Plank Discusses His Relationship With Alma Mater TaylorMade CEO Sharpe Talks About His Plan Adidas Meets Expectations With Q3 Results Gilbert Seeks Payoff From Revived Cities MSG Could Double In Value With Split ScoreBig Closes $18M Series D VC Funding MSG Considers Splitting In Two Under Armour Developing Fitness App Callaway Golf's Q3 Revenue Beats Projections Under Armour's Apparel & Footwear Sales Rise By 29%
SBD/April 25, 2014/Finance
Under Armour Sees Big Gains In Profit, Sales During Q1, But Stock Falls
Published April 25, 2014
HIT THE GROUND RUNNING: UA Founder, Chair & CEO Kevin Plank said that the running category "will be the biggest revenue opportunity" for the company in the future. The WALL STREET JOURNAL's Sara Germano notes UA "unveiled its first running shoe in 2008 and makes footwear in the basketball and training categories, in addition to cleats for football, baseball, lacrosse, softball and soccer." But SportsOneSource analyst Matt Powell noted that UA still had "just a 2.33% share" of the $7B running-shoe market last year, "slightly better than its overall presence in footwear but well behind market leader Nike." The company has been "ramping up its marketing and product development in the category, introducing the SpeedForm Apollo shoe earlier this year and becoming the official apparel and footwear sponsor of next month's Bay to Breakers 12-kilometer road race" in S.F. Data from road-racing tracker Running USA shows that last year's race "drew more than 22,000 finishers, making it one of the largest nonmarathon races in the country." Germano notes as more companies like UA and Skechers "make serious plays in running footwear, they may meet with resistance from some specialty running retailers who work with limited inventory space" (WALL STREET JOURNAL, 4/25).