Core Viewpoint - Altria's third-quarter earnings report disappointed investors, leading to a significant decline in its stock price, which fell 15% following the report [2][3][4]. Financial Performance - Altria reported a revenue decline of 3% in Q3, totaling $6.07 billion, which was below the consensus estimate of $5.31 billion [5][4]. - Adjusted earnings per share increased by 3.6% to $1.45, matching analyst expectations [7]. Market Trends - Cigarette shipments fell sharply, with Marlboro shipments down 11.7% to 14.2 billion and total cigarette shipments down 8.2% to 16.2 billion [6]. - There was a notable 74.5% increase in discount cigarette shipments to 1.2 billion, indicating consumers are opting for cheaper alternatives due to discretionary spending pressures [6]. Future Outlook - The company raised its full-year EPS guidance to a range of $5.37-$5.45, still below the consensus of $5.44 [8]. - Altria increased its dividend by 3.9% to $4.24 annualized per share, marking its 60th increase in 56 years [8]. Strategic Challenges - Altria continues to face difficulties in transitioning from traditional cigarettes to next-generation products, following a failed investment in Juul Labs and subsequent acquisition of NJOY [9]. - The company is making progress with its On! product and is working on obtaining approvals for Ploom and Marlboro heated tobacco sticks [10].