Muscular growth for Under Armour in North America
Under Armour is reporting double-digit growth, likely making some jealous: a 24% increase of revenues to $575 million (€446 million) in its third quarter ending September compared to the same period last year. The company's net profit jumped 25% to $57 million, while operating income increased from $75 million to $91 million.
Apparel weighed in as the American brand's strongest business segment with $445 million in sales, an increase of over 22%. Footwear grew over 21% to $63 million, but accessories showed the biggest spike of 37% to $55 million.
"The third quarter marks our 12th consecutive quarter with apparel growth in excess of 20% and our tenth consecutive quarter of net revenues growth surpassing 20%," said Kevin Plank, Chairman, CEO and President of Under Armour. "The Women's category remains a major focus and huge opportunity for us as a brand. Our success in innovation extended to Footwear with the successful launch this past quarter of UA Spine running footwear and will continue with our upcoming UA Spine extension into basketball and our December introduction of the UA Cam Highlight trainer," said Plank.
However, this strong performance was limited to North America, the group’s traditional sales territory, which represents 94% of its activity and where the brand enjoyed a growth spurt of 25%. The rest of the company's global regions grew only less than 1%.
The company expects annual revenues of more than $1.8 billion.
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