Hering Profit Beats Estimates as Store Openings Boots Sales

April 26 (Bloomberg) -- Cia. Hering’s first quarter profit beat analysts’ estimates as the company’s stores expansion helped increase sales.

Net income rose 38 percent to 70.2 million reais ($37.3 million) from 51.02 million reais a year earlier, the Blumenau-based company said yesterday in a statement sent to the website of Brazil’s securities regulator. The result was above the 67.3 million reais average estimate of five analysts compiled by Bloomberg.

Net sales went up 18 percent to 277.7 million reais as the Hering opened 88 stores in Brazil since the year-earlier period, the company said. The company plans to open 95 stores this year.

Hering fell 1.4 percent, to 44.96 reais today in the São Paulo trading. The stock is up 39 percent since the beginning of the year, compared to a 8.8 percent gain for the Bovespa benchmark index.

To contact the reporter on this story: Fabiola Moura in Sao Paulo at fdemoura@bloomberg.net

To contact the editor responsible for this story: Helder Marinho at hmarinho@bloomberg.net