Altria has reported an increase of 2.3 per cent in revenues net of excise taxes, despite seeing a 10 per cent increase in diluted earnings (losses) per share this quarter, the company stated in its third-quarter results.

In Q3 2019 Altria saw a 2.3 per cent increase in revenues net of excise taxes compared to Q3 in 2018, this quarter making USD 5.4 billion. This is despite seeing a 10.2 per cent increase in diluted earnings per share, a loss of USD 1.19 million. The report reaffirmed Altria’s adjusted full year predictions for its diluted EPS, estimating an overall increase of between 5 and 7 per cent. This will place the diluted EPS in range of USD 4.19 – 4.27 million, compared to USD 3.99 million in 2018. Altria predominantly attributes this increase to the debt incurred to fund Cronos and JUUL transactions.
Altria’s net revenues from smokeable products were relatively unchanged, as, despite higher pricing and lower promotional investments, shipment volume was lower. Revenues net of excise taxes from smokeable products were up 2.5 per cent, at USD 4.6 billion. The domestic shipment of smokeable products was down 6.6 per cent, with only 27.7 billion sticks being shipped this quarter, compared to 29.7 billion sticks in Q3 2018. According to the report, this is comparable with an overall industry decline in smokeable products.
Net revenues from smokeless products increased by 5.8 per cent, to USD 620 million and revenues net of excise taxes for smokeless products increased 6.3 per cent, to USD 587 million. However, domestic shipment volume decreased 2.5 per cent, with only 208 million products being shipped this quarter, compared to 213 million products being shipped in Q3 2018.
Altria’s Chairman and Chief Executive Officer, Howard Wilson, stated, “Our core tobacco businesses delivered excellent third-quarter financial results. Our 2019 plans remain on track, and we reaffirm our guidance to deliver full-year 2019 adjusted diluted EPS growth of 5 per cent to 7 per cent.”