Local currency growth was 18%, and we had strong broad-based growth in all regions.
With the excellent sales growth, combined with good cost control and benefit of our margin and productivity initiatives, we achieved a 64% growth in adjusted EPS.
Cash flow generation was also impressive as we achieved an almost 200% increase in our free cash flow generation.
Sales were $804.4 million in the quarter, an increase of 18% in local currency.
On a U.S. dollar basis, sales increased 24% as currency benefited sales growth by 6% in the quarter.
Local currency sales increased 14% in both the Americas and Europe and increased 29% in Asia/Rest of the World.
Local currency sales increased 44% in China in the first quarter.
In the quarter, Laboratory sales increased 20%, Industrial increased 17%, with Core Industrial up 26% and product inspection up 5%.
Food Retail increased 13% in the quarter.
We estimate that we benefited approximately 2% from COVID tailwinds in the quarter, mainly related to our pipette business for COVID testing.
Gross margin in the quarter was 58.6%, a 90 basis point increase over the prior year level of 57.7%.
R&D amounted to $39.3 million, which represents a 7% increase in local currency.
SG&A amounted to $221.8 million, a 7% increase in local currency over the prior year.
Adjusted operating profit amounted to $210.7 million in the quarter, a 49% increase over the prior year amount of $141.3 million.
Adjusted operating margins increased 440 basis points in the quarter to 26.2%.
Currency benefited operating profit growth by approximately 6%, but had very little impact on operating margins.
Amortization amounted to $13.9 million in the quarter, interest expense was $9.5 million in the quarter.
Other income in the quarter amounted to $2.1 million, primarily reflecting nonservice-related pension income.
Offsetting this was $2.8 million in acquisition costs that is excluded from adjusted EPS.
Our effective tax rate before discrete items and adjusted for the timing of stock option deductions was 19.5% as compared to 21.5% in the first quarter of last year.
Fully diluted shares amounted to $23.7 million in the quarter, which is a 3% decline from the prior year.
Adjusted earnings per share for the quarter was $6.56, a 64% increase over the prior year amount of $4.
Currency benefited adjusted earnings per share growth by approximately 7% in the quarter.
On a reported basis in the quarter, earnings per share was $6.32 as compared to $4.03 in the prior year.
Reported earnings per share in the quarter includes $0.12 of purchased intangible amortization, $0.10 of cost related to the PendoTECH acquisition, $0.04 of restructuring and a $0.02 benefit due to the difference between our quarterly and annual tax rate due to the timing of stock option exercises.
In the quarter, adjusted free cash flow amounted to $139 million, which is an increase of 196% on a per share basis as compared to the prior year.
DSO declined by approximately 6.5 days to 40 days as compared to the prior year.
ITO came in at 4.4 times, similar to last year.
We paid $185 million upfront, and there is a $20 million potential earnout as well as some post-closing amounts.
We expect PendoTECH to contribute approximately 1% to sales growth beginning in Q2.
For the full year 2021, primarily due to the benefit of our Q1 results and with a strong outlook for Q2, we now expect local currency sales growth for the full year will be in the range of 10% to 12%.
This compares to previous guidance range of 5% to 7%.
We expect full year adjusted earnings per share guidance to be in the range of $31.45 to $31.90, which is a growth rate of 22% to 24%.
This compares to our previous guidance of adjusted earnings per share in the range of $29.20 to $29.80.
With respect to the second quarter, we would expect local currency sales growth to be in the range of 19% to 21% and expect adjusted earnings per share to be in a range of $7.50 to $7.65, a growth rate of 42% to 45%.
As mentioned, we expect PendoTECH to contribute 1% to sales growth for the remaining quarters of the year.
We expect reported amortization will amount to $62 million, which is higher than previously communicated due to the PendoTECH acquisition.
The purchased intangible adjustment for earnings per share will increase to $0.66 for 2021.
Other income, which is below operating profit, will approximately -- will approximate $2 million per quarter for the remainder of 2021.
We expect our effective tax rate in 2021 to remain at 19.5%.
In terms of free cash flow for the full year, we now expect it to be approximately $735 million.
We expect to repurchase 637 million shares in 2021 for the remaining three quarters of 2021.
We would expect to end 2021 in our targeted net debt-to-EBITDA range of approximately a 1.5 times leverage ratio.
With respect to the impact of currency on sales growth, we expect currency to increase sales growth by approximately 3.5% in 2021 and 6% in the second quarter.
In terms of adjusted EPS, currency will benefit growth by approximately 7.5% in the second quarter and 4% for the full year 2021.
In terms of our Industrial business, Core Industrial did very well in the quarter with a 26% increase in sales driven by China, which had growth in Core Industrial in excess of 60%.
Product inspection came in pretty much as we expected with a 5% local currency sales growth in the quarter.
Food retailing came in better than expected with 13% growth because of better market demand in Europe and Asia and the rest of the world.
Sales in Europe increased 14% in the quarter, with excellent growth in Lab, Core Industrial and Food Retail.
Americas also increased 14% in the quarter with excellent growth in Lab and Core Industrial, offset by flat results in Product Inspection and a decline in Food Retail.
Finally, Asia and the Rest of the World grew 29% in the quarter with very strong growth in most product lines.
As you heard from Shawn, China had outstanding growth of 44% in the quarter with excellent growth across most product lines.
Service and Consumables performed well and were up 11% in the quarter.
About 50% of the Process Analytics business is to the pharma and biopharma market, with an emphasis on sensors to monitor PH, dissolved oxygen, carbon dioxide and other parameters.

Summary:
Adjusted earnings per share for the quarter was $6.56, a 64% increase over the prior year amount of $4.
On a reported basis in the quarter, earnings per share was $6.32 as compared to $4.03 in the prior year.
For the full year 2021, primarily due to the benefit of our Q1 results and with a strong outlook for Q2, we now expect local currency sales growth for the full year will be in the range of 10% to 12%.
We expect full year adjusted earnings per share guidance to be in the range of $31.45 to $31.90, which is a growth rate of 22% to 24%.
With respect to the second quarter, we would expect local currency sales growth to be in the range of 19% to 21% and expect adjusted earnings per share to be in a range of $7.50 to $7.65, a growth rate of 42% to 45%.