United Capital Corp. (NYSE Amex: AFP) today reported results for the first quarter of 2011. Net income rose 215% to $9.8 million, an increase of $6.7 million, from net income of $3.1 million reported in the first three months of 2010. On a per share basis, net income was $1.10 per basic share versus $.34 in the comparable prior year period.
Total revenues grew 12.6% in the three months ended March 31, 2011 to $22.6 million. Total revenues for the comparable 2010 period were $20 million. The Company’s engineered products segment reported an increase in revenues of 17% for the quarter, while the hotel operations and real estate segment reported increases of 11% and 8%, respectively, over the first three months of last year.
Operating income for the quarter increased 8% from that reported in the first three months of 2010, led by a 37% increase in operating income from the Company’s hotel segment. The results of the current quarter also include a $9 million gain on the sale of available-for-sale securities which generated $22 million in proceeds and led to a 200% improvement in income from continuing operations before taxes.
In commenting on the results, A.F. Petrocelli, Chairman of United Capital Corp., noted, “The diversity of our investments has once again demonstrated the strength of our Company, while our core businesses continue to deliver strong growth.”
Certain statements in this press release and other statements made by the Company or its representatives that are not strictly historical facts are “forward-looking” statements within the meaning of the Private Securities Litigation Reform Act of 1995 that should be considered as subject to the many risks and uncertainties that exist in the Company's operations and business environment. The forward-looking statements are based on current expectations and involve a number of known and unknown risks and uncertainties that could cause the actual results, performance and/or achievements of the Company to differ materially from any future results, performance or achievements, expressed or implied, by the forward-looking statements. Readers are cautioned not to place undue reliance on these forward-looking statements, and that in light of the significant uncertainties inherent in forward-looking statements, the inclusion of such statements should not be regarded as a representation by the Company or any other person that the objectives or plans of the Company will be achieved. The Company also assumes no obligation to publicly update or revise its forward-looking statements or to advise of changes in the assumptions and factors on which they are based. See our 2010 Annual Report on Form 10-K for a discussion of risk factors that could impact our future financial performance and/or cause actual results to differ significantly from those expressed or implied by such statements.