Under Armour Inc. shares rose 24 percent in morning Tuesday after the sportswear maker beat quarterly profit and sales estimates, and raised its earnings outlook for the remainder of the year, indicating that its turnaround effort is working.
Baltimore-based Under Armour reported a third-quarter profit of $75.3 million, or 17 cents per share. That’s up 39 percent from $54.2 million, or 12 cents per share, in the prior-year quarter. Adjusted for changes in the federal tax law and the impact of the company’s restructuring plan, Under Armour’s profit was $112 million, or 25 cents per share.
Sales in the third quarter were $1.44 billion, up more than 2 percent from $1.41 billion in the year-ago quarter. Revenue in North America — where Under Armour has seen sluggish growth — declined 2 percent from $1.08 billion to $1.06 billion. International sales continued to surge, growing 15 percent to $351 million.
The third-quarter results beat Wall Street estimates. Analysts polled by the Thomson…Read the full story from the Washington Business Journal.