Championing a Smoke-Free World Europe Investor Focus Event June 24, 2025 Forward-Looking and Cautionary Statements • This presentation contains projections of future results and goals and other forward-looking statements, including statements regarding expected financial or operational performance; investment strategies; market expectations; regulatory outcomes; sustainability plans; business plans and strategies. Achievement of future results is subject to risks, uncertainties and inaccurate assumptions. In the event that risks or uncertainties materialize, or underlying assumptions prove inaccurate, actual results could vary materially from those contained in such forward-looking statements. Pursuant to the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995, PMI is identifying important factors that, individually or in the aggregate, could cause actual results and outcomes to differ materially from those contained in any forward-looking statements made by PMI • PMI's business risks include: excise tax increases and discriminatory tax structures; increasing marketing and regulatory restrictions that could reduce our competitiveness, eliminate our ability to communicate with adult consumers, or ban certain of our products in certain markets or countries; health concerns relating to the use of tobacco and other nicotine-containing products and exposure to environmental tobacco smoke; litigation related to tobacco and / or nicotine use and intellectual property; intense competition; the effects of global and individual country economic, regulatory and political developments, natural disasters and conflicts; the impact and consequences of Russia's invasion of Ukraine; changes in adult smoker behavior; the impact of natural disasters and pandemics on PMI's business; lost revenues as a result of counterfeiting, contraband and cross-border purchases; governmental investigations; unfavorable currency exchange rates and currency devaluations, and limitations on the ability to repatriate funds; adverse changes in applicable corporate tax laws; recent and potential future trade tariffs imposed by the U.S. and other countries, adverse changes in the cost, availability, and quality of tobacco and other agricultural products and raw materials, as well as components and materials for our electronic devices; and the integrity of its information systems and effectiveness of its data privacy policies. PMI's future profitability may also be adversely affected should it be unsuccessful in its attempts to introduce, commercialize, and grow smoke-free products or if regulation or taxation do not differentiate between such products and cigarettes; if it is unable to successfully introduce new products, promote brand equity, enter new markets or improve its margins through increased prices and productivity gains; if it is unable to expand its brand portfolio internally or through acquisitions and the development of strategic business relationships; if it is unable to attract and retain the best global talent, including women or diverse candidates; or if it is unable to successfully integrate and realize the expected benefits from recent transactions and acquisitions. Future results are also subject to the lower predictability of our smoke-free business’ performance • PMI is further subject to other risks detailed from time to time in its publicly filed documents, including PMI’s Annual Report on Form 10-K for the fourth quarter and year ended December 31, 2024 and the Form 10-Q for the quarter ended March 31, 2025. PMI cautions that the foregoing list of important factors is not a complete discussion of all potential risks and uncertainties. PMI does not undertake to update any forward-looking statement that it may make from time to time, except in the normal course of its public disclosure obligations • References to “PMI”, “we”, “our” and “us” mean Philip Morris International Inc, including its subsidiaries 2 Exhibit 99.1
Glossary and Key Terms and Definitions • A glossary of terms as well as adjustments, other calculations and reconciliations to the most directly comparable U.S. GAAP measures for non-GAAP financial measures cited in this presentation are available on our Investor Relations website with additional non-GAAP reconciliations and term definitions available at the end of this presentation 3 Championing a Smoke-Free World Europe Investor Focus Event: Region Overview June 24, 2025 Massimo Andolina, President Europe Region
Massimo Andolina 5 • President PMI Europe Region since January 2023 • Previously Senior Vice President PMI Operations, held since January 2018 • Joined Philip Morris in Lausanne in 2008 as Director Operations Planning. In 2011, he became Vice President Operations of the Latin America and Canada Region and two years later moved to oversee European Union Region’s Operations. In 2016, he was appointed Vice President Business Transformation • Prior to joining PMI, held a variety of international positions in strategic marketing and general management for Tetra Pak International Mr. Andolina holds a degree in mechanical engineering from the University of Palermo, Italy, and an MBA from IMD in Lausanne, Switzerland Europe Overview 6 Population of ~590m(b) $24,903bn nominal GDP(b) $41,189 GDP/capita +1.1% Real GDP Growth(c) +0.5pp vs. PY 2.6% Inflation rate(b) 6.0% Unemployment rate(b) EU member states Non-EU member states 42 markets with 27 EU(a) member states GDP/capita, $ ‘000(c) (a) EU member states: Austria, Belgium, Bulgaria, Croatia, Cyprus, Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Ireland, Italy, Latvia, Lithuania, Luxembourg, Malta, Netherlands, Poland, Portugal, Romania, Slovakia, Slovenia, Spain (incl. Canary Islands), Sweden. Non-EU markets: Albania, Andorra, Bosnia & Herzegovina, Iceland, Kosovo, North Macedonia, Norway, Moldova, Monaco, Montenegro, Ukraine, United Kingdom, Serbia, Switzerland. (b) Region Europe (40 countries, excl. Canary Islands and Monaco), Oxford Global Economics August 2024 (c) European Union, 2024, IMF (World Economic Outlook October 2024) - GDP per capita, current prices, World Economic Outlook (October 2024) - Real GDP growth). 18 25 25 35 40 46 53 55 104 132 Bulgaria Greece Poland Spain Italy France UK Germany Switzerland Luxembourg
PMI Footprint in Europe 7 21.5k direct employees in EU in 2023 (80.5k indirect jobs in supply chain network)(b) Global Operations Center in Switzerland 2.9x higher employment productivity vs. EU average (2023)(b) 20 Manufacturing sites (10 producing SFPs) Top Employer certification for 14 affiliates in 2024 >950 granted patents(a) (Top 100 patent filer in Europe) PMI's contribution to EU economy (2019-2023)(b) € ~289bn € ~181bn € ~94bn € ~14bn Retailers’ value € 33bn total export € 20bn investment in supplier network Economic impact Tax revenues from PMI ~0.4% of EU GDP in 2023 (a) PMI patents granted by the European Patent Office from 2019 – 2023. PMI consistently listed in Top 100 European Patent Applicants since 2014. Source: European Patent Office statistics. (b) Economic footprint of PMI in the EU 2019-2023, prepared by EY Parthenon at the request of Philip Morris International (PMI) to assess the economic, social, and cognitive impact of PMI's activities on the socio-economic development of the EU. Note: A glossary of relevant terms is available in the appendix at the end of this presentation Strong PMI Performance in Europe, Largest Region by OI 8 FY’24 5Y CAGR(b) % of total PMI Shipment Volume(a) 216.3bn +0.8% 29% Net Revenues $15.7bn +7.2% 41% Adj. Operating Income $7.0bn +7.3% 48% (a) Shipment volume includes HTUs and Cigarettes. (b) Compound annual growth rate 2020-2024, excluding currency and acquisitions. Source: PMI Financials or estimates
