then slightly deteriorated from 2022 to 2023.

Debt to Assets

Philip Morris International Inc., debt to assets calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Selected Financial Data (US$ in millions)
Short-term borrowings 1,968 5,637 225 244 338
Current portion of long-term debt 4,698 2,611 2,798 3,124 4,051
Long-term debt, excluding current portion 41,243 34,875 24,783 28,168 26,656
Total debt 47,909 43,123 27,806 31,536 31,045
 
Total assets 65,304 61,681 41,290 44,815 42,875
Solvency Ratio
Debt to assets1 0.73 0.70 0.67 0.70 0.72
Benchmarks
Debt to Assets, Competitors2
Altria Group Inc. 0.68 0.72 0.71 0.62 0.57
Coca-Cola Co. 0.43 0.42 0.45 0.49 0.50
PepsiCo Inc. 0.44 0.42 0.44 0.48 0.41
Debt to Assets, Sector
Food, Beverage & Tobacco 0.53 0.52 0.52 0.54 0.52
Debt to Assets, Industry
Consumer Staples 0.33 0.31 0.32 0.35 0.35

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 2023 Calculation
Debt to assets = Total debt ÷ Total assets
= 47,909 ÷ 65,304 = 0.73

2 Click competitor name to see calculations.

Solvency ratio Description The company
Debt to assets ratio A solvency ratio calculated as total debt divided by total assets. Philip Morris International Inc. debt to assets ratio deteriorated from 2021 to 2022 and from 2022 to 2023.

Debt to Assets (including Operating Lease Liability)

Philip Morris International Inc., debt to assets (including operating lease liability) calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Selected Financial Data (US$ in millions)
Short-term borrowings 1,968 5,637 225 244 338
Current portion of long-term debt 4,698 2,611 2,798 3,124 4,051
Long-term debt, excluding current portion 41,243 34,875 24,783 28,168 26,656
Total debt 47,909 43,123 27,806 31,536 31,045
Current operating lease liabilities (included in Accrued liabilities, Other) 197 178 192 190 194
Noncurrent operating lease liabilities (included in Income taxes and other liabilities) 456 436 344 517 569
Total debt (including operating lease liability) 48,562 43,737 28,342 32,243 31,808
 
Total assets 65,304 61,681 41,290 44,815 42,875
Solvency Ratio
Debt to assets (including operating lease liability)1 0.74 0.71 0.69 0.72 0.74
Benchmarks
Debt to Assets (including Operating Lease Liability), Competitors2
Coca-Cola Co. 0.44 0.44 0.47 0.51 0.51
PepsiCo Inc. 0.47 0.45 0.46 0.49 0.43
Debt to Assets (including Operating Lease Liability), Sector
Food, Beverage & Tobacco 0.55 0.54 0.53 0.56 0.54
Debt to Assets (including Operating Lease Liability), Industry
Consumer Staples 0.38 0.36 0.36 0.40 0.36

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 2023 Calculation
Debt to assets (including operating lease liability) = Total debt (including operating lease liability) ÷ Total assets
= 48,562 ÷ 65,304 = 0.74

2 Click competitor name to see calculations.

Solvency ratio Description The company
Debt to assets ratio (including operating lease liability) A solvency ratio calculated as total debt (including operating lease liability) divided by total assets. Philip Morris International Inc. debt to assets ratio (including operating lease liability) deteriorated from 2021 to 2022 and from 2022 to 2023.

Financial Leverage

Philip Morris International Inc., financial leverage calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Selected Financial Data (US$ in millions)
Total assets 65,304 61,681 41,290 44,815 42,875
Total PMI stockholders’ deficit (11,225) (8,957) (10,106) (12,567) (11,577)
Solvency Ratio
Financial leverage1
Benchmarks
Financial Leverage, Competitors2
Altria Group Inc. 16.70 7.92
Coca-Cola Co. 3.77 3.85 4.10 4.52 4.55
PepsiCo Inc. 5.43 5.38 5.76 6.91 5.31
Financial Leverage, Sector
Food, Beverage & Tobacco 10.18 10.01 9.79 11.83 9.05
Financial Leverage, Industry
Consumer Staples 4.19 3.99 4.01 4.15 3.82

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 2023 Calculation
Financial leverage = Total assets ÷ Total PMI stockholders’ deficit
= 65,304 ÷ -11,225 =

2 Click competitor name to see calculations.


Interest Coverage

Philip Morris International Inc., interest coverage calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Selected Financial Data (US$ in millions)
Net earnings attributable to PMI 7,813 9,048 9,109 8,056 7,185
Add: Net income attributable to noncontrolling interest 455 479 601 536 543
Add: Income tax expense 2,339 2,244 2,671 2,377 2,293
Add: Interest expense 1,526 768 737 728 796
Earnings before interest and tax (EBIT) 12,133 12,539 13,118 11,697 10,817
Solvency Ratio
Interest coverage1 7.95 16.33 17.80 16.07 13.59
Benchmarks
Interest Coverage, Competitors2
Altria Group Inc. 10.51 7.55 4.22 6.63 1.58
Coca-Cola Co. 9.48 14.25 8.78 7.78 12.40
PepsiCo Inc. 8.95 10.57 5.94 8.24 9.20
Interest Coverage, Sector
Food, Beverage & Tobacco 9.14 11.66 7.98 8.90 8.36
Interest Coverage, Industry
Consumer Staples 11.27 14.88 10.59 11.00 8.58

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 2023 Calculation
Interest coverage = EBIT ÷ Interest expense
= 12,133 ÷ 1,526 = 7.95

2 Click competitor name to see calculations.

Solvency ratio Description The company
Interest coverage ratio A solvency ratio calculated as EBIT divided by interest payments. Philip Morris International Inc. interest coverage ratio deteriorated from 2021 to 2022 and from 2022 to 2023.

Fixed Charge Coverage

Philip Morris International Inc., fixed charge coverage calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Selected Financial Data (US$ in millions)
Net earnings attributable to PMI 7,813 9,048 9,109 8,056 7,185
Add: Net income attributable to noncontrolling interest 455 479 601 536 543
Add: Income tax expense 2,339 2,244 2,671 2,377 2,293
Add: Interest expense 1,526 768 737 728 796
Earnings before interest and tax (EBIT) 12,133 12,539 13,118 11,697 10,817
Add: Operating lease cost 266 248 259 317 332
Earnings before fixed charges and tax 12,399 12,787 13,377 12,014 11,149
 
Interest expense 1,526 768 737 728 796
Operating lease cost 266 248 259 317 332
Fixed charges 1,792 1,016 996 1,045 1,128
Solvency Ratio
Fixed charge coverage1 6.92 12.59 13.43 11.50 9.88
Benchmarks
Fixed Charge Coverage, Competitors2
Coca-Cola Co. 7.73 10.14 7.41 6.45 9.47
PepsiCo Inc. 6.43 7.28 4.85 6.06 6.79
Fixed Charge Coverage, Sector
Food, Beverage & Tobacco 7.59 9.10 6.76 7.27 6.79
Fixed Charge Coverage, Industry
Consumer Staples 6.97 8.29 6.71 6.68 5.11

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 2023 Calculation
Fixed charge coverage = Earnings before fixed charges and tax ÷ Fixed charges
= 12,399 ÷ 1,792 = 6.92

2 Click competitor name to see calculations.

Solvency ratio Description The company
Fixed charge coverage ratio A solvency ratio calculated as earnings before fixed charges and tax divided by fixed charges. Philip Morris International Inc. fixed charge coverage ratio deteriorated from 2021 to 2022 and from 2022 to 2023.