Under Armour Inc has reported that net revenues increased 24% in the third quarter of 2012 to US$575 million, compared with US$466 million in the previous year period.
Net income (profit) increased 25% in Q3 2012 to US$57 million, compared with US$46 million in the prior year period. Diluted earnings per share were US$0.54, compared with US$0.44 per share in the previous year period.
The company has recorded growth across the board:
- Third quarter Apparel net revenues increased 22% to US$445 million
- Apparel sales were driven by strength across Under Armour’s Men’s, Women’s, and Youth apparel businesses
- Q3 2012 Footwear net revenues increased 21% to US$63 million, primarily driven by new 2012 running styles, including UA Spine
- Third quarter Accessories net revenues increased 37% to US$54 million, primarily led by headwear
- Direct-to-Consumer net revenues, which represented 24% of total net revenues for the third quarter, grew 31% year-on-year.
Kevin Plank, Chairman, CEO, and President of Under Armour Inc, said, “The third quarter marks our twelfth consecutive quarter with apparel growth in excess of 20% and our tenth consecutive quarter of net revenues growth surpassing 20%. This growth reflects our core belief that when we innovate and add value for the athlete, we win.
“Our recent expansion of the UA Storm platform is a great example of our unwavering pursuit of innovation. The Women’s