74 69 58 44 38 29 26 20 16 15 Italy Germany Poland Spain Ukraine Romania France Bulgaria Greece UK Strong Leadership in Top European Markets… Top 10 Europe Region Markets 2024(a) (billion units) Total PMI SoM Ranking 44% #1 29% #1 46% #1 (a) Top 10 Europe Region markets ranked by 2024 HTU and Cigarette total combined market IMS. Source: PMI Financials or estimates 24% #2 53% #1 #1 39% 21% #3 #3 14% 9 41% #1#1 35% 40% Europe Region Tot. PMI SoM (FY’24) …with Impressive Smoke-Free Revenue Growth in <10 Years… 10 0.1 0.3 3.0 6.5 7.0 2016 2017 2018 2019 2020 2021 2022 2023 2024 0.9 1.9 4.5 5.5 Europe Region Annual Smoke-Free NR ($ billion) 12 24 26 30 34 37 37 3937# of SFP markets ~$7bn ~45% of Europe NR ~48% of PMI SF NR Source: PMI Financials or estimates
…and IQOS #1 PMI Nicotine Brand in Europe in <7 Years 11 ~$6bn FY’24 IQOS Net Revenues (a) Marlboro includes Marlboro total Cigarettes and OTP, IQOS represents HTUs and IQOS devices net revenues. (b) Based on Nielsen in 3 representative large markets – Czech Republic, Germany and Romania. Source: PMI Financials or estimates Europe Region Annual Net Revenues(a) ($ billion) 2016 2017 2018 2019 2020 2021 2022 2023 2024 >3x volumes vs. closest SFP competitor in key EU markets(b) IQOS Leadership in Brand Equity Driving Sustainable Growth 12 (b) (c) Gap vs. closest competitor +36 +2 +35144 143 92 (a) IQOS within all SFPs, based on Kantar Brand Equity Advisor 2024 in Top 10 HnB markets in Europe. Meaningful Difference Index gap is calculated by comparison vs main SFP competitor within these 10 markets . (b) Marlboro within CC, based on Kantar Brand Equity Advisor 2024 in 7 European markets. (c) ZYN within all SFPs, based on Kantar Brand Equity Advisor 2024 in 8 European markets. Closest competitor within NP category is Velo and Meaningful Difference Index gap is calculated by comparison within these 8 markets (d) Kantar BrandZ EU 2024 data – Meaningful Difference of each brand calculated relatively to other brands within the same category. Note: Meaningful difference index based on average of Meaningful and Difference metrics. Source: PMI Market Research NESPRESSO (a) APPLE COCA-COLA HEINEKEN L’OREAL ~120 ~140 ~140 ~115 ~115 Meaningful Difference Index (Kantar Brand Equity Advisor 2024) Meaningful Difference Index(d) (Kantar BrandZ EU 2024)
100 249 2020 2024 100 91 2020 2024 Total Industry: Growth for SFP, While CC Declines 13 Estimated CC Industry Volume(a) (Indexed, 2020=100) (a) CC including cigarettes & OTP. (b) Based on reported IMS industry in 2020, on adjusted IMS industry thereafter. E-Vapor excluding open systems, Oral including Snus and Nicotine Pouches. Source: PMI Financials or estimates Estimated Smoke-Free Industry Volume(b) (Indexed, 2020=100) CAGR CAGR (2%) +26% European LANUs Have Embraced All SFP Categories 14 Exclusive CC Smokers ~62m Exclusive HnB ~11m Exclusive E-Vapor ~11m Exclusive Oral ~4m Polyusers ~21m 57% 10% 10% 3% 20% LANU ~110m Note: Based on past 7-day use, Q4’24. LANU stands for Legal-Age Nicotine Users. E-vapor includes open systems. All categories include illicit. Polyusers includes those who use 2 or more categories, including CC. Source: PMI Market Research or estimates
Accelerated Expansion, Complementary Growth of All SFPs 15 # of markets in Europe with PMI SFP platforms FY’24 Shipment Volume Growth in Europe (change vs. PY, %, billion eq. units) +9% +39%(a) >100% (a) ZYN reflects total nicotine pouch shipments. Source: PMI Financials or estimates 16 10 9 20 19 18 8 12 37 37 39 2022 2023 2024 Total SFP Markets 3 PMI SFPs 2 PMI SFPs 1 PMI SFP +4.4bn +0.3bn(a) +0.9bn PMI LANU Acquisition in Europe: Diversified Across Categories 16 IQOS Sourcing VEEV SourcingZYN Sourcing (excl. Nordics) ~5% ~15% ~20%~60% ~60% ~10% ~20% ~10% ~40% ~25% ~35% IQOS predominantly sources from CC and increasingly from e-vapor ZYN initially sourcing from competition, with our focus on switching LAS VEEV naturally sourcing at first from IQOS poly- users and with notable traction among CC LAS Based on past 7-day use in Q4 2024, with all respondents declared as LANU. LANU stands for Legal-Age Nicotine Users. LAS stands for Legal-Age Smokers. Sourcing estimates shown correspond to the predominantly used nicotine containing product category declared by LANU, before purchasing IQOS, ZYN or VEEV. Sourcing by previous LANU’s nicotine containing product usage state (i.e., Exclusive or Poly) is not available. Source: PMI Market Research or estimates Cigarettes E-Vapor HnB Oral HnB E-Vapor Oral Cigarettes Cigarettes E-Vapor HnB
Increasing LAU Retention Within PMI SFP Franchise VEEV & ZYN Share Within IQOS SFP Poly-Users in Europe (a) 2024 average Note: Based on past 7-day use, 2023 - 2024. LAU stands for Legal-Age Users. Source: PMI Market Research or estimates 17 15% Polyusers in IQOS User base(a) 16% 21% 25% 28% 32% Q1'24 Q2'24 Q3'24 Q4'24 Q1'25 2x 18(a) PMI aspiration. Total shipment volume includes cigarettes, other tobacco products (OTPs), and smoke-free product consumables. Data excludes Swedish Match and wellness and healthcare business. (b) Own channels include PMI Brand Retail shops and e-commerce (at delivery). Source: PMI Financials or estimates Engaging LANU Responsibly with Youth Access Prevention (YAP) PMI YAP in Indirect Retail Channel PMI YAP in Own Channels (b) Letter with principles & keymessages Online & Offline Trade Education Point of Sale Material >90% of shipment volume(a) covered by YAP programs • Mystery Shopper Program: mandatory age verification through ID checks • Scope: PMI Brand Retail and e- commerce (at delivery) • Audit: Brand Retail shop staff and delivery couriers • Coverage: Pan-European coverage • Target: 100% success rate
19 IQOS: the Undisputed Leader in HnB 54 42 24 2020(a) 2022 2024 PMI HTU Adjusted IMS in Europe Region (billion units) 84% PMI HTU IMS Cat. Share FY’24 (a) For 2020 IMS is reported, adjusted thereafter. Source: PMI Financials or estimates 20 >2x
IQOS: Key Cities Lead National HTU Share Growth 21 PMI HTU Adj. SoM (Q1’25) 35.0% 29.5% 26.4% 22.4% 18.4% 16.2% 14.6% 10.3% 7.7% 3.3% Hungary Lithuania Greece Portugal Italy Czech Rep. Switzerland Romania Germany Spain National vs. Q1’22 Note: National and key city share of total market (CC + HTUs) as reported in Q1’25 Earnings. Source: PMI Financials or estimates Key City PMI HTU Offtake Share (Q1’25) +4.3pp Bucharest 20.4% +5.6pp Zurich 20.2% +3.2pp Prague 23.5% +3.7pp Rome 31.0% +7.6pp Lisbon 29.6% +9.3pp Athens 34.4% +4.1pp Vilnius 40.4% +3.8pp Munich 13.2% +1.8pp Madrid 9.6% Budapest 41.9% +11.5pp IQOS: Impressive Metrics Across the Consumer Journey 22 51% 83% 47%81% Online Engagement Engagement Opt-inRegistration IQOS Devices Sales to LAS IQOS Awareness IQOS devices to LAS sold via Experiential Touch-Points (b) Registered IQOS devices (in all channels) IQOS registered LAU, that accepted opt-in IQOS LAU engaged online (CRM, IQOS Club, iqos.com) (a) IQOS awareness December 2024 3MMA (b) Experiential Touch-Points include PMI Brand Retail, iqos.com, IQOS Partners, Sales Experts. (c) Estimated users who have switched to IQOS and stopped smoking. Note: Estimated past 7-day use Q1’25. LANU stands for Legal-Age Nicotine Users, LAS stands for Legal-Age Smokers, LAU stands for Legal-Age Users. Source: PMI Market Research, Financials or Estimates 65% IQOS Awareness within LANU(a) (Europe Region data) 72% IQOS LAU 13.5m LAU that switched to IQOS(c)
23 IQOS: We Continue to Build an Iconic Brand 21 Markets with Brand Activation 23 166 >1.5m Own Brand Events Festivals & Plug-ins Direct Consumer Contacts Europe Region Brand Activations (2024) (mandatory age verification) Source: PMI Estimates 24 IQOS: ILUMA i Rolling Out Latest Device Innovation FlexPuffPause Mode FlexBatteryTouch Screen • IQOS ILUMA i - latest device innovation • Phased launch in 20 European markets to-date:⎼ IQOS ILUMA i PRIME launched first in Q4’24, premium proposition⎼ IQOS ILUMA i and IQOS ILUMA i ONE followed from Q1’25⎼ Roll-out to complete in H2’25 IQOS ILUMA i PRIME IQOS ILUMA i IQOS ILUMA i ONE
IQOS: HTU Portfolio to Delight Distinct Consumer Needs… 25 LEVIA with Capsules (launch in Europe, summer’25) Latest HTU Portfolio Recent launch of LEVIA across 18 European markets DELIA now present in 17 European markets Source: PMI Financials or estimates New TEREA Design (Czech Rep., Slovakia, Italy) HTU Innovation Pipeline …Catering to Different Price Points 26(a) Price referring to Recommended Retail Selling Price (RRSP), illustrative calculated as approximate median value of respective products in available European markets in Jan’25 (b) CC WAP – Cigarettes Weighted Average Price per pack (c) E-Vapor Pods RRSP per Pod, for VEEV and key competitor brands (d) Nicotine Pouches RRSP per can – RRSP of ZYN & VELO CC WAP(b) 100 90 80 110 120 E-Vapor Pods(d) Nicotine Pouches(c) Competition HTUs Illustrative Europe average (TEREA RRSP(a) =100)
