WASHINGTON (dpa-AFX) - Cigarettes maker Lorillard Inc.'s (LO) fourth-quarter reported net income advanced to $310 million, or $2.32 per share from $259 million or $1.74 per share last year.
Adjusted net income was $295 million, or $2.20 per share, higher than $259 million, or $1.74 per share in the previous year. The 26.4% increase in adjusted earnings per share includes the benefit of the company's share repurchase program which resulted in lower outstanding shares, and contributed $0.22 to the increase in earnings per share, the company added. On average, 9 analysts polled by Thomson Reuters expected earnings per share of $1.95 for the quarter. Analysts' estimates typically exclude one-time items.
Net sales, including excise taxes, increased to $1.62 billion from $1.49 billion in the 2010 fourth quarter, up 8.9%, resulting mainly from higher unit sales volume and higher average prices. Analysts estimated revenues of $1.08 billion for the quarter.
Murray Kessler, Chairman, CEO & President said, 'Fourth quarter gains in market share, pricing realization and margins resulting from the Company's strategic initiatives implemented during 2011 all contributed to the strong quarter and year.'
Further, the board approved a 19% increase in the quarterly dividend on its common stock from $1.30 per share to $1.55 per share, payable on March 9, 2012 to stockholders of record as of March 1, 2012.
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