Despite the health stigma attached to smoking, tobacco giant Philip Morris International Inc. (NYSE: PM) continues to report strong earnings.  Today, PM announced adjusted earnings of $1.00 per share, or +7%.  The company also reported revenue of $6.61 billion.  While PM did grow earnings, it did miss expectations slightly, as analysts forecasted EPS of $1.01 and revenue of $6.92 billion.

The news follows reports of Altria Group Inc.

(NYSE: MO) beating earnings yesterday.

The company noted an unfavorable currency adjustment of $138 million in revenues due predominantly to the Euro; and excluding the currency net revenues increased by +2.5%. There were also a few drags on its operations.  Among those were various timing issues affecting several markets, Japan in particular.  Also noted was a significant excise tax increase implemented in Greece and Turkey.

The company’s increased market share is allowing it to raise and narrow guidance ahead.  For 2010, the company sees $3.90-$3.95 EPS versus $3.24 in 2009 and versus a Thomson Reuters estimate of $3.77 EPS.

‘International Tobacco’ repurchased 20.7 million shares of its common stock for $1.1 billion.  The company had already juiced its dividend up, but the company is adding to share buybacks with an acceleration of buybacks of an additional $1.0 billion in 2010 under an existing buyback plan.

Revenues rose by +0.4% excluding excise taxes, but that was +2.5% growth excluding currency.  Free cash flow rose by 33.6% to $2.3 billion, but this figure was listed as being up +47.4% excluding currency.

It is still too early to see live price indications, but shares closed Wednesday at $57.48 and the 52-week trading range is $42.94-$58.78.

Altria Group Inc. saw its shares rise yesterday to $24.92 from $24.75 after beating earnings with $0.54 EPS versus $0.52 EPS expected, and the 52-week range there is $17.80-$25.00.  The boost to Altria was on smokeless tobacco and on Marlboro pricing.