Summary
Philip Morris International Inc. (PM) reported its first-quarter 2011 financial results, demonstrating robust top-line growth and improved profitability. Net revenues increased by 6.0% to $16.53 billion, driven by strong pricing across all segments and favorable currency movements. Net earnings attributable to PMI rose by 12.7% to $1.92 billion, translating to a 17.8% increase in diluted earnings per share (EPS) to $1.06. The company's operational performance was solid, with total cigarette volume up 1.6% year-over-year, largely propelled by significant growth in the Asian market, particularly Indonesia and the Philippines, and a favorable impact from the Philippines business combination. Despite some volume declines in the European Union and EEMA regions due to market dynamics and geopolitical factors, the overall volume growth, combined with strategic pricing actions and efficient cost management, contributed to a substantial increase in operating income. The company also reiterated its positive outlook for the full year 2011, raising its diluted EPS forecast.
Financial Highlights
52 data points| Revenue | $16.53B |
| Cost of Revenue | $2.29B |
| Gross Profit | $4.50B |
| Operating Income | $3.01B |
| Net Income | $1.92B |
| EPS (Basic) | $1.06 |
| EPS (Diluted) | $1.06 |
| Shares Outstanding (Basic) | 1.79B |
| Shares Outstanding (Diluted) | 1.79B |
Key Highlights
- 1Net revenues increased by 6.0% to $16.53 billion, driven by price increases and favorable currency.
- 2Net earnings attributable to PMI grew by 12.7% to $1.92 billion.
- 3Diluted Earnings Per Share (EPS) increased by 17.8% to $1.06.
- 4Total cigarette volume increased by 1.6% to 207.92 billion units, with notable growth in Asia.
- 5Operating income saw a substantial increase of 10.8% to $3.01 billion.
- 6The company raised its full-year 2011 diluted EPS forecast to a range of $4.55 to $4.65.
- 7Cost of sales decreased by 3.2% due to volume/mix and currency movements.