Under Armour Q2 profit rises 7%
US-based sportswear brand Under Armour has announced that its second-quarter profit rose 7%, driven by a strong launch of its new cotton clothing line and the strength of apparel sales.
The company also raised its 2011 revenue outlook to between $1.42 billion and $1.44 billion, growth of 33% to 35% over 2010. Under Armour previously expected revenue of $1.37 billion to $1.39 billion, a 29% to 31% jump.
Under Armour CEO Kevin Plank said in June the company’s plan is to double revenue to more than $2 billion by 2013.
Under Armour will unveil a new footwear advertising campaign, the firm’s first campaign in which “footwear takes centre stage,” Mr Plank said. “We know it takes time to build that credibility and build each new category,” Mr Plank said of footwear, a category where revenue increased 31% to $46.9 million during the second quarter.
The next Under Armour cotton line product, Storm Fleece, will be introduced in retail stores later this year, and Mr Plank said the company is “just beginning to tap into a broader” consumer market.
