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Reebok runs past estimates
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April 26, 2001: 11:21 a.m. ET
No. 2 footwear maker beats 1Q estimates as market share increases
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NEW YORK (CNNfn) - Reebok International Ltd. said Thursday that first-quarter net income rose 30 percent, sprinting past Wall Street forecasts on rising sales as the No. 2. U.S. footwear maker continued to gain market share.
Reebok's (RBK: up $0.62 to $23.46, Research, Estimates) stock gained on the news, which came out before Thursday's opening bell.
Canton, Mass.-based Reebok reported net income of $41.2 million, or 68 cents a share, up from $31.7 million, or 56 cents a share. On average, analysts anticipated earnings of 64 cents a share, according to the research firm First Call.
Worldwide sales increased 3.9 percent to $642 million from $618 million, excluding the effect of negative currency transactions.
Reebok, in the midst of a turnaround that includes a more selective endorsement and advertising budget, said it benefited from sales of items branded with NBA star Allen Iverson's name along with an overall increased presence on retailers' shelves.
CEO Paul Fireman said he expects the Iverson business to grow more than 25 percent in 2001.
"I am pleased with our earnings performance for the quarter, and I'm confident in our ability to execute our plans for 2001," Fireman said in a statement. 
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