Under Armour's 4Q profits up 10 pct; shares rise
NEW YORK (AP) — Under Armour's fourth-quarter net income jumped 10 percent and the clothing company predicted revenue growth of at least 20 percent in each of the next two years, sending shares up 7 percent in early trading.
Under Armour earned $50.1 million, or 47 cents per share in the three-month period ended Dec.31, 2012. That compares with $32.5 million, or 31 cents per share, in the year-ago period.
Revenue rose 25 percent to $505.8 million in the quarter.
Analysts had expected earnings per share of 46 cents on revenue of $497.4 million, according to Factset.
"Our ability to bring practical innovation to our consumer across a board range of product drove our 25 percent net revenue growth in 2012 and positions us well for 2013 and beyond," Chaiman and CEOKevin Plank said Thursday.
Plank said that the company is on pace this year to double revenue from 2010 levels, a goal it established at its investor meeting in 2011.
Under Armour Inc., based in Baltimore, Md., said it expects an increase of 20 percent to 21 percent sales growth to anywhere from $2.20 billion to $2.22 billion for the year.
Analysts had projected annual sales of $1.83 billion for the year, according to FactSet.
Shares were up nearly 7 percent, or $3.18 per share to $51.31 in morning trading.