Philip Morris International Inc (NYSE:PM) came out with its second quarter earnings results on Tuesday 21st July 2020 before market open.
The manufactures and sells cigarettes, other tobacco products, reported $ 1.25 income per share for the quarter
On adjusted basis, Philip Morris International Inc reported income for the quarter of $ 1.29 per share, beat the consensus estimate of $ 1.10 income per share by $ 0.19 or 17.27 percent.
The quarterly earnings contracted 16.11 percent compared with the same quarter last year.
The firm had revenue of $ 6,651.00 million for the quarter, compared to the consensus estimate of $ 6498.48 million. The revenues outshined analysts estimates by $ 152.52 million or 2.35 percent.
Earlier, for the second quarter the company expected revenue of $ 7.17 billion.
The financial report showed revenues contracted 13.61 percent versus second quarter of last year.
Analysts estimates are from Thompson Reuters, exclude one time gain or loss
André Calantzopoulos, Chief Executive Officer, commented: Despite a very challenging quarter due to the pandemic, we delivered results above our previously communicated expectations for both net revenues and reported diluted EPS. This primarily reflected favorable sequential performance in June, with a strong industry volume recovery — notably in the higher margin EU Region — and substantial IQOS user acquisition growth, as well as the benefit of certain non-underlying factors, some of which we expect to reverse in the third quarter.
On April 21, 2020, PMI withdrew its 2020 full-year reported diluted EPS forecast of at least $ 5.50, originally provided on February 6, 2020. At the time, the company was unable to forecast its full-year financial results with reasonable accuracy given the uncertainty surrounding the COVID-19 pandemic and the related impact on the company’s business globally.
Today, the company announced 2020 adjusted earnings estimate to a range of $ 4.92 ~ $ 5.07 per share. Excluding an unfavorable currency impact, at prevailing exchange rates, of approximately $ 0.31 per share, asset impairment and exit costs of $ 0.04 per share, and a fair value adjustment for equity security investments of $ 0.04 per share, this forecast represents a projected increase of approximately 2 to 5 percent versus pro forma adjusted diluted earnings per share of $ 5.13 in 2019
Wall street analysts expected 2020 income of $ 4.92 per share on revenue of $ 28706.50 million.
