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Reynolds American misses 4Q profit forecasts

WINSTON SALEM, N.C. (AP) _ Reynolds American Inc. (RAI) on Thursday reported fourth-quarter net income of $279 million.

On a per-share basis, the Winston Salem, North Carolina-based company said it had profit of 19 cents. Earnings, adjusted for non-recurring costs, were 48 cents per share.

The results did not meet Wall Street expectations. The average estimate of five analysts surveyed by Zacks Investment Research was for earnings of 50 cents per share.

The parent of Camel and Pall Mall cigarette maker R.J. Reynolds posted revenue of $3.05 billion in the period.

Reynolds American expects full-year earnings in the range of $2.25 to $2.35 per share.

Reynolds American shares have increased roughly 3 per cent since the beginning of the year, while the Standard & Poor’s 500 index has dropped slightly more than 9 per cent. The stock has climbed 35 per cent in the last 12 months.

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This story was 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

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