The Warnaco Group, Inc. posted net revenues of $466.3 million in the first quarter, up from $439.5 million in Q1 2005. Gross margin was 37.4% of net revenues, compared to 35.7% in the first quarter of fiscal 2005. Net income totaled $16.1 million, or 34 cents per diluted share, versus $29.4 million, or 63 cents per diluted share last year.

Sales for the company’s Swimwear Group, which is comprised of the Speedo brand, Ocean Pacific, and several designer labels, totaled $142.7 million, a decrease of 9.3% from sales of $157.4 million for the same period last year. Speedo revenues decreased 10.8% to $84.5 million, while Ocean Pacific revenues increased 93.3% to $8.0 million. Swimwear group operating income decreased 53.0% to $16.0 million from $34.1 million last year. Speedo operating income decreased 29.7% to $14.6 million while Ocean Pacific fell to a net loss of $5.0 million from a net gain of $1.5 million last year.