Jarden Corp.’s net sales for the first quarter increased approximately 4% to $821 million compared to $792 million for the same period last year. Organic growth across all of Jarden’s brands was about 2.5%. Net sales in the Outdoor Solutions segment were down slightly, but were said to have performed in-line with expectations. Management said that the colder weather early in the quarter caused the outdoor recreation season to get off to a later start than in the prior year, and Coleman did not have the benefit of a promotion program that was running during Q1 of 2006.


Outdoor Solutions’ sales slipped 6.7% to $212.9 million compared to $228.1 million last year. Jarden management still expects full year sales for this segment to grow between 3% and 5%, excluding acquisitions. Coleman is making inroads in the specialty channel, according to management, and is prepared to launch its various 2007 marketing and merchandising programs in the quarter – with some of the results in stores now. In spite of the decline in sales, operating earnings were better than last year, climbing 5.0% during the quarter. As a percentage of sales, operating margins increased 90 basis points to 7.9% versus operating margins of 7.0% last year.


In January 2005, Jarden announced a plan to double 2004 year-end earnings per share of $1.49 in three- to five-years. Assuming the successful completion of the K2 merger in July, the company feels they will achieve this goal by the end of 2007. As a result, management set a new three- to four-year goal to increase adjusted earnings per share to over $5.00 per share within three to four years.