Philip Morris Stock Price, News & Analysis

Philip Morris International (NYSE: PM) reported strong second-quarter results for 2021, achieving a diluted EPS of $1.39, an 11.2% year-over-year increase. Adjusted diluted EPS rose 21.7% to $1.57. Cigarette and heated tobacco shipment volumes increased by 6.1%, driven by a 30.2% rise in heated tobacco units. The company anticipates a full-year adjusted diluted EPS between $5.76 and $5.86 following adjustments for Saudi customs assessments and organizational costs. A new $7 billion share repurchase program was announced, and smoke-free products now contribute 29% to adjusted net revenues.

Philip Morris International (PM) will host a live audio webcast on July 20, 2021, at 9:00 a.m. ET to discuss its 2021 Second-Quarter results, which will be released at 7:00 a.m. ET. Emmanuel Babeau, Chief Financial Officer, will lead the discussion, during which questions from the investment community will be addressed. PMI does not intend to provide additional information on its offer to acquire Vectura Group plc beyond what was disclosed on July 9, 2021. The archived webcast will be available until 5:00 p.m. ET on August 18, 2021.

Philip Morris International (PMI) has reached an agreement to acquire Vectura Group for GBP 852 million (USD 1.2 billion), offering shareholders 150 pence per share—a 46% premium over the previous share price. This acquisition is part of PMI's "Beyond Nicotine" strategy, aiming to generate USD 1 billion in revenues by 2025 from inhaled therapeutics. PMI anticipates that combining Vectura's expertise with its own will enhance its capabilities in drug delivery. The deal is expected to close in the second half of 2021, pending shareholder and regulatory approvals.

Philip Morris International (PM) has announced its agreement to acquire Fertin Pharma A/S for an enterprise value of DKK 5.1 billion (approximately USD 820 million). This acquisition aims to enhance PMI's smoke-free portfolio and accelerate its efforts in beyond nicotine products. Fertin Pharma, specializing in oral and intra-oral delivery systems, generated net revenues of DKK 1.1 billion in 2020. PMI plans to complete the deal by Q4 2021, expecting its impact on full-year adjusted diluted EPS to be immaterial.

Philip Morris International (PM) is advocating for a united effort against illicit trade following a KPMG report that identifies a rising trend in the consumption of illegal cigarettes across 30 European countries. The report highlights that the share of illicit cigarettes increased to 7.8% in 2020, with counterfeit cigarette consumption skyrocketing by 87%. This situation results in an estimated tax loss of €8.5 billion for governments in the EU. PMI emphasizes the importance of collaboration among stakeholders to combat this issue, which undermines public health initiatives aimed at reducing smoking.

Philip Morris International (PMI) (NYSE:PM) announced its relocation of corporate headquarters from New York to Connecticut, expected to be operational by summer 2022. The move will create about 200 jobs in Connecticut, contributing to the local economy. PMI aims to accelerate its transformation towards a smoke-free future by utilizing technological advancements and expertise in life sciences. The company seeks to develop noncombustible alternatives and has achieved significant recognition for its sustainability efforts and gender equity.

Philip Morris International (PMI) announced a new Americas structure with Deepak Mishra appointed as President, effective July 1, 2021. This reorganization aims to enhance leadership in Latin America and Canada, promote reduced risk products in the U.S., and support PMI's 'beyond nicotine' strategy. CEO Jacek Olczak praised Mishra's strategic insights and experience from his previous roles. The changes include the retirement of Martin King, previous CEO of PMI America, and a shift in the reporting structure for the Strategy & Program Delivery function.

The Board of Directors of Philip Morris International (NYSE:PM) has authorized a new share repurchase program up to $7 billion, targeting $5 to $7 billion over three years, effective after the Q2 2021 earnings call. A quarterly dividend of $1.20 per share was also declared, payable on July 12, 2021. Since its 2008 spin-off, the company has returned approximately $115 billion to shareholders through dividends and repurchases. These actions underscore PMI's commitment to rewarding shareholders while transitioning to smoke-free products.

Philip Morris International (PM) has launched the third funding round of PMI IMPACT, an initiative aimed at combating illegal trade. Projects addressing various forms of illicit trade, including counterfeit goods and illicit tobacco, are now invited for funding. Applications are accepted from global organizations until deadlines on Sept. 15, 2021, Feb. 15, 2022, and Aug. 15, 2022. PMI has allocated $48 million to date across 60 projects in 30 countries, from a pledged $100 million for these funding rounds. The initiative emphasizes the need for innovative solutions, particularly in light of COVID-19's impact on trade.