(Reuters) -Marlboro maker Philip Morris International Inc (NYSE:PM) cut its full-year profit forecast on Thursday, hit by rising tobacco leaf prices, energy and labor costs.
Shares of the company fell about 2% in premarket trade.
The company’s margins have been strained in the last few quarters due to these costs which were driven by lingering industry-wide supply chain challenges further aggravated by the Russia-Ukraine crisis.
The adjusted operating income margin during the first quarter shrinked by 5.8 percentage points pressured by higher logistics and energy costs.
The Marlboro maker sees adjusted full-year profit per share of $6.10 to $6.22, down from its previous forecast of $6.25 to $6.37.
The Stamford, Connecticut-based company’s revenue rose 3.5% to $8.02 billion in the quarter ended March 31, but missed analysts’ estimates of $8.11 billion, according to Refinitiv IBES data, hurt by lower cigarette shipment volumes.
