Business
Rothmans reports results for second quarter of fiscal 2007
Rothmans reports results for second quarter of fiscal 2007.
About this update from Pantera Silver Corp.
[{"type":"text","content":"\n\n\n\n\n>\n\nTrading: TSX: ROC\n\nTORONTO, Oct. 27 /CNW/ - Rothmans Inc. today announced its results for\nthe second quarter of fiscal 2007, which ended September 30, 2006.\nRothmans' earnings for the second quarter of fiscal 2007 were\n$C28.3 million, or $0.42 basic earnings per share, compared with $30.1 million\nor $0.44 basic earnings per share in the second quarter of fiscal 2006. For\nthe first six months of this fiscal year, Rothmans' earnings were $57.6\nmillion or $0.85 per share, compared with $59.8 million or $0.88 per share in\nthe first half of the prior year.\nSales at 60%-owned subsidiary Rothmans, Benson & Hedges Inc., net of\nexcise duty and taxes, increased to $165.2(1) million in the most recent\nquarter compared with $164.9(1) million in the second quarter of fiscal 2006.\nSales for the first six months of this fiscal year were $328.1(1) million\nversus $329.5(1) million for the same period a year earlier.\nDuring the three months ended September 30, 2006, total reported industry\ndomestic sales volumes for all tobacco products decreased 10.0% from a year\nearlier. It is believed that the presence of contraband product contributed to\nthis decline, which continues to exceed the historical average rate\nexperienced by the industry. Total reported industry domestic sales volumes of\n8.7 billion equivalent sticks in the most recent quarter were 2.1% lower than\nin the prior quarter, but 14.9% higher than in the quarter ended March 31,\n2006, reflecting normal industry seasonality.\nRBH's EBITDA margin for the second quarter was 50.6%(1) compared with\n52.6%(1) in the prior quarter and 53.1%(1) in the quarter ended September 30,\n2005. Lower EBITDA margin was primarily due to the effect of lower shipment\nvolumes, higher product input, manufacturing, sales and marketing and general\nadministrative costs and volume shifts from mid-tier to the lower-priced tier\nof the cigarette price category partially offset by price increases across all\nproduct categories.\n\n>\n\nRBH's share of the total domestic composite market was 32.6% for the\nquarter ended September 30, 2006 compared with 31.5% and 31.1% for the three\nmonths ended June 30, 2006 and September 30, 2005, respectively. Premium\ncigarette share was 16.2%, up from 15.5% and 15.6% in the prior quarter and\nyear-earlier quarter. RBH's share of the domesti...