Philip Morris Beats Q3 Estimates

reported stronger-than-expected earnings for the third quarter on Thursday. The New York-based company posted quarterly net earnings of $1.94 billion, or $1.25 per share, compared to $2.16 billion, or $1.38 per share, in the year-ago period. Excluding non-recurring items, the company's adjusted earnings came in at $1.24 per share. Its revenue, excluding excise taxes, dropped 11.8 percent to $6.93 billion. However, analysts were expecting earnings of $1.11 per share on revenue of $6.76 billion. The average estimate among 24 Estimize users was for earnings of $1.15 per share and revenue of $6.81 billion. Net revenue for European Union region fell 13.4 percent to $2.0 billion during the quarter, while net revenue for Asia region slipped 11.1 percent to $2.0 billion. Revenue for Latin America & Canada region declined 3.5 percent to $804 million. Cigarette shipment volume, excluding acquisitions, declined 1.5 percent to 218.9 billion units. "Our strong performance in the first half of the year continued in the third quarter," said André Calantzopoulos, Chief Executive Officer. "Organic volume, market share and pricing trends remain very robust against the backdrop of an improved macroeconomic environment, particularly in our EU and EEMA Regions." During the quarter, the company raised its regular quarterly dividend by 2.0 percent to $1.02 per share. Philip Morris did not make any share repurchases during the first nine months of 2015. Philip Morris narrowed its 2015 earnings forecast to be in a range of $4.35 to $4.40 per share, at prevailing exchange rates, compared to $4.76 per share in 2014. On an adjusted basis, the company expects EPS growth of 11 percent to 12 percent from adjusted EPS of $5.02 in 2014. Philip Morris shares gained 2.50 percent to $86.58 in pre-market trading.