Benzinga | Jul 20, 2021 08:50AM EDT

Philip Morris Beats On Q2 Earnings; Lifts FY21 Adjusted EPS Guidance

* Philip Morris International Inc (NYSE:PM) reported second-quarter FY21 net revenue growth of 14.2% year-on-year to $7.59 billion and adjusted net revenues growth of 17.9% to $7.84 billion, versus the analyst consensus of $7.67 billion.

* Cigarette and heated tobacco unit shipment volume up by 6.1% Y/Y, with 12.7% growth in the Middle East & Africa.

* Sales from smoke-free products accounted for 29.0% of total adjusted net sales.

* Cigarette shipment for Marlboro increased 6.7%, mainly driven by Italy and Sampoerna A saw a 26.6% hike.

* Total international market share for cigarettes fell 1.3 points Y/Y to 23.8%.

* The adjusted operating margin for the quarter was 44.1%, with $3.5 billion in adjusted operating income.

* Adjusted EPS of $1.57 beat the analyst consensus of $1.55.

* The company held $4.92 billion in cash and equivalents as of June 30, 2021.

* Outlook: The company raised FY21 adjusted EPS, excluding currency, to $5.79-$5.89 from $5.75-$5.85 against the consensus estimate of $6.10.

* It lowered Reported EPS outlook to $5.76 to $5.86 from the prior outlook of $5.93 to $6.03. Adjusted EPS is expected to be $5.97 to $6.07, versus the previous outlook of $5.95 to $6.05.

* It currently expects organic net revenue growth of 6% to 7%.

* Price action: PM shares are trading higher by 0.58% at $98.50 in premarket on the last check Tuesday.