Products will be on display at an Under Armor store in New York City on November 4, 2019.
Brendan McDermid | Reuters
Under Armor reported a surprising gain for the holiday quarter on Wednesday as sales were boosted by strong digital growth.
The sneaker maker also offered a first outlook for 2021. He expects high-single-digit sales to grow, helped by a rebound in consumer demand in North America.
Its shares were up more than 3% in premarket trading.
Here’s how the company fared in the fourth quarter compared to what analysts expected, based on a survey by Refinitiv:
- Earnings per share: 12 cents, adjusted, vs. a loss of 7 cents, expected
- Revenue: $ 1.4 billion vs. $ 1.27 billion expected
For the fourth quarter, net income grew to $ 184.5 million, or 40 cents a share, from a loss of $ 15.3 million, or 3 cents a share, a year ago. Excluding one-off costs, the company earned 12 cents a share, better than the analyst predicted loss of 7 cents.
Revenue fell 3% from $ 1.44 billion a year ago to $ 1.40 billion, but exceeded analyst estimates of $ 1.27 billion.
The company said its ecommerce sales are up 25%.
Shares of Under Armor are up about 2% over the past 12 months, as of Tuesday’s market close. The company has a market capitalization of $ 9.42 billion.
This story develops. Please check again for updates.
Find the full Under Armor press release here.