Shares of Altria Group (MO) plummeted 5.07% in pre-market trading on Thursday following the release of its third-quarter earnings report and annual profit forecast. The tobacco giant's results revealed ongoing challenges in its core business and a cautious outlook for the future.

Altria reported adjusted earnings of $1.45 per share for the third quarter, meeting analyst expectations. However, the company's revenue from smokeable products declined 2.8% to $5.39 billion, while oral tobacco product revenue fell 4.6% to $689 million. The decrease in revenue was primarily attributed to lower cigarette shipment volumes, with Marlboro products experiencing an 11.7% decline in shipments.

Adding to investor concerns, Altria forecasted annual adjusted earnings in the range of $5.37 to $5.45 per share, with the midpoint falling below the average analyst estimate of $5.44. This tepid outlook reflects the ongoing challenges in tobacco demand and increased competition from unregulated vape products. Despite these headwinds, Altria's board authorized an expansion of its existing share repurchase program from $1 billion to $2 billion, signaling confidence in the company's long-term prospects.