Women's wear retailer Etam Developpement has posted an 11.5% rise in first quarter revenues, helped by "solid winter end-of-season sales and a brisk start to the spring-summer season."

The company also revealed a 4.5% rise in 2006 net profit for the year ended 31 December, to EUR34.7m (US$47.2m) from EUR33.2m in 2005.

Full year sales rose 9.0% to EUR960.2m from EUR880.7m.

A "difficult" fourth quarter with discounting in Europe meant gross margin fell to 60.8% from 61.2% the previous.

However, the Paris-based lingerie and clothing retailer pointed to a strong start to 2007, with sales increasing to EUR276.4m from EUR247.8m a year ago.

The company said it is planning to launch a new underwear brand in France this autumn.