Under Armour quarterly profits exceed expectations
28/04/2009
Sports apparel company Under Armour has reported a higher-than-expected profit for the first quarter of the tradiing year. The company said it felt consumers had continued spending money on athletic shoes, even as they cut back on other items.
Net income rose 33% to $4 million, for the quarter ending March 31. This compared to $2.9 million for the same period a year ago.
Revenue rose 27% to $200 million, compared to $157.3 million a year ago. Footwear revenue more than doubled to $40.3 million, compared to $16.6 million a year ago.
“The athletic footwear market represents an enormous growth opportunity for the brand,” said company founder and chief executive, Kevin Plank, said in a statement. “With each new category we enter, our ultimate goal is to build momentum by developing innovative footwear technology, generating support from our key retail partners, and delivering product to our core consumer that drives our credibility as a performance footwear brand. Our performance in running has paved the way to establish Under Armour as a major player in the athletic footwear market over the long-term.”
The company launched a collection of running shoes for the first time at the end of January.
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