Marvel announced its first quarter results today, and once again the company exceeded its own guidance and analyst's expectations, reporting earnings of $.57 per share, compared to analysts' expectations of $.36 per share and a loss of $.23 per share in the year ago period.  Sales were $87 million for the quarter, with earnings of $42 million.  Marvel increased its guidance for 2003; it now expects to earn $.97 to $1.07 per share for the year, or around $74 million, on sales of $225 to $230 million.  Marvel has now increased its 2003 guidance twice in just a few months, from $45 million to $54 million (see 'Marvel Beats Estimates for 2002') to the current $74 million. 

Licensing was once again the belle of the ball, with a 444% increase in sales vs. Q1 2002.  Marvel's new video game licensing deal with Activision (see 'Marvel Ending 2002, Starting 2003 Strong') and toys, particularly those featuring the Hulk, were cited as the strongest parts of that increase. 

Publishing sales were up only 4% for the quarter, with a decline in periodical revenue ('reflecting the impact of the termination of several lesser-known comic book series that were not sufficiently profitable') more than offset by an increase in book publishing.  Graphic novel sales were $4.1 million in Q1 2003, vs. $1.7 million in Q1 2002.  This follows an increase to $15.5 million in graphic novel sales in 2002 from $5.3 million in 2001. 

Toy sales were down 34% for the quarter, reflecting lower sales in Spider-Man toys.