CHICAGO – Athletic shoe maker Reebok International Ltd. (RBK) on Monday posted higher quarterly profit as acquisitions and a weak U.S. dollar boosted sales, and said it was on track to meet 2005 financial targets.
Net income for the first quarter rose to $43 million, or 70 cents per share, from $41 million, or 63 cents per share, a year before. Sales rose to $925 million, up 11 percent.
Analysts, on average, had expected a first-quarter profit of 69 cents per share, according to Reuters Estimates.
The company said last year's purchase of hockey apparel and equipment maker The Hockey Company (search) boosted its sales, but profits were hurt in part because of the National Hockey League (search) work stoppage.
U.S. sales for the Reebok brand rose 8 percent, while international sales jumped 17 percent. Stripping out the benefit of a weak dollar, international sales were up 13 percent.
The company said it launched its largest global advertising campaign in nearly a decade during the first quarter, and tripled spending in several key European markets.
Looking ahead, Reebok said it was on track to meet its 2005 sales and earnings targets. It forecast full-year sales growth in the mid-single digit range, and earnings-per-share growth around 15 percent.
Get all the stories you need-to-know from the most powerful name in news delivered first thing every morning to your inbox