* Cuts full-year share outlook to $3.70-$3.80
* CEO cites weak euro
* Shares up 3.8 percent
(Adds analyst's comment, paragraph 2; dateline, byline)
By Emily Stephenson
CHICAGO, June 23 Philip Morris
International(PM.N) said earnings, helped by higher prices,
would grow more than expected in 2010, excluding the impact of
the weakening euro, sending its stock up almost 4 percent.
"The underlying business will grow this year," Morningstar
analyst Philip Gorham said.
The euro's weakness, however, means that Philip Morris,
which sells Marlboro cigarettes and other brands, expects its
earnings per share to be about 5 cents lower than its previous
The revised earnings outlook reflects a negative currency
impact of 20 cents, Chief Executive Louis Camilleri told
investors at a meeting in Lausanne, Switzerland. The company
provided Reuters with a copy of the meeting's transcript.
For the full-year 2010, the U.S. company expects to earn
$3.70-$3.80 per share, down from its previous expectation of
$3.75-$3.85 a share.
Analysts, on average, were expecting full-year earnings of
$3.77 a share, excluding items, according to Thomson Reuters
But the company's projected underlying growth rate, which
Gorham said shows performance on a constant-currency basis, was
14 percent to 17 percent for 2010. The rate projected in April
was lower, at 10 percent to 13 percent.
An expected price increase on cigarettes sold in Japan was
among the factors contributing to improved outlook, Chief
Financial Officer Hermann Waldemer said during the investors
Shares of Philip Morris were at $46.73, up $1.74 or 3.8
percent in early afternoon trade on the New York Stock
(Reporting by Emily Stephenson, Sakthi Prasad in Bangalore;
Editing by Dan Lalor)