ZYN: Accelerated Geo-Expansion and Growth Across Europe 28 (a) ZYN launched in Poland in Jul’24 (b) ZYN launched in Austria in Feb’25, in addition to existing nicotine pouch brand THUNDER. Source: PMI Financials or estimates Nicotine Pouch IMS United Kingdom Poland(a) Austria(b) >12x Q1’25 vs Q1’24 ~5x Q1’25 vs Q3’24 ~1.5x Q1’25 vs Q1’24 Europe Nicotine Pouch Shipments (million cans) 12 15 Q1'24 Q1'25 >2x Excl. Nordics 23 ZYN European Markets Q1’25 +23%
ZYN: Vertical and Horizontal Portfolio Focusing on LAS 29 CORE Portfolio Nicotine Levels 11 mg 9–10 mg 6 mg 3–4 mg 1.5 mg • Mini Dry portfolio designed for LAS to switch • Mini >50% of ZYN portfolio outside of Nordics (Q1’25) • Slim Moist for existing Nicotine Pouch LAU in mature geographies Note: Products shown reflect illustration of ZYN portfolio, non-exhaustive. LAS stands for Legal-Age Smokers, LAU stands for Legal-Age Users. Source: PMI Financials or estimates ZYN: Building Category and Premium Brand 30 Note: All brand activations have age verification in place
E-Vapor ‘Made Right’ With Focus on VEEV ONE 32 VEEV NOW ULTRA 21 Markets with VEEV ONE 14 Markets with VEEV NOW ULTRA Source: PMI Financials or estimates VEEV ONE
33 VEEV ONE: Pods Leadership Growing Rapidly After Launch 11 26 Q1'24 Q1'25 VEEV ONE Shipments (million pods) Top-3 pod brand in 13 European markets(a) in <24 months Closed E-Vapor Market (Pods vs Disposables) (IMS 2024) 69% 46%31% 54% Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Czech Republic Poland 66% 45%34% 55% Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Disposables Pods (a) Based on Mar/ Apr ’25 (based on availability) offtake third party data (Nielsen or equivalent). Estonia based on Dec’24. Source: PMI Financials or estimates #1 #3 #1 #1 #1 #1 #2#2 #3 #3 Czech Rep. Slovakia Italy Romania Finland Poland PortugalBulgaria France Germany Estonia Greece Belgium #3 #1 #3 2.4x Latest Innovation: VEEV inPRIME 34 • Anchored in ‘Vaping Made Right’ strategy for responsible, profitable growth • Reinforce leadership in closed pod segment with proprietary technology • Key benefits (vs. VEEV ONE): – Bigger cloud size, delivering a superior sensory experience with higher intensity of flavors – Larger battery capacity & faster charging – Responsive draw sensorial feedback – Up to 1,400 puffs/ pod (vs 1,000 puffs of VEEV ONE) – 80% of pod & device components are recyclable – Device body made from 75% recycled aluminium – Optimized cost profile Source: PMI Financials or estimates
Secured CC Leadership and Value Creation to Fuel SFP Growth 36(a) TMO for Trade Mark Owner. (b) L/SL for Low/ Super Low. (c) Excluding currency. Source: PMI Financials or estimates Europe Cigarette Category Share 34.2% 33.9% 34.1% 2022 2023 2024 #1 TMO(a) Marlboro Cigarette Category Share 16.8% 16.6% 17.1% 2022 2023 2024 #1 CC Brand PMI Share in Low/ Super Low CC Segment #1 in L/SL(b) 25.6% 26.5% 27.6% 2022 2023 2024 Europe Combustible Net Revenues (% growth vs. PY)(c) (2%) 3% 6% 2022 2023 2024
Europe Region: On Track For >2/3 Smoke Free NR by 2030 37 • Europe on track to achieve 50% Smoke-Free NR by 2025 and >2/3 by 2030 • Committed to deliver the benefits of Tobacco Harm Reduction to society • Continued volume growth led by smoke-free products, with multicategory expansion: – Continued IQOS growth to overtake Marlboro in volume terms – Accelerated ZYN expansion, with focus on building category and brand – Continued profitable VEEV growth to reach leadership position within closed pod segment across Europe • Maintain leadership in CC, led by Marlboro with sustained pricing power Source: PMI Financials or estimates 3 Markets with SFP NR >75% (2024) 15 Markets with SFP NR >50% (2024) Championing a Smoke-Free World Europe Investor Focus Event: Regulatory Landscape June 24, 2025 Christos Harpantidis, Senior Vice President, External Affairs
Christos Harpantidis 39 Senior Vice President, External Affairs • Joined Papastratos, PMI’s Greek affiliate, in 2003, holding key commercial roles in Greece and abroad • From 2012 to 2015, worked at PMI’s Operations Center in Lausanne in sales strategy and new product commercialization • In 2015, became Chairman and Managing Director of Papastratos and Head of the EU South-East Cluster, leading the launch of IQOS and advancing PMI’s smoke-free vision • After serving as Area Vice President, South-East Europe Cluster, appointed Senior Vice President, External Affairs in May 2024 • Holds a physics degree from Aristotle University and a master’s in economics and an MBA from Kent University, UK Europe: Varied Landscape of EU and Non-EU Countries 40 EU member states Non-EU member states • 27 countries form the European Union (EU) with a single market • EU Customs Union allows duty-free movement of goods, including tobacco • 20 countries use the Euro as their official currency • 25 EU and 4 non-EU member states are in the Schengen Area (passport-free travel) • EU member states: tobacco regulation is fully or partially harmonized through three key directives • Non-EU member states: tobacco regulation is set by national rules
41 TPD aims to TPD harmonizes Member states • Facilitate the smooth functioning of the internal market while ensuring a high level of health protection, especially for youth • Ingredients • Health warning labels • Market access (ban on snus) • Tracking and tracing • Are free to regulate sales channels, smoking & use of SFPs in public places, age limits for tobacco and nicotine containing products purchase TPD aims to EU Regulation: Tobacco Products Directive (TPD, 2014) Applies to all tobacco products (smoking and smokeless), e-cigarettes, herbal products for smoking; doesn’t apply to new categories such as nicotine pouches • Harmonized under TPD:⎼ Market Access – notification/authorization in EU Member States(a)⎼ Flavors – characterizing flavor(b) ban from 2023 as extension of 2014 TPD⎼ Packaging / Labelling • Smokeless differentiated text-based health warning labels • Branded packaging permitted with only Finland, Ireland and Denmark requiring plain packaging • Member states: scientifically substantiated ‘off-pack’ consumer information on reduced formation permitted in Portugal, Italy, Cyprus and Greece based on product authorization 42 Heated Tobacco Products (HTPs) (a) In Malta, a heritage ban of all smokeless products remaining in National law. (b) Under the TPD, a characterizing flavor refers to a clearly noticeable smell or taste other than one of tobacco, resulting from an additive or a combination of additives
E-Cigarettes 43 • Harmonized under TPD:⎼ Market Access – notification⎼ Packaging / Labelling • Text-based health warnings for nicotine containing e-cigarettes • Branded packaging permitted with only Finland and Denmark requiring plain packaging⎼ Nicotine limits at 20mg/ml, pod size 2ml, and bottle size on open tanks 10ml • Member states:⎼ Flavors – 8 EU member states (& Norway) have flavor restrictions in place⎼ Disposable e-cigarettes – banned or due to be banned in France, Belgium, United Kingdom, with other regulators considering the same Nicotine Pouches 44 Regulations dealt with at a national level in EU Member States, as they are not regulated under the current Tobacco Products Directive (TPD) Market Access – EU member states Market Access – non-EU member states Category ban Restricted Access or proposed ban/restriction Sweden smoking prevalence ~5% (2024) Source: Public Health Agency of Sweden
