Cigarette maker Lorillard 3Q profit falls

[October 24, 2011]  RICHMOND, Va. (AP) -- Cigarette maker Lorillard says its net income fell nearly 3 percent in the third quarter as higher costs offset selling more cigarettes at higher prices.

Lorillard said Monday it earned $267 million, or $1.94 per share, for the period ended Sept. 30. That's down from $274 million, or $1.81 per share, a year ago. The per-share figure was boosted by a lower number of shares outstanding.

The nation's third-biggest tobacco company says revenue excluding excises taxes rose 4 percent to $1.11 billion.

Analysts expected earnings of $2.03 per share on revenue of $1.14 billion.

Lorillard Inc., based in Greensboro, N.C., sold about 3 percent more cigarettes on gains from Newport and its low-priced Maverick brand. It estimates the industry as a whole sold 6.4 percent fewer cigarettes during the quarter.

[Associated Press; By MICHAEL FELBERBAUM]

Copyright 2011 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.