Leading casual apparel designer and producer, Quiksilver Inc, on Thursday posted a slight fall in second quarter net income to $13.4 million and said net sales climbed 10.6 per cent to $186 million from the year-ago period.

The California-based company, whose labels include Quiksilver, Roxy, Raisins and Radio Fiji, said European sales jumped 29.3 per cent to $74.8m but domestic sales remained flat at $111.2m.

It added consolidated net sales for the first half increased 14.4 per cent to $331.7m while consolidated net income for the first half was $16.5m compared to $17.6m in 2001.

CEO and chairman, Robert McKnight Jr, commented: "Once again, we outperformed both sales and earnings expectations with exceptional strength in Europe.

"We were also pleased with our domestic business, which performed well during the quarter despite the challenging retail environment. Our continued strong momentum and robust fall bookings gives us a high degree of confidence for the second half of the year."