PMI's 3Q Cigarette Volumes up by Four Per cent

Source from:  tobaccoreporter.com Oct 23, 2008 10/24/2008

Philip Morris International reported yesterday that its cigarette shipments during the third quarter of 2008, at 225.914 billion, were up by 4.0 per cent on those of the third quarter of 2007, 217.206 billion. This increase was driven by sales in the company's Eastern Europe, Middle East and Africa (EEMA) region, which were up by 5.0 per cent to 81.405 billion, by sales in its Asia region, which were up by 5.6 per cent to 55.946 billion, and by sales in its Latin America & Canada region, which were up by 15.0 per cent to 24.500 billion. Sales in the EU were down by 2.1 per cent to 64.063 billion. Even excluding the effects of acquisitions, PMI's cigarette shipments were up by 3.2 per cent, with particularly strong performances in Argentina, Indonesia, South Korea, Russia and Ukraine. Marlboro cigarette shipments of 80.3 billion were up by 1.1 per cent, with growth in PMI's EEMA, Asia and Latin America & Canada regions partly offset by a decline in the EU. At the same time, shipments of L&M cigarettes, at 24.0 billion, were down by 3.6 per cent, with a decline in the EEMA region partially offset by growth in the EU. Led by double-digit growth in the EEMA region and an increase in the EU, shipments of Chesterfield cigarettes grew by 14.6 per cent. Shipments of Parliament cigarettes grew by 15.8 per cent, driven by gains in the EEMA region, while Virginia Slims cigarette shipments grew by 3.6 per cent, due to gains in the EEMA and Latin America & Canada regions. Shipments of PMI's other tobacco products (in cigarette equivalent units) were said to have 'surged' by 36.2 per cent on the back of strong growth in France and Poland. Excluding the effects of acquisitions, shipments of other tobacco products were up by 15.8 per cent. Total shipments of cigarettes and other tobacco products were up by 4.4 per cent, or by 3.3 per cent excluding the effects of acquisitions. PMI's third quarter 2008 market share performances were said to have improved in a number of markets, including Algeria, Argentina, Australia, Belgium, Brazil, Bulgaria, the Czech Republic, the Dominican Republic, Egypt, Germany, Hungary, Indonesia, Korea, Mexico, the Netherlands, Romania, Russia, Turkey, Ukraine and the UK. Meanwhile, PMI announced diluted earnings per share of $1.01during the third quarter of 2008, up by 23.2 per cent from $0.82. "Our excellent third-quarter results clearly underscore our ability to deliver against our financial targets despite anticipated currency headwinds and the current global economic turbulence," said Louis Camilleri, chairman and CEO. "We continue to witness robust business momentum, demonstrated by a strong increase in organic volume and solid net revenue and income growth, all of which lead us to reaffirm our annual earnings guidance." Enditem