(Reuters) - Altria Group ( MO ) topped quarterly sales expectations on Thursday, driven by higher pricing and rising demand for alternatives to conventional tobacco products.

Like other tobacco giants, Altria ( MO ) has been revamping its portfolio of products to keep up with consumers switching from traditional tobacco products to vapes or other alternatives and as inflation-hit smokers switched to cheaper brands.

The company's net revenue came in at $5.58 billion in the first quarter, topping analyst expectations of $4.71 billion, while profit on an adjusted basis came in line with expectations.

Last year, Altria ( MO ) launched a lower-priced version of its flagship Marlboro brand and finalized its acquisition of e-cigarette startup NJOY Holdings, expanding its portfolio to include pod-based vapes.

Shipment volumes of Altria's ( MO ) nicotine pouch, On! increased by 32.1% compared to 25.2% in the previous quarter.

The results echo peer Philip Morris International ( PM ), which reported upbeat quarterly results, helped by robust demand for its heated tobacco product and Zyn nicotine pouches.

Earlier this year, Altria ( MO ) cut its stake in top beer maker Anheuser-Busch InBev.

Shares of Altria ( MO ) were up marginally in premarket trade.