45 TED aims to TED harmonizes Member states • Ensure the proper functioning of the internal market by preventing tax-related distortions • Support public health protection • Excise tax categories of manufactured tobacco products • The principles of taxation inc. tax structure & base (e.g., ad valorem and/or specific; weight of tobacco or per stick) • The minimum excise tax levels to be applied per each category • Are free to apply excise duty rates above the minimum, according to their own national needs Applies to manufactured tobacco products (cigarettes, fine-cut tobacco, cigars, cigarillos, and other smoking tobacco), doesn’t apply to e-cigarettes and new categories such HTPs and nicotine pouches EU Regulation: Tobacco Excise Directive (TED, 2011) Smoke-Free Products are Taxed Under National Regulations 46 • 21 EU member states + 8 non-EU countries have created a dedicated fiscal framework • 24 EU member states + 11 non-EU countries have created a dedicated fiscal framework • 13 EU member states + 5 non-EU countries have created a dedicated fiscal framework • SFPs are not covered under the existing TED, but EU member states as well as non-EU countries tax them under their national tax policies Heated Tobacco Products E-Cigarettes Nicotine Pouches
(Select Governmental Reports) 47 Italy: Court of Auditors Opinion on Budget 2023 ‘The downward differentiation of these products (if referring to HTPs) theoretically responds to the principle that the level of excise duties should have a correspondence with the extent of the social damage caused by the consumption of these products.’ Austria: Explanatory Notes to Tobacco Tax Act 2022 ‘As a result of changes to the Tobacco Tax Act 2022, the tobacco tax for cigarettes, cigars, cigarillos, fine-cut tobacco and tobacco for heating is to be further restricted or adjusted in moderate steps in order […] In addition, ‘harm reduction’ considerations should also be included in taxation.’ Poland: Parliamentary Office of Legislative Analysis ‘Meanwhile, a distinction should be made between the proven harmfulness of different forms of nicotine supply.’ ‘Based on the opinion (point IV) and possible studies (point V), arrange the excise tax in accordance with the message less harm less tax.’ Romania: Fiscal Code Art 439 ‘The non-harmonized excise duties are special taxes applied to the following products with reduced risk potential: - Heated tobacco products – Liquids containing nicotine – Products intended for inhalation without combustion, containing tobacco substitutes, with or w/o nicotine.’ Czech Republic: The Action Plan Addiction Policy 2023-2025 ‘Tax settings should be sought that take increased account of the risk profile of individual products, i.e., the aim is to set the tax (price) of alternative tobacco and nicotine products appropriately in relation to the price of tobacco products intended for smoking, and thus economically motivate smokers to switch to less risky alternatives to smoking.’ Sweden: Government Press Release on Taxation ‘For snus, however, there are reasons to lower that tax instead. The tax on snus is today clearly lower than the tax on cigarettes and smoking tobacco, because cigarettes and smoking tobacco are considered to pose a greater health risk. The difference should be further reflected.’ Ukraine: MoF Expert Opinion, 2024 ‘In addition, the implementation of the proposed excise policy, namely in terms of excise tax rates for HnB products, will create the conditions for the gradual replacement of traditional cigarette smoking with less harmful alternative tobacco products [...]’ Countries Recognize the Relationship Between Tax Levels and the Different Risk Profiles of Nicotine & Tobacco Products Predictability Through Long-Term Excise Tax Plans Long-term excise tax plans (LTPs) typically foster stability and predictability for industry and government revenues Norway (CPI, annually) Portugal (based on avg EU WAP(a)) Sweden (CPI, annually) United Kingdom (RPI + 2%, annually) Hungary (CPI, annually) Long-term Tax Plans (21) Automatic Adjustment (5) Andorra Belgium Bosnia & Herzegovina Canary Islands Croatia Cyprus Denmark Greece Iceland Ireland Luxembourg Malta Monaco Netherlands Slovenia Spain Switzerland No LTP or indexation (16) (a) Weighted Average Price Austria (2023-2025) Italy (2023-2026) Kosovo (2022-2025) Montenegro (2023-2025) Serbia (2021-2025) Albania (2022-2026) France (2023-2026) Monaco (2023-2026) Germany (2023-2026) Latvia (2024-2026) Moldova (2024-2026) Romania (2023-2026) Czech Republic (2023-2027) Finland (2024-2027) Lithuania (2024-2027) Poland (2025-2027) Estonia (2023-2028) Slovakia (2025-2028) Ukraine (2025-2028) Bulgaria (2025-2029) North Macedonia (2024-2030) 48
49 TAD harmonizes Member states • Eliminate barriers to the internal market • Ensure a high level of health protection • Ban on cross-border tobacco advertising in print media, radio, and online • Ban on certain sponsorship of events or activities with cross-border effects • Are free to regulate their own advertising rules within their territories TAD aims to EU Regulation: Tobacco Advertising Directive (TAD, 2003) Applies to all tobacco products and e-cigarettes; doesn’t apply to new categories such as nicotine pouches EU Institutional Structure in Law-Making • European Commission – The leadership consists of 27 Commissioners, one from each EU member state – Exclusive competence to propose legislation • European Parliament – Consists of 720 MEPs directly elected by EU citizens every five years – Reviews, amends and adopts legislative proposals • Council of the European Union – Consists of government ministers from each EU member state – Reviews, amends and adopts legislative proposals 50
Legislative procedures of EU Tobacco Directives • TPD and TAD: Ordinary legislative procedure:⎼ College of Commissioners (27 Commissioners) adopts proposals for new/revision of a directives⎼ The European Commission submits a proposal to the Council and the European Parliament⎼ The Council and Parliament adopt the proposal by qualified majority(a) and simple majority, respectively • TED: Special legislative procedure:⎼ College of Commissioners will adopt the proposal for the revision of TED⎼ The Commission submits the proposal to the Council⎼ The Council must adopt unanimously by all 27 member states (Parliament is only consulted) • Member states must then transpose the directive into national law within a set deadline 51 (a) Qualified majority: at least 15 out of 27 EU member states must vote yes and those 15 countries must represent at least 65% of the EU’s total population Summary: Positive Momentum In Complex Environment • Over 110m LANU in Europe deserve the right to information about better alternatives to cigarettes & access to smoke free products • Banning or severely restricting SFPs, while allowing the sale of combustible cigarettes, is a clear policy mistake and perpetuates smoking • In most European countries differentiated regulatory treatment of SFPs is already in place: • Fiscal differentiation applies across almost all European countries and across all categories of nicotine products, while 11 countries already apply fiscal differentiation based on their risk profiles • Even for the emerging Nicotine Pouches category, 15 countries have a regulatory framework, and 18 countries have a fiscal classification ahead of major EU legislative milestones • European legislative process is slow and complex but offers the opportunity for constructive debate between member states and the Commission, and significant room for legislative adaptations at country level • We believe EU member states differentiated treatment of SFP categories is a very good predictor for the upcoming EU Directives 52
Championing a Smoke-Free World Europe Investor Focus Event: Italy Overview June 24th, 2025 Pasquale Frega, Managing Director Italy Pasquale Frega •Managing Director of Philip Morris Italy since Feb’25 • 20+ year experience in Pharmaceutical industry in Europe and the Americas •Most recently served as President for Canada and Latin America at Novartis. Prior to this, Country President for Novartis Italy, securing its #1 position in the Pharma industry in the country • Demonstrated track record of stakeholder engagement to shape adequate regulatory environments 54
