Britain's Reckitt Benckiser, the world's biggest household goods maker, reported a 20 per cent rise in first-quarter net profit yesterday and said it was in a good position to hit its financial targets for 2005.

The maker of Finish and Calgonit dishwasher products, Mr Sheen polish and Lysol disinfectant, said net profit rose to £124 million in the first-quarter of 2005, beating analysts forecasts of 114 million to £121 million, with overall sales up seven per cent at £986 million.

The UK-based group reported that first-quarter net revenues rose seven per cent at constant currencies, while net profit increased 18 per cent on the same basis.

The maker of Dettol antiseptic, flu treatment Lemsip and grime cleaner Cillit Bang set targets for 2005 with sales growth aimed at five to six per cent and low double-digit percentage rises in net profit and earnings per share, both at constant currencies.

"Reckitt Benckiser started 2005 strongly... The company more than offset the significant increase in input costs through volume growth, mix improvement and ongoing cost optimisation, generating strong profit growth," Chief Executive Bart Becht said in the results statement.

"These results position us well to achieve our full year targets of net revenue growth of five to six per cent and net income growth of low double digits, both at constant exchange," he added.

In the last three years, Reckitt has set targets at the start of the year and each time raised them twice through the year and still managed to beat them. In 2004, underlying sales rose 10 per cent and net profits jumped 26 per cent.

Reckitt shares have outperformed the FTSE 100 index by just over 10 per cent in the last 12 months. They cut early losses to trade off 1.2 per cent at £17 by 1120 GMT, after an early low of 16.75, valuing the group at £12.4 billion.