Companies and Brands
Under Armour Earnings: Right Fit for Investors
Published:
Last Updated:
Under Armour Inc. (NYSE: UAA) released its first-quarter financial results before the markets opened on Thursday. The company said that it had $0.05 in earnings per share (EPS) and $1.2 billion in revenue, which compared with consensus estimates that called for breakeven earnings on $1.18 billion in revenue. The same period of last year had breakeven earnings and $1.19 billion in revenue.
During the latest quarter, revenue increased 2% year over year, or 3% on a currency neutral basis. Also in this time, the company posted a gross margin of 45.2%, driven by product cost improvements, regional mix and prior period restructuring charges, offset by channel mix.
In terms of its segments, the company reported as follows:
Looking ahead to the 2019 full year, the company expects to see EPS in the range of $0.33 to $0.34 and revenues growing 3% to 4% year over year. Consensus estimates call for $0.34 in EPS and $5.36 billion in revenue for the year.
Kevin Plank, board chair and chief executive of Under Armour, commented:
Our first quarter results demonstrate our unwavering commitment to protecting and growing our premium performance athletic brand through a disciplined go-to-market process that delivers innovative products and experiences to make athletes better. As we execute against our long-term plan, Under Armour will emerge from 2019 and our ‘Protect This House’ chapter as an even stronger brand and company.
Shares of Under Armour traded up more than 8% to $23.90 just after Thursday’s opening bell. The 52-week range is $16.52 to $24.96, and the consensus price target was last seen at $21.28.
Finding a qualified financial advisor doesn’t have to be hard. SmartAsset’s free tool matches you with up to 3 fiduciary financial advisors in your area in 5 minutes. Each advisor has been vetted by SmartAsset and is held to a fiduciary standard to act in your best interests. If you’re ready to be matched with local advisors that can help you achieve your financial goals, get started now.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.