Italy: Third Largest Economy in EU 55 • Demographics & GDP:⎼ Population ~59m (70% Urban)⎼ GDP ‘25 +0.6%; ‘24 +0.7%⎼ GDP per capita ~$40k • Unemployment 6.2% in ‘24 (Youth 19.4%) • Inflation ‘25: 1.5%; ‘24: 1.0% • 5th largest exporter globally ($675bn in 2024(a)) • ~68m tourists in 2024(b)⎼ ~11% from USA BOLOGNA FLORENCE ROME NAPLES BARI PALERMO CATANIA GENOA MILAN TURIN (a) Trading Economics, United Nations Data. (b) ISTAT, 2023. Top ten cities by population reported in the map. Source: ISTAT (Dec’24 Actual data), Banca d’Italia (2025 Estimate in Apr’25), Istituto Superiore di Sanità, 2024, Logista Stable Regulatory, Fiscal and Distribution Framework 56 Regulatory Fiscal • Regulatory differentiation between SFPs and combustible • Whole-of-government approach for international engagement • Fiscal categories established for all SFP products • Stable taxation for all nicotine products • Substantial excise differential between combustible and smoke-free products • State controlled Tobacco Sales licensing system (~50k POS) • Monopolies Agency (ADM) oversight of entire process Licensing System
PM Italy: Integrated Value Chain From Leaf To Recycling… 57 Tobacco Leaf and Innovation hub Purchasing 50% of domestic tobacco leaf production Bologna Manufacturing Hub Largest Greenfield investment in Italy in the 21st century(a) Institute for Manuf. Competences Recognized cross-Industry leader in manufacturing 4.0 innovation Owned and third-party retail network Industry Best Practice in Europe Digital Service Centers Serving >4 million consumers and retailers across Italy End-of-Life Local recycling centers for IQOS and VEEV devices (a) “Largest Greenfield Factory in Italy in the 2000s, on 310 000 sqm of which 110 000 for the production site” Studio 4 Capitali – Ambrosetti, 2023 Source: Studio 4 Capitali – Ambrosetti, 2023 ..Significantly Contributing to the Italian Economy 58 ~€1.4bn Investment in manufacturing technology and innovation(a) PMI total contribution to Italian economy in ‘22 ~€10.1bn (0.5% GDP) ~€1.9bn (7y CAGR 40%) PMI in Italy total export value in ‘23 Job Creation across the entire Value Chain ~41,000 jobs Of which ~3,000 direct (a) Investment in 2013-2022. Source: Studio 4 Capitali – Ambrosetti, 2023. Note: A glossary of relevant terms is available in the appendix at the end of this presentation
~60% of LANUs Choose Smoke Free Products 59 Exclusive CC Smokers ~5m Exclusive HnB ~3.5m Exclusive E-Vapor ~1m Exclusive Oral ~0.1m Polyusers ~3.4m~40% ~27% ~7% ~1% ~26% LANU ~13m ~60% SFP Incidence Note: Based on past 7-day use, Q4’24. LANU stands for Legal-Age Nicotine Users. E-vapor includes open systems. All categories include illicit. Polyusers includes those who use 2 or more categories, including CC. Source: PMI Market Research or estimates PMI Success Across All Categories 60 HnB 83% SoC(b) Cigarettes 46% SoC(a) E-Vapor 32% SoC(c) Market leader Market leader Market leader Pilot Launch in Q4’24 Expansion in Mar’25 Nicotine Pouches 13% SoC(d) Closed pods (a) Logista IMS. (b) Nielsen Offtake. (c) Based on Nielsen, Offtake, Closed systems (excl. open tanks and disposables). (d) Nielsen, Offtake, March 2025 Note: all data refer to FY 2024, unless specified otherwise
IQOS Trajectory, an Outstanding 10-Year Journey 61 2016-17 2019 2021 2022-23 20242014 HTU Adj. IMS SoM IQOS Expansion in Indirect Retail IQOS user community creation via IQOS club Digital loyalty platform Brand Retail expansion with Shop in Shops in premium Malls across Italy Brand Retail Expansion One of the first markets to launch induction technology both globally and in Europe IQOS ILUMA IQOS 2.2 Pilot in Milan IQOS ILUMA i and Beyond Tobacco Continuing innovation with ILUMA i and LEVIA 1% 5% 11% 14% 17% Source: Logista FY Adj. IMS SoM: 2017, 2019, 2021, 2022, 2024 Superior Retail Infrastructure in a Multicategory Environment XP Touch- Points Device & Consumables Sellers Consumables Sellers Portfolio, Experience & Services (Look of the leader) Portfolio & Visibility Availability 90% IQOS Awareness IQOS KPIs 97% Consumer Registration Rate 76% CRM Opt-in ~78% POS ~20% POS/ 55% device sales ~2% POS/ 45% device sales Note: XP refers to experiential touchpoints. Source: CRM, NCPT, 2024 62
IQOS in the “League of Icons” Brand Meaningful Difference Index (Italy, 2024) ~140 ~130 ~110 ~200 148 APPLE ARMANI CHANEL AUDI GUCCI Note: Meaningful difference index measures brand strength within own category Source: IQOS, Kantar Brand Equity Advisor, Italy 2024; Other Brands, Kantar BrandZ 2024 63 2% 4% 9% 14% 18% 22% 25% 26% 29% 2% 5% 8% 11% 14% 17% 17% 18% 2017 2018 2019 2020 2021 2022 2023 2024 Q1'25 Outstanding Key City Performance Key Cities(a) Offtake SoM 64 PMI HTU Share (a) Rome and Milan municipalities, Bologna-Modena provinces. Note: Chart not to scale. Source: Key cities - Logista Offtake, Italy – Adjusted IMS Rome 30.2% 31.0% PMI HTU Offtake Share(a) +0.8pp Q1’24 Q1’25 Milan Bologna 25.1% 26.9% 26.7% 27.2% +1.8pp +0.5pp Italy Adj. IMS SoM
Strong IQOS Fundamentals, Continued Momentum 65 Indexed values, 2020 Device to non-IQOS LANU = 100 LANU Sourcing(a) ~73% ~19% ~8% Cigarettes E-Vapor HnB 100 112 116 122 125 2020 2021 2022 2023 2024 Growing Acquisition Pace(b) (a) Dec’24 IQOS Owners Panel, Consolidated. (b) Logista, PM Italy data or estimates Promising Success with VEEV and ZYN 66 ZYN Sourcing(a)VEEV Pods Monthly Avg. IMS (Indexed, H1’23 = 100) 100 ~360 ~860 ~1,090 ~1,400 H1’23 H2’23 H1’24 H2’24 Q1’25 ~22% ~30% ~10% ~38% Cigarettes E-Vapor HnB Oral/Poly(b) #1 VEEV Market (as of FY’24) (a) Consumer Surveys conducted between Oct‘24 and Mar’25, with all respondents declared as LANU. LANU stands for Legal-Age Nicotine Users. (b) Oral & Polyusage. Source: PMI Market Research, Financials and estimates
Undisputed Leader in CC 67 48.1% 47.9% 47.8% 46.0% 46.2% 2020 2021 2022 2023 2024 21.4% 21.0% 20.7% 20.2% 22.6% 2020 2021 2022 2023 2024 95% PMI Share of Premium Segment(a) Marlboro Share of CC CategoryShare of CC Category (a) PMI Share of Premium and Above Premium. Source: Logista IMS SFPs: Multiplier of Key Financial Metrics in Italy 68 100 221 2020 2024 2020 2024 CC SFP 100 161 2020 2024 HTU IMS Volume Net Revenues Operating Income Indexed values, 2020 = 100 100 146 41% 64% Note: Net revenues and operating income excluding currency and acquisitions. Charts not to scale. Source: PMI Financials or estimates
Multicategory Ambition & Strategy • Continue to lead SFP growth in Europe • Accelerate smoke-free performance by deploying all product categories through multicategory execution: – Continue IQOS growth through portfolio innovations and brand building – Maintain VEEV momentum and sustain leadership in closed pods segment – Accelerate ZYN expansion, with focus on building category and brand leveraging on portfolio verticalization •Maintain Marlboro leadership and continue value generation 69 Championing a Smoke-Free World Europe Investor Focus Event: Germany Overview June 24th, 2025 Veronika F. Rost, Managing Director Germany
Veronika F. Rost 71 • Joined PMI in April 2024 as Managing Director Germany, leading the local organization in driving the smoke-free transformation • 25+ years of experience in global consumer and luxury goods companies, across Europe, Asia and the US. Before joining PMI: − Managing Director Germany at Estée Lauder Companies − Managing Director Germany, Austria & Switzerland at COTY and Diageo − Senior leadership roles at Reckitt Benckiser and Procter & Gamble • Business Administration degree from Reutlingen University, Germany, Bachelor of Art (Hons.) from Middlesex University, UK, plus MBA from The Wharton School, US 72 Population: 84.6m (urban 78%, rural 22%), Level of Urbanization: Only 4 cities >1m inhabitants, 2/3 of population live in city below 100k inhabitants Age: Average 45 years, 22% 65+yo 26% of population with migrant background Relatively low unemployment (~6%) Stabilizing inflationary environment (~2%) Economic downturn (-0.2% GDP Growth in 2024); projected outlook 0% in 2025, 1% in 2026 €25k available income (30% higher than EU avg.) yet smart-shoppers and late adopters Source: Oxford Economics, GFK, World Bank and Federal Statistical Office . Map represents population density Germany: Decentralized with Distinct Consumer Dynamics
