Thule's Operating Profit Climbs During First Quarter

MALMÖ, Sweden (BRAIN)--Although Thule's first quarter sales were flat relative to 2004, its operating profit for the first three months of 2005 increased by more than seven percent over the comparable period last year. The international rack and trailer company brought in 59 million ($8 million) in operating profit on SEK 649 ($88.8 million) of first quarter sales.

"The start of 2005 was affected by the prolonged winter season in connection with the cold weather in Europe. Sales for Division Europe/Asia were hampered as pre-seasonal sales for summer products were delayed, while the snowy conditions in Central Europe contributed positively to the sales of the Snow chains division, " said Thule chief executive officer Anders Pettersson. "Overall, Thule met the expectations which underline the strength of our portfolio. Through the acquisition of the horse trailer producer Star Industrier AB we made a further step in consolidating the Scandinavian horse trailer business."

Thule's North America division's sales were $16.5 million, with sales picking up during the second half of the quarter. Year-on-year sales climbed by 10 percent.