Heinz Posts 6% Increase in 1st-Quarter Profit

H.J. Heinz Co. reported a 6% rise in fiscal first-quarter profit to $237.7 million, or 68 cents a share, a penny better than expectations, but warned that profit in the next quarter would come in 2 cents below forecasts of 70 cents. Heinz, whose products include Star Kist Tuna and Ore-Ida potatoes as well as its namesake ketchup, said sales fell 1.3% to $2.15 billion in the latest quarter, as improvements in sales volumes were offset by the continuing strength of the dollar against European currencies and lower prices for tuna. About half of the Pittsburgh-based company’s sales are generated outside the U.S. The company said it remained on track to reach its earnings goal for the full fiscal year of 10% above the $2.57 a share it earned in fiscal 2000. Heinz shares fell $1.75 to $35.44 on the NYSE.