Vector Posts Record Quarterly Revenues

Vector Group reported consolidated revenues of $378 million for the third quarter of 2022, up 26.6 percent over the prior year period.

Tobacco segment unit volume increased 30.1 percent compared to the comparable 2021 period. Liggett’s wholesale and retail market share increased to 5.7 percent each, compared with 3.9 percent and 4.2 percent, respectively, in the prior year period.

Reported net income declined to $38.9 million from $48.9 million.

Reported net income from continuing operations was $38.9 million, up from $29.9 million in the prior year period. Adjusted net income from continuing operations was $37.6 million compared to $33.9 million in the prior year period.

Reported operating income increased by $1.9 million to $83.9 million.

Tobacco segment operating income was down 4 percent to $88.1 million, primarily as a result of the company’s investment in its Montego brand.

“Vector Group delivered record tobacco quarterly revenues in the third quarter as we continued to capitalize on favorable market opportunities to substantially increase value and market share,” said Vector Group President and CEO Howard M. Lorber in a statement.

“Driven by the significant growth of our price-fighting Montego brand, Liggett’s wholesale market share in the third quarter was 5.7 percent, which is its highest market share since 1984. We have begun to gradually shift our growth strategy of Montego, which is now the second-largest discount brand in the United States, from volume-based to profit-based. As we move forward, we will continue to focus on optimizing long-term profit through the effective management of volume, pricing and market share growth.”