Costa Mesa-based Volcom Inc. reported higher first-quarter operating profit, beat forecasts for net income and raised its outlook for the current quarter and the rest of the year on Thursday.
Quarterly sales at the apparel designer rose 31% to $41.6 million from a year earlier.
Operating income rose 10.6% to $6.7 million.
Net income came in at $4.4 million, down 30% from a year ago but 28% above what Wall Street had expected.
In February, Volcom warned it may not meet first-quarter expectations with spending on stores and a European expansion, news that sent the stock plummeting.
Volcom’s shares were down slightly in afterhours trading on Thursday.
The company upped its guidance for the current quarter, saying it could earn $5.7 million to $5.9 million.
Volcom’s outlook for 2006 also was raised. The company’s profit forecast rose by about 2% to $27.5 million to $28 million. The sales outlook for the year was increase slightly to $200 million to $203 million.
