Under Armour Inc. (NYSE: UAA) reported third-quarter 2019 results before markets opened Monday. The sports gear maker reported adjusted earnings per share (EPS) of $0.23 on revenues of $1.43 billion. In the same period a year ago, the company reported EPS of $0.17 on revenues of $1.44 billion. Third-quarter results also compare to consensus estimates for EPS of $0.18 per share and $1.41 billion in revenues.

Those estimates and the company’s results came ahead of last Friday’s revelation by The Wall Street Journal that the U.S. Securities and Exchange Commission is investigating Under Armour’s accounting practices. The paper cited unnamed sources who say the investigation is focused on whether the company “shifted sales from quarter to quarter to appear healthier.” Quarterly numbers are being buried by the reported investigation.

On a currency-neutral basis, total revenue was down 0.9% and adjusted revenue was down 0.1%. Revenue growth, adjusted to include the impact of foreign exchange, was 8% in the quarter and 13.8% for the first nine months of the fiscal year.

In its outlook statement, the company lowered its fiscal year 2019 revenue growth estimate from a prior range of 3% to 4% to a new target of around 2%. Under Armour attributed the lowered estimate to lower than planned excess inventory to fill the off-price channel; ongoing traffic and conversion “challenges” in its direct-to-consumer business; and negative foreign exchange effects.

Estimated gross margin growth compared to 2018 has been raised from a prior range of 110 to 130 basis points to a new range of 130 to 150 basis points. On an adjusted basis, EPS is now estimated to finish the year at the high end of the company’s previously guided range of $0.33 to $0.34.

Analysts estimate 2019 EPS of $0.34 and revenues of $5.35 billion for the full year and EPS of $0.14 on revenues of $1.55 billion for the fourth quarter.

Referring to the restructuring, CEO Kevin Plank said:

Building our long-term brand strength remains at the center of everything we do. … As we make the turn into 2020, we are confident in our ability to deliver our fourth quarter targets while proactively supporting higher levels of strategic marketing investments that will further fuel the Under Armour brand.

After the quarterly earnings report was released, shares traded down about 11.5% at $18.72 in Monday’s premarket. The stock closed at $21.24 on Friday in a 52-week range of $16.52 to $27.72. The consensus 12-month price target before the earnings announcement was $22.83.

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