Products are displayed in an Under Armour store in New York City, November 4, 2019.
Brendan McDermid | Reuters
Under Armour on Wednesday reported a surprise profit for the holiday quarter as sales were boosted by strong digital growth.
The sneaker maker also offered an initial outlook for 2021. It expects sales to rise in the high single digits, helped by a rebound of consumer demand in North America.
Its shares jumped more than 3% in premarket trading.
Here’s how the company did for the fourth quarter compared with what analysts were expecting, 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 per share, compared with a loss of $15.3 million, or 3 cents a share, a year ago. Excluding one-time charges, the company earned 12 cents per share, better than the 7 cent loss forecast by analysts.
Sales dropped 3% to $1.40 billion from $1.44 billion a year ago, but topped analysts’ estimates of $1.27 billion.
The company said its e-commerce sales were up 25%.
Under Armour shares are up about 2% over the past 12 months, as of Tuesday’s market close. The company has a market cap of $9.42 billion.
This story is developing. Please check back for updates.
