Philip Morris CR should disclose its full-scope FY2003 CAS results this afternoon. Recall that the company already reported its 2003 net profit two weeks ago: an unconsolidated CAS net income of CZK 1,575 per share and consolidated net income of CZK 1,594 per share.
The company should increase consolidated sales by 5%, supported by a hoarding effect before the cigarette price increase that was expected in the Czech Republic at the beginning of 2004. Moreover, the extraordinary appreciation of the Czech currency to the USD in 2003 (tobacco is a USD-traded commodity) decreased material costs in 2003.
Jan Hájek, Patria Finance