WINSTON-SALEM, N.C. (AP) — Reynolds American's first-quarter profit climbed, helped by increased cigarette prices. Its adjusted profit beat analysts' expectations.
The parent of the Camel and Pall Mall cigarette brands earned $389 million, or 73 cents per share, for the three months ended March 31. A year earlier it earned $363 million, or 67 cents per share.
Earnings, adjusted for non-recurring costs, were 86 cents per share.
The results beat Wall Street's view. The average estimate of six analysts surveyed by Zacks Investment Research was for earnings of 79 cents per share.
Reynolds American said its performance also benefited from higher moist-snuff pricing.
Its revenue amounted to $2.06 billion in the period.
On Thursday overseas tobacco seller Philip Morris International Inc. reported first-quarter results that topped analysts' estimates. The company also raised its full-year earnings forecast.
Reynolds American Inc. still expects full-year adjusted earnings in the range of $3.65 to $3.80 per share. Analysts polled by FactSet predict earnings of $3.79 per share.
The company's stock fell 20 cents to $74.04 in morning trading Friday amid a broad market selloff. Reynolds American shares are up more than 34 percent over the past year.
Elements of this story were generated by Automated Insights (http://automatedinsights.com/ap) using data from Zacks Investment Research. Access a Zacks stock report on RAI at http://www.zacks.com/ap/RAI
Keywords: Reynolds American, Earnings Report, Priority Earnings