Cigarette giant Philip Morris International (PMI) cut its full-year earnings projection earlier today after struggling to increase Japanese demand in its heated tobacco device called iQOS.
The Marlboro cigarette maker slashed its expected diluted earnings from $5.25 to $5.40 in an earlier April forecast to a more downgraded range of $5.02 to $5.12.
André Calantzopoulos, current chief executive of the tobacco company, said: "We are implementing the right marketing and product measures to reinvigorate growth in Japan, which is undoubtedly well below our initial expectation this year."
Cigarrete shipment volume dropped 2.8bn units in the second quarter of 2018, falling 1.5 per cent year-on-year to 190.7bn units.
Meanwhile, despite its difficulty in Japanese markets, the companys heated tobacco products enjoyed a sharp 73 per cent rise.