Shares of Tupperware (TUP) - Get Report were up nearly 3% Tuesday after the company said first-quarter results would be ahead of expectations, due in part to strong operations in Europe and Latin America.
The maker of food storage products said it now expects to earn 21 cents to 24 cents a share, which includes a gain of 1 to 2 cents a share from land development.
Analysts had expected the company to earn 12 cents a share in the first quarter. A year ago, Tupperware earned $6.4 million, or 11 cents a share, on sales of $272 million.
Tupperware expects first-quarter sales in Europe to be up almost 20%, including the impact of foreign exchange, and rise in the low-single digits in local currency, driven by a midteen percentage increase in sales force and average active sales force size.
The company also expects profit to rise more than 20%, including the impact of foreign exchange, and to climb by the high-single digits in local currency. Tupperware pointed to the better results in Europe as particularly strong given lower business-to-business sales in the current year, while also reflecting strong product demand at the end of the quarter, which may hurt second-quarter ordering.
In addition, Tupperware raised its full-year EPS expectations by 3 cents to $1.23 to $1.33, reflecting actual foreign currency exchange rates in the first quarter and current rates for the remainder of the year. Europe and Latin America are performing better than expected, the company said, but this is offset by North America, where the anticipated recovery may take longer than previously anticipated.
Tupperware's shares were up recently 52 cents to $18.70.