Bandag 1st Quarter Net Income Up

Bandag Inc., Muscatine, Iowa, announced its first-quarter net income rose 48%, benefited by strength in the North American trucking industry

and an acquisition which helped to offset higher raw material and transportation costs. Earnings were $6 million, or 30 cents a share, up from $4 million, or 20 cents a share, a year ago, said Bandag in a press release Friday.
Consolidated net sales for the quarter advanced 8% to $186.6 million from $ 173.5 million in the same period last year, buoyed by about $4.2 million in currency exchange. The latest sales were also lifted by a contribution from Speedco Inc., a provider of on-highway truck lubrication and tire services in which Bandag now holds a 87.5% stake.
Looking at 2005, Bandag expects continued strength in the trucking industry in the company's major markets but cautioned further increases in raw material and transportation costs will be a concern throughout the year.
Bandag's shares closed Friday's session down 1.6% at $44.50.
Bandag makes retreading materials and equipment for franchised dealers that produce retread tires and provide tire management services.