LONDON — Cigarette maker Philip Morris International Inc cut its earnings forecast for 2014 and said it is proving to be a “complex and truly atypical” year for the company. Philip Morris and its rivals like Imperial Tobacco Group and British American Tobacco are grappling with declining sales in a number of markets due to increasing government regulation and more health-aware consumers, as well as smuggling and an economic downturn. The maker of Marlboro cigarettes said it now expects to earn $4.87-$4.97 per share for 2014, lower than the $5.09-$5.19 per share it expected earlier and $5.26 it earned in 2013. “We continue to face significant currency headwinds, an improving but weak macro-economic environment in the European Union and known challenges in Asia,” Chief Executive Andre Calantzopoulos said in a statement. However, Philip Morris expects adjusted profit in 2014 to rise 6 to 8 percent from the $5.40 it reported last year. The firm forecast a 2 to 3 percent fall in 2014 total cigarette industry volume, excluding China and US. Philip Morris also said it acquired Nicocigs Ltd, a UK-based e-cigarette maker to get access to the growing e-cigarette category in the UK market. – Reuters
