Menu
Finance

Under Armour Reports Strong Q3 Revenue, Preps Launch Of Additional Products

Under Armour officials yesterday said that while the company's core apparel lines “drove strong revenue results in the third quarter, the company is preparing to launch even more products, including sneakers, as well as to enter new markets, such as China,” according to Liz Kay of the Baltimore SUN. Under Armour “updated its net revenue expectation for 2011 to range from $1.46 billion to $1.47 billion, up 37 percent to 38 percent over 2010.” Estimates of operating income for this year “now range from $159 million to $162 million, up 42 percent to 44 percent over last year and higher than earlier predictions, which had ranged from $155 million to $160 million.” Net revenue “increased 42 percent to $466 million in the three months that ended Sept. 30, compared with $329 million during the same period last year.” Net income “rose to $45.9 million, or 88 cents per share, up from $34.8 million, or 68 cents last year.” Under Armour's gross margins “continued to drop in the third quarter, to 48.4 percent -- down more than two percentage points from this time last year.” The company reported that revenue from apparel sales “increased by nearly a third, to $363 million in the third quarter.” Footwear sales for the quarter “were $52 million, twice as high as in the similar period in 2010.” Under Armour Chair, President & CEO Kevin Plank said that the company “has been able to increase average selling prices at the same time that competitors either have not or could not.” Under Armour “plans to expand and relaunch its underwear line in department stores such as Nordstrom and has opened 50 ‘All-American’ stores at Dick's Sporting Goods.” In addition, the company “plans to open four more ‘Factory House’ stores in the last quarter, bringing the total to 80 by the end of the year” (Baltimore SUN, 10/26).

ON THE PROWL: Puma yesterday reported its Q3 net profit remained flat, while earnings per share increased. Sales increased for the quarter, reflecting strong performance in Asia/Pacific and Latin America regions. Q3 net earnings remained flat at $113.3M (all figures U.S.), while earnings per share grew to $7.55 from $7.47 last year. Puma's operating profit improved 1.8% to $164.4M from $162.4M. Footwear sales rose 7% on currency adjusted basis, and the increase was 13.8% in apparel and accessories climbed 13.9% (Puma).

SBJ Morning Buzzcast: April 25, 2024

Motor City's big weekend; Kevin Warren's big bet; Bill Belichick's big makeover and the WNBA's big week continues

TNT’s Stan Van Gundy, ESPN’s Tim Reed, NBA Playoffs and NFL Draft

On this week’s pod, SBJ’s Austin Karp has two Big Get interviews. The first is with TNT’s Stan Van Gundy as he breaks down the NBA Playoffs from the booth. Later in the show, we hear from ESPN’s VP of Programming and Acquisitions Tim Reed as the NFL Draft gets set to kick off on Thursday night in Motown. SBJ’s Tom Friend also joins the show to share his insights into NBA viewership trends.

SBJ I Factor: Molly Mazzolini

SBJ I Factor features an interview with Molly Mazzolini. Elevate's Senior Operating Advisor – Design + Strategic Alliances chats with SBJ’s Ross Nethery about the power of taking chances. Mazzolini is a member of the SBJ Game Changers Class of 2016. She shares stories of her career including co-founding sports design consultancy Infinite Scale career journey and how a chance encounter while working at a stationery store launched her career in the sports industry. SBJ I Factor is a monthly podcast offering interviews with sports executives who have been recipients of one of the magazine’s awards.

Shareable URL copied to clipboard!

https://www.sportsbusinessjournal.com/Daily/Issues/2011/10/26/Finance/Under-Armour.aspx

Sorry, something went wrong with the copy but here is the link for you.

https://www.sportsbusinessjournal.com/Daily/Issues/2011/10/26/Finance/Under-Armour.aspx

CLOSE