Vector Group Q4 Profit Surges On Higher Revenues, Gain

(RTTNews) - Cigarette maker Vector Group Ltd. (VGR) on Monday reported a profit for the fourth quarter that almost quadrupled from last year, reflecting higher revenues and a gain on acquisition.

On December 13, 2013, Vector Group increased its ownership of Douglas Elliman Realty, LLC from to 70.59 percent from 50 percent. Consequently, after December 13, 2013, Vector Group consolidates the operations and financial position of Douglas Elliman in its financial statements.

For the fourth quarter, net income attributable to the Miami, Florida-based company was $64.01 million or $0.61 per share, up from $16.49 million or $0.14 per share in the comparable quarter last year.

The latest quarter's results include a gain on acquisition of Douglas Elliman of $60.84 million.

Pro-forma adjusted net income attributed to the company was $37.18 million or $0.36 per share, compared to $13.00 million or $0.14 per share in the year-ago period.

Revenues for the quarter grew 6 percent to $295.16 million from $277.56 million in the previous-year quarter.

The increase in revenues was primarily due to the acquisition of Douglas Elliman and the inclusion of $19.1 million of its revenues, along with $22.7 million of revenues related to the sale of lots at the Company's Escena development in Palm Springs, California.

The increase was offset by a $24.3 million decline in revenues in the company's tobacco business, which was attributable to a 11.9 percent decline in unit sales.

Pro forma adjusted revenues for the quarter were $397.25 million, up from $383.46 million in the prior-year period.

VGR closed Monday's regular trading session at $20.26, up $0.73 or 3.74 percent on a volume of 1.83 million shares.