73 #POS (‘000) Discounter 16 Vending 250 Cigarettes Industry Volume Distribution 29% 24% 25% 8% 14% 19 E-retailers, E-grocery, Own website Digital/Online >320k Total POS(a) Hypermarket, Supermarket 23 Petrol 13 Tobacconist & General Trade 18 >560 Wholesalers Lekkerland Edeka Hall Tabakwaren Rewe Tobaccoland (a) Including 250k vending machines. Source: PMI Financials or estimates Complex Retail Landscape, Significant E-Commerce Presence PMG: Strong Contributor to German Economy & Employment 74 6,133 Jobs Total Employment Impact (1.4k direct, 2.9k indirect, 1.8k induced jobs) x4.3 Multiplier for total employment Each job at PMG estimated to generate 3.3 additional jobs in the value chain x2.7 Economic multiplier(a) For every euro invested, an additional economic effect of 1.7 euros generated along the supply chain €54.7bn € 1.5bn Retailers’ value € 20bn Economic impact € 33.2bn Tax revenues from PMG € 4.5bn PMI / PMG investment in supplier network PMG’s Contribution to German Economy(a) PMG’s Contribution to Employment (a) 2019 – 2023. Source: Economic footprint of PMI in the EU 2019-2023, prepared by EY Parthenon at the request of Philip Morris International (PMI) to assess the economic, social, and cognitive impact of PMI's activities on the socio-economic development of the EU. Note: A glossary of relevant terms is available in the appendix at the end of this presentation
Consumer: ~16 Million LANUs, Growing Poly-Users 75 Exclusive CC Smokers ~10.5m Exclusive HnB ~0.8m Exclusive Oral ~0.3m Polyusers ~3.0m 66% 5% 2% 19% LANU ~16m Note: Based on past 7-day use, Q4’24. LANU stands for Legal-Age Nicotine Users. E-vapor includes open systems. All categories include illicit. Polyusers includes those who use 2 or more categories, including CC. Source: PMI Market Research or estimates Exclusive E-Vapor ~1.2m 8% 76 Industry Volume: Gradual Transition towards SFPs Big packs >50% cig. volume(c) Full Flavor >60% cig. volume Cigarette Trade Brands >15% SoM Distinctive in Germany (FY’24) Industry Volume(a) (Indexed, 2020 = 100) (a) Reported industry data based on IMS. Combustible including cigarettes and OTP; (b) SFP includes HTU based on industry data (adjusted for 2022, 2023 and 2024) and e-vapor excluding open tanks. (c) 2XL-9XL packs. Note: Chart is not to scale. Source: PMI Financials or estimates and Nielsen 100 100 124 224 92 91 2020 2022 2024 CAGR (2020-2024) (2)% +22% Combustible SFP(b)
96% 89% 88% 4% 11% 12% 2018 2021 2024 77 +2.6% CAGR +27.6% SFP Combustible PMGIndustry Net Revenues(a) (Indexed, 2018=100) Cigarettes Price Variance YoY(a) Industry Value: Increase Driven by Pricing & SFP Growth... 2018 2024 +4.2%Total 100 119 124 2018 2024 SFP Volume (in bn sticks) 0.4 4.4 x11 x2 (a) Calculation is on an organic basis. Note: SFP includes HTU and E-vapor excluding open tanks. Chart is not to scale. Source: PMI Financials or Estimates 78 ...Resulting in Significant Net Revenue & OI Growth for PMG +8.5% CAGR +7.7% CAGR PMG Net Revenues (Indexed, 2018=100) PMG Operating Income (Indexed, 2018=100) 100 157 2018 2024 100 163 2018 2024 Note: Net revenues and operating income excluding currency and acquisitions. Source: PMI Financials or estimates
79 21.1% 7.9% 7.8% Marlboro IQOS HTUs L&M JPSPall Mall PMG Holds Top 3 Brands PMG: Undisputed Leader in Highly Competitive Environment #1 Premium Cig. #1 HnB #1 Low Cig. (a) Estimated Brand split for TMOs, based on reported IMS data. Source: PMI Financials or Estimates Top Brands Share of Market (Q1’25)(a) 0.1 0.4 0.9 1.6 2.3 2.8 3.7 4.3 2017 2018 2019 2020 2021 2022 2023 2024 2025 0.1 1.1 HTU Adj. IMS (billion units) 80 Users (mio) IQOS ILUMA Jun’17 IQOS National roll-out IQOS 3 & IQOS 3 Multi IQOS 3 Duo IQOS Original HnB: Accelerating IQOS Volume with Further Potential IQOS ILUMA i Source: Nielsen Panel, PMI Financials or Estimates.
Excellent Commercial KPIs, Underpinning Robust Growth 81 >30% Registration Rate (Experiential Touchpoints) Early Conversion Rate Devices Sold IQOS.com Devices Sold in Digital Channels Devices to LAS (Experiential Touchpoints) #1 in Europe #2 Worldwide 90% 81% (+6pp vs. PY) 67% Note: Early conversion rate represents conversion within first 90 days after purchase. Source: PMI Financials or estimates, 2024 data (peak for conversion rate) IQOS Momentum in Focus Cities Demonstrating the Potential 82 0% 2% 4% 6% 8% 10% 12% 14% PMI HTU Share National Shares Reaching Prior City Levels Within 2-3 years Munich 13.2% 12.0% Q1’24 Q1’25 Stuttgart 14.4% 12.8% PMI HTU Offtake Share 7.7% National (Adj. IMS Share) 13.0% Key City Avg.(a) (Offtake Share) +1.6pp +1.2pp (a) Reflects the average of Hamburg, Munich and Stuttgart. Source: PMI Panel Nielsen, Financials or estimates
0.5 1.2 1.1 0.5 0.7 1.8 5.4 4.5 4.0 6.4 6.3 6.8 2022 2023 2024 100 388 Q2'24 Q1'25 E-Vapor: Building Strong Category Position, Focused on Pods 83 VEEV ONE (Pods) Offtake Volume (Indexed, Q2’24=100) x4 Note: #3 Brand is based on SoM in pods category. Source: PMI Financials or estimates, Nielsen Panel, 1ml liquid = 10 equivalent units E-Vapor Market Performance (estimated in bn eq. units) Total Vape CAGR +3.5% Open System (58% SoC) Pods (27% SoC) Disposables (15% SoC) VEEV One (April’24) #3 Brand Engaging Consumer Activation to Build Superior Brand Equity 84 126140 Gap to competition(b) 27(c) Marlboro IQOS 31 (a) Kantar Brand Equity Advisor.Meaningful difference index: meaningful refers to the capacity of brands to drive affinity among Legal Age Smokers (LAS) and address their needs; difference refers to the ability of brands to generate perceptions of uniqueness and trendsetting among LAS. Meaningful difference is reported as a combined index score, where 100 represents the category average. (b) Represents index point gap to closest competitor, SFP for IQOS. Note: In the studies, Marlboro is not benchmark vs. IQOS, the two studies are therefore not comparable; (c) Reflects gap vs. closest competing HnB competitor; (d) Kantar BrandZ 2024 data. Source: PMI Financials or estimates 2024 Meaningful Difference Index(a) Multicategory Island Own Events Ecom & IQOS Website 119 141 147 Other Local Brands(d) AdidasBMWTchibo Brand Retail Sales Experts
Oral: PMG Preparing for ZYN, behind Appropriate Regulation 85 • Regulatory: Nicotine pouches effectively banned due to current German “novel food” classification • Commercialization: Selling not allowed, but consumption is legal • Current Access: Sourcing online, from neighboring countries or via local retail channels selling illegally • Next Steps: Address with new government coalition Germany Market Access – EU member states Market Access – non-EU member states Category ban Restricted Access or proposed ban/restriction Germany 86 PMG Multicategory Ambition & Strategy Undisputed Leader Across Total Nicotine Market Accelerate growth by converting legal-age cigarette smokers through expanded portfolio, brand appeal and geographical focus Deliver value while keeping leadership through portfolio tiering Advocate for appropriate category regulation and prepare for ZYN launch and commercialization Establish #1 position within pods through superior brand building HnB Cigarettes Nicotine Pouches E-Vapor
Championing a Smoke-Free World Europe Investor Focus Event: Greece Overview June 24th, 2025 Kostas Salvaras, Area Vice President South-East Europe Kostas Salvaras, Vice President South-East Europe Area 88 29 years in PMI, with a diverse experience spanning sales & distribution, marketing, consumer experience, SFP and general management in Ukraine, Russia, Japan, Greece and USA More recently held the roles of VP Inhalable Smoke-free Products PMI USA, President PMI Russia and Managing Director PMI Ukraine, Caucasus & Moldova 13 markets with a population of 61m and 14m LANU 7 countries in EU, 6 candidates $1.1 trillion GDP +4k employees, 4 factories(a) Romania Bulgaria Greece Serbia CroatiaSlovenia Bosnia & Herzegovina Montenegro Albania North Macedonia Kosovo Malta Cyprus (a) Includes joint venture in North Macedonia
