According to foreign reports on October 21, according to foreign reports, the performance of the tobacco giant is still good, although the new crown global pandemic will continue to create an uncertain environment.
Philip Morris said it earned $2.31 billion, or $1.48 per share, in the third quarter, up from $1.22 a share in the same period last year. Adjusted earnings per share were $1.42, down 2.6% to $7.45 billion.
Analysts had expected earnings per share of $1.36 and revenue of $7.28 billion.
Sales of traditional tobacco products, including cigarettes, fell 7.6% in the quarter, about half of the 14.5% decline in the second quarter, the company said. Cigarette shipments fell by 9.8% in the third quarter, a substantial improvement over the 17.6% decline in the previous quarter.
In addition, shipments of heated tobacco, including the thermal non combustible product iqos, increased by 18.7% in the quarter.
The company had 16.4 million iqos users at the end of the quarter, of which about 11.7 million had quit smoking and switched to iqos.
Filipino adjusted its full year forecast, saying it now expects earnings of $5.05 to $5.10 per share, reflecting a 5% to 6% year-on-year organic growth. The company is widely expected to make a profit of $5.09 a share.
Emmanuel Andre Marie babeau, the chief financial officer of Fimo, told the media that he was proud of the results.
‘This is proof of the strength of Philip Morris, who continues to grow on a very strong growth trajectory despite the difficulties and limitations of the pandemic, ‘he said.
Babeau highlighted the company’s continued success with iqos, which was authorized by the U.S. Food and Drug Administration (FDA) in July as a modified risk tobacco product for marketing purposes. Given the importance of the agency’s decision to other regulators, he called it a landmark.
He noted that for many years, the agency had been confirming the scientific basis for its products as part of the approval process, and iqos’s proprietary delivery system reduced emissions of potentially hazardous chemicals by about 90% compared to traditional products.
Babeau said concerns about second-hand smoke began to play a role as more and more people spent time with their families, a message that is particularly important in today’s market. He said the new crown blockade can make people switch, and what they can do is good for themselves and the people around them.
Babeau said the continued threat from covid-19, like other companies, remained a disadvantage for Philip Morris, especially as the number of cases increased in some areas, prompting it to return to stricter regulation. In addition, its duty-free business, which relies on international travel, will be restricted in the near future. As a result, investors may need to wait patiently, as the new normal is likely to persist in the near future, especially given the lack of vaccines since the northern hemisphere enters winter.
He still points out that the company has performed well throughout the crisis, as evidenced by the latest results, and despite the uncertainty, Philip Morris still has a very good future in the months and quarters to come.