Under Armour Beats Quarterly Revenue Estimates on Online Boost, Shares Rise - SolidRumor.com

Under Armour Beats Quarterly Revenue Estimates on Online Boost, Shares Rise

 Under Armour Beats Quarterly Revenue Estimates on Online Boost, Shares Rise

Under Armour store, Shanghai. Shutterstock.

Under Armour Inc beat quarterly revenue estimates on Wednesday, helped by a surge in online demand from shoppers looking for athletic apparel for workouts, sending its shares up 4 percent in premarket trade.

While the Covid-19 pandemic has led to a fall in attendance at gyms, it has given people more time to workout at home or opt for outdoor exercises including running and biking, leading to a rise in demand for training shoes, running shorts and t-shirts.

With shoppers still limiting trips outside their homes, a large chunk of that demand has come from people shopping online. Under Armour said its e-commerce sales rose 25 percent.

The company’s revenue fell to $1.40 billion from $1.44 billion in the fourth quarter ended December 31, but topped analysts’ estimates of $1.27 billion, according to IBES data from Refinitiv.

Under Armour also said it expects revenue growth percentage to be in high single-digits in 2021, boosted by growth in its North America as well as international markets.

By Praveen Paramasivam; Editor: Vinay Dwivedi

Add Comment