Population(a) of ~10.5m (46% urban) Tourism arrivals(b) ~36m (~13% direct contribution to GDP) ~2.7m LANU(c) (43.6% Nicotine Incidence) $24,720 GDP/capita(d) (+39% vs. 2020) +2.3% Real GDP Growth(e) (x2.1 vs. EU average) 150.9% Debt/GDP(f) (improving by ~28pp vs. 2020) +1.4% Budget Surplus(g) Q1’25 (+3.2% projection FY’25) Investment-grade status regained(h) (Moody’s credit rating upgrade, with stable outlook - March’25) Greece At a Glance 89 Athens 3.8m (36%)(a) (a) Hellenic Statistical Authority, (b) Institute of Greek Tourism Confederation, (c) PMI estimate (d) Greece, 2024, IMF (World Economic Outlook (October 2024) - GDP per capita, current prices), (e) Greece, 2024 vs. 2023, IMF (World Economic Outlook (October 2024) - Real GDP growth), (f) Greece, 2024, IMF (World Economic Outlook (October 2024) - General Government Gross Debt (% of GDP)), (g) Greek Ministry of National Economy and Finance (Medium-Term Fiscal Structural Plan 2025-2028 update April’25), (h) Moody’s (March’25) Papastratos: 95 Years of Strong Heritage Reinvented 90 (a) Planned to be completed by 2025. Note: A glossary of relevant terms is available in the appendix at the end of this presentation. Source: PMI internal estimates Estimated Footprint • ~€700m investment since IQOS launch(a) • Approx. >85% of production exported 35+ countries • ~€0.4bn exports value > fresh vegetables • Approx. >€1bn taxes annually ~2% of Government revenues • Direct employment of ~1.4k people Route to Market • General Trade market ~95% of the market general trade, of which ~1/3 kiosks • 95 years Exclusive Distributors Model
Papastratos: 95 Years of Strong Heritage Reinvented 91 Corporate Brand • Most Admired Company for 4 years in a row (Fortune) • Most Attractive Employer for 5 years in a row (Randstad) Regulation & Taxation • SFP as a pillar of harm reduction strategy (National Action Plan against smoking) • The only Equal Salary Certified in Greece • Approved health claims for IQOS ILUMA and TEREA • Stable tobacco taxation since 2017 >50% LANUs Embracing SFP Categories 92 Exclusive CC Smokers ~1.3m Exclusive HnB ~0.6m Exclusive E-Vapor ~0.2m Exclusive Oral ~0.03m Polyusers ~0.6m 48% 22% 7% 1% 22% LANU ~2.7m Note: Based on past 7-day use, Q4’24. LANU stands for Legal-Age Nicotine Users. E-vapor includes open systems. All categories include illicit. Polyusers includes those who use 2 or more categories, including CC. Source: PMI Market Research or estimates
Success Across All Categories in Greece 93 HnB 84% SoC(a) E-Vapor 37% SoC (b) Category leader & #1 nicotine brand Category leader in Pods Launch Jul’24 Expansion Feb’25 Nicotine Pouches 14% SoC (b) Cigarettes 32% SoC(a) Category leader & #2 nicotine brand (a) Based on reported Actual IMS (2024) (b) Based on Nielsen, April’25, Closed systems (excl. open tanks and disposables) & Nicotine Pouches IQOS: Dynamic & Accelerating Growth 94 100 314 575 710 913 1,131 1,446 1,746 2017 2018 2019 2020 2021 2022 2023 2024 HnB IMS Volume (Indexed, 2017=100) CAGR +50% IQOS National Launch #1 Nicotine Brand (Since Jan’23) Volume Q4’24 HnB > Cigs ILUMA launch 5%PMI HTU Offtake SoM 9% 11% 14% 16% 19% 22% 1% >50% Net Revenues from SFP >75% Net Revenues from SFP (in Q4’23) Source: PMI Financials or Estimates
IQOS Momentum in Athens Demonstrates National Potential 95 0% 5% 10% 15% 20% 25% 30% 35% 40% 45% Q 1' 20 Q 2' 20 Q 3' 20 Q 4' 20 Q 1' 21 Q 2' 21 Q 3' 21 Q 4' 21 Q 1' 22 Q 2' 22 Q 3' 22 Q 4' 22 Q 1' 23 Q 2' 23 Q 3' 23 Q 4' 23 Q 1' 24 Q 2' 24 Q 3' 24 Q 4' 24 Q 1' 25 PMI HTU Offtake Share PMI HTU Offtake Share 26.5% National 34.4% Athens National Share Reaching Prior Capital Levels Within 2-3 years Q1’24 Q1’25 Source: Nielsen and internal estimates +2.9pp +2.6pp Athens 31.5% 34.4% 23.9% 26.5% National VEEV: #1 in Pod Segment 96 +163% volume growth Q1’25 vs. PY Source: Nielsen and PMI financials 74% 58% 47% 35% 3% 18% 26% 37% Competitor Sep’23 Sep’24 Apr’25 Offtake Share of Category (e-vapor closed pods) Apr’24
Strong ‘Phygital’ Ecosystem Supports Multicategory Deployment 97 In store promotion Events & HORECA IQOS PartnersBrand Retail Indirect Retail & Tech Chains Ecom & Digital CareDigital Engagement Members Get Members Note: All activities are directed to Legal Age Nicotine Users Focus on Brand Building Results in Strong Consumer KPIs 98 Meaningful Difference Index(a), ‘24 56.4 IQOS Brand NPS (c) 158 +54 vs closest SFP competitor engraving Limited edition packs Device customization Together X event IQOS ILUMA i event Salience Index(a), ‘24 82 #2 in e-vapor Source: (a) Kantar Brand Equity Advisor , 2024 (b) Adoption Tracker, FY 2024, Base: P12M (c) Brand NPS: Qualtrics NPS FY 2024 (d) P4 Post Buy Tracker Veev entrants 12mm 2024. All activities are directed to Legal Age Nicotine Users
Strong Performance Driven by SFP Growth 99(a) PMI IMS data. SFP includes HnB, e-vapor & oral smokeless. Note: Net revenues and operating income excluding currency and acquisitions. Chart not to scale. Source: PMI Financials or estimates 2020 2024 Volume Evolution(a) 2020 2024 Operating Income 32% CAGR Net Revenues 17% CAGR 78% SFPs Net Revenues & Operating Income 2020 2024 Cigarettes SFP Total 26% CAGR 1.4x 1.8x 3.0x 10% CAGR Leverage strong competitive advantages to win in every category: • Established Corporate brand & 95 years of heritage • Superior Brand Equity, #1 nicotine brand (IQOS), #1 in pods (VEEV), #1 in cigarettes (Marlboro) • Exclusive distribution model & excellent commercial engine with own infrastructure Preserving Heritage and Realizing Smoke-Free Future 100
Championing a Smoke-Free World Europe Investor Focus Event: Romania Overview June 24th, 2025 Kostas Salvaras, Area Vice President South-East Europe Population 19m (~70% in cities below 100k & rural areas) 4m Romanians living abroad LANU 4.2m (36.4% Nicotine Incidence) Status signaling important (39% premium share in cigarettes vs. 24% EU) $370bn GDP (+48% vs. 2020) $1,200 average net monthly salary (+42% vs. 2020) $110bn in EU funding since accession Growing Economy, 6th Most Populous Country in the EU 102 Fast paced growth, closing gap vs. EU 55 56 58 63 66 69 72 72 74 78 79 2014 2024 GDP/Capita Index (EU=100) Note: LANU stands for Legal Age Nicotine Users. Source: IMF Apr 25, Eurostat, NCPT 2024, Eurobarometer Mar 2025
PMI Romania: Key Contributor to the Economy 103 Note: A glossary of relevant terms is available in the appendix at the end of this presentation. Source: PMI internal estimates Estimated Footprint • ~€650m investment since IQOS launch (2017) • ~€850m taxes in 2023 (~1.6% of Gov. revenues) • ~€620m exports to 54 markets (1% of Romania’s exports) • Direct employment of ~1.5k people (Employment incl. value chain impact of ~8.8k) • 5-year excise tax plan, fiscal categories established for all SFP products (nicotine pouches since 2024) • SFP are mentioned as reduced risk products in local legislation (differentiated communication permitted) Corporate Brand •#1 Employer in CPG and #2 overall (Unde Lucrăm) •Employee engagement index at 94% •Best industry recycling program 2nd Biggest SFP factory in EU Fiscal and Regulatory Fragmented Traditional Trade, Consolidated Key Accounts 104 #POS (‘000) Discounter 15 27 Industry Volume Distribution 16 E-retailers Digital / Online Supermarket 0.9 Gas 1.4 General Trade (urban) 3.4 38% 35% 27% Tobacconist 0.7 General Trade (rural) 48 Wholesalers 48k Total POS Punctual ComimpexVincom Legra Tex Licurici Luzan Logistic Source: Nielsen
LANUs Embracing SFP, Significant Potential to Convert Smokers 105 Exclusive CC Smokers ~2.6m Exclusive HnB ~0.6m Exclusive E-Vapor ~0.2m Exclusive Oral ~0.1m Polyusers ~0.7m 62% 14% 5% 2% 17% LANU ~4.2m Note: Based on past 7-day use, Q4’24. LANU stands for Legal-Age Nicotine Users. E-vapor includes open systems. All categories include illicit. Polyusers includes those who use 2 or more categories, including CC. Source: PMI Market Research or estimates Gaining Market Share in Highly Competitive Environment 106 2020 2025 Q1 Total Nicotine Share of Market (%) 22.1% Competitor 1 Competitor 2 PMI Romania 14.3% Q1 2025 Note: Total SoM comprises CC, HnB, e-vapor. Source: PMI estimate
