Enter multiple symbols separated by commas

Loews' Results Up on Strength at Insurance, Oil Drilling Units

Loews said first-quarter profit rose 42%, topping Wall Street forecasts, helped by better-than-expected results from its insurance, tobacco and oil drilling units.

Net income at the New York-based conglomerate, which is run by the billionaire Tisch family, rose to $768.3 million from $541 million a year earlier.

Profit attributable to Loews shareholders rose to $650.7 million, or $1.20 a share, from $473.4 million, or 85 cents.

Excluding investment gains and losses, profit totaled $1.06 a share, topping analysts' average forecast of 96 cents, according to Thomson Financial. Revenue rose 10% to $4.66 billion.

Loews' businesses include financial, tobacco, energy, hotel and watch-making companies.

Chicago-based CNA Financial , the No. 7 U.S. commercial insurer and Loews' largest unit, said profit rose 29% to $296 million, or $1.09 a share, from $229 million, or 82 cents, a year earlier.

Excluding investments, operating profit totaled $307 million, or $1.13 a share, CNA said. Analysts on average forecast $1.05. CNA used 95.1% of property and casualty premium income for claims, down from 96.9%.

Loews owns 89% of CNA. Last Wednesday, CNA set a 10 cents a share quarterly dividend, its first dividend in more than 30 years.

Net income at the Lorillard tobacco unit rose 26% to $188.7 million. Profit attributable to shareholders of Carolina Group, a tracking stock for Lorillard, rose
to $1.08 a share from 86 cents. Analysts expected 97 cents.

Lorillard net sales rose 7% to $913 million. Results benefited from a December price increase and lower marketing costs. Lorillard brands include Newport, Kent and True.

Other Units

Houston-based Diamond Offshore Drilling last Thursday reported a quarterly profit of $224.2 million, or $1.64 a share, topping the average $1.47 forecast. Loews has a 51% stake in the unit.

Profit rose 15% to $80.2 million at Boardwalk Pipeline Partners, in which Loews owns a 75% stake, while Loews Hotels posted a $10.9 million profit. Loews also owns watchmaker Bulova.

Loews is run by James Tisch and Co-Chairmen Andrew Tisch and Jonathan Tisch. Andrew and James Tisch's late father, Laurence Tisch, and Jonathan Tisch's late father, Preston Robert Tisch, were also Loews chairmen.

Contact U.S. News


    Get the best of CNBC in your inbox

    Please choose a subscription

    Please enter a valid email address
    To learn more about how we use your information,
    please read our Privacy Policy.

Don't Miss

U.S. Video