Deej's Top Pick Update: Philip Morris International reports great first quarter results
Philip Morris International's first quarter results, its first since being spun-off from Altria, look great. Its Q1 earnings rose 29.2% during the quarter to $0.89 per share, soundly beating the $0.77 per share that analysts were looking for. PM sold 2.2% more cigarettes last quarter than it did during the same period a year ago. The strength in PM's business was spread across all of its geographic segments, with each experiencing double-digit revenue and income growth. Currency benefits provided the company with a significant tailwind.
As if that news wasn't good enough, PM also raised its guidance for the year. It now espects its earnings for all of 2008 to rise by 14% to 16% to $3.18 to $3.24 per share.
In addition to talking about its results, Philip Morris International announced that it is purchasing several cigarette brands from Imperial Tobacco, including Bergerac, Interval, Picadura, and Van Nelle for $405 million.