Leader in SFPs, Growing Across All Categories 107 HnB 86% SoC(a) Vape Pods 64% SoC(b) Category leader Category leader Launched Nov’24 Nicotine Pouches 19% SoC(c) Cigarettes 13.4% SoC(d) Growing +1.5pp vs. 2020 (a) Based on reported Actual IMS (FY’24). (b) Nielsen SoC in pods Dec’24 (excl. open tanks and disposables). (c) Nicotine Pouches Actual IMS Dec’24. (d) Based on reported Actual IMS (FY’24) 100 213 262 325 480 742 974 1,138 2017 2018 2019 2020 2021 2022 2023 2024 Continuous IQOS Growth Since 2017 National Expansion 108 HTU IMS (Indexed, 2017=100) IQOS National Expansion # 1 Brand in Bucharest Reached 50% of Net Revenue ILUMA launch DELIA launch HnB volume > Marlboro volume CAGR +42% Note: PMI HTU offtake share in Bucharest, 20.4% in Q1’25 (based on CC and HTU), as reported in Q1’25 Earnings. Source: PMI data and estimates, Nielsen
VEEV: #1 in E-Vapor Closed Systems 109 64% SoC in Pods Dec’24 (a) Includes pods & disposables. Source: Nielsen x3.1 IMS Q1’25 vs. PY 43% 43% 36% 21% 27% 44%Competitor Apr’24 Sep’24 Apr’25 Offtake Share of Category (Total closed systems(a)) Multicategory Approach Driven by Consumer Centricity 110 Indirect Retail Brand Retail Store activation E-commerce Digital Engagement HoReCa EventsNote: All activities are directed to Legal Age Nicotine Users
IQOS Club Driving Loyalty and Engagement 88% IQOS users in Club +5.2pp Conversion +8p Brand NPS 73% Engaged +12pp Advocacy 75M Page views Source: PMI internal data. All activities are directed to Legal Age Nicotine Users vs. non-club Reach MEMBERS ONLY CAMPAIGNS Special Prizes Drivers FIRST TO GET New launches & limited editions OWN EVENTS ACTIVATIONS Access to our Events INTERACTIVE ENGAGEMENT Badges, Leaderboards AUTO DELIVERY Convenience 73 Brand NPS Brand Building Driving Strong Equity 112 Meaningful Difference Index (IQOS 2024, Marlboro 2023) Source: BEA 2024, 2023 Marlboro Study. All activities are directed to Legal Age Nicotine Users +26 vs. closest competitor Aoki IQOS own event, 5k LANU Activation with limited edition HoReCa engagement Salience Index (2024, 1st year of VEEV) #2 in e-vapor 116 56 Brand NPS 146 77
SFP Volume Growth and Pricing Driving Profitable Growth 113 (a) PMI IMS data. SFP includes HnB, e-vapor & oral smokeless. Note: Net revenues and operating income excluding currency and acquisitions. Source: PMI Financials or estimates 2020 2024 Volume Evolution(a) 2020 2024 Operating Income 29% CAGR Net Revenues 20% CAGR ~60% SFP share Net Revenues & Operating Income 2020 2024 Cigarettes SFP Total 37% CAGR 1.6x 2.0x 2.8x 114 Capturing the growing SFP opportunity: – IQOS #1 Brand Equity in SFP – VEEV #1 share in closed systems – ZYN as future growth engine • Value opportunity in cigarettes • Engaged organization, advanced customer facing infrastructure and high return commercial investments Win in all Categories Romania: Winning in Competitor Stronghold
Championing a Smoke-Free World Europe Investor Focus Event June 24, 2025 Championing a Smoke-Free World 116 Appendix and Reconciliation of Non-GAAP Measures
117 PHILIP MORRIS INTERNATIONAL INC. and Subsidiaries Reconciliation of Non-GAAP Measures Reconciliation of Operating Income to Adjusted Operating Income, excluding Currency and Acquisitions ($ in millions) / (Unaudited) Source: PMI Financials or estimates Operating Income Adjusted Operating Income Currency Adjusted Operating Income excluding Currency Acquisitions Adjusted Operating Income excluding Currency & Acquisitions Operating Income Adjusted Operating Income Total Excluding Currency Excluding Currency & Acquisitions 2021 2020 $ 6,357 $ (179) $ 6,535 $ 393 $ 6,142 $ 19 $ 6,123 Europe $ 5,352 $ (96) $ 5,448 20.0% 12.7% 12.4% 2022 2021 $ 5,518 $ (470) $ 5,988 $ (1,021) $ 7,009 $ 2 $ 7,007 Europe $ 6,357 $ (179) $ 6,535 (8.4)% 7.3% 7.2% 2023 2022 $ 5,299 $ (1,061) $ 6,360 $ 185 $ 6,175 $ 177 $ 5,998 Europe $ 5,518 $ (470) $ 5,988 6.2% 3.1% 0.2% 2024 2023 $ 6,547 $ (432) $ 6,979 $ 3 $ 6,976 $ - $ 6,976 Europe $ 5,299 $ (1,061) $ 6,360 9.7% 9.7% 9.7% Years Ended December 31, Special Items % Change Special Items % Change Years Ended December 31, % Change Years Ended December 31, % Change Years Ended December 31, 118 PHILIP MORRIS INTERNATIONAL INC. and Subsidiaries Reconciliation of Non-GAAP Measures Reconciliation of Reported Operating Income to Adjusted Operating Income ($ in millions) / (Unaudited) Source: PMI Financials or estimates Europe Region 2020 2021 2022 2023 2024 Reported Operating Income $ 5,352 $ 6,357 $ 5,518 $ 5,299 $ 6,547 Asset acquisition cost - (51) - - - Restructuring charges (59) (72) - (47) - Amortization of intangibles (37) (55) (106) (221) (206) Impairment of goodwill and other intangibles - - (112) (680) (26) Charges related to the war in Ukraine - - (151) (53) - Costs associated with Swedish Match AB offer - - (53) - - Swedish Match AB acquisition accounting related items - - (48) - - Termination of agreement with Foundation for a Smoke-Free World - - - (60) - Loss on sale of Vectura Group - - - - (199) Adjusted Operating Income $ 5,448 $ 6,535 $ 5,988 $ 6,360 $ 6,979 Years Ended December 31,
Glossary: Economic footprint 119 Economic footprint of PMI in the EU 2019-2023 , prepared by EY Parthenon at the request of Philip Morris International (PMI) to assess the economic, social, and cognitive impact of PMI's activities on the socio-economic development of the EU. It was complemented by some local external studies (such as Studio 4 Capitali – Ambrosetti for Italy) prepared for some key EU markets. The direct, indirect and induced contributions generated by PMI’s business activity in the European Union and different EU markets have been estimated by applying econometric models based on sectoral interdependencies (i.e., Leontief Model). Therefore, most of the data relies on estimates and modeling that cannot be directly linked to PMI Financials. PMI’s contribution: Reference to slides 7, 58, 74, 90, 103 • Total Contribution is the result of the estimated PMI impact of three distinct components: Tax revenue, Business activities and Retail value. • Tax Revenue refers to the total estimated amount generated from various forms of taxation due to PMI's activities. This includes excise taxes on the sale of PMI products, corporate income taxes, and value-added taxes (VAT). • Economic Impact of PMI’s business activities comprises the direct, indirect, and induced effects of its operations. This includes the estimated:⎼ Direct effects from the output produced by PMI's core business activities, including production and sales.⎼ Indirect effects from the activities generated within PMI's supply chain, using input-output tables to capture interdependencies between industries.⎼ Induced effects from the spending of income earned through direct and indirect activities, using household spending patterns and interconnections between sectors. • Retail Value refers to the estimated value generated by the retailer's margins from the sale of PMI products. • Total Export refers to the estimated value of PMI's products exported from the EU and specific EU markets. • Investment in Supplier Network refers to the estimated financial resources PMI spends on its suppliers within the EU or specific EU markets. This includes expenditures on raw materials, packaging, logistics, and other essential services. • The Economic Multiplier is a factor used to estimate the broader economic impact of an initial investment. It represents the total estimated value generated in the economy for each unit of direct effects. • Indirect jobs is estimated based on primarily driven by PMI’s extensive activities in labor-intensive industries such as agriculture (for raw material), with suppliers and service providers. • Induced jobs is the estimated demand generated by PMI’s direct and indirect jobs that stimulates additional economic activity, leading to an estimated impact on employment in various other sectors of the European Union and specific market economy. • Investments in manufacturing technology and innovation / Investments since IQOS launch represent the estimated amounts spent for the commissioning/transformation of the production plants into RRP (reduced-risk products) as well as the expansion and constant modernization of the various sites and machinery. Championing a Smoke-Free World Europe Investor Focus Event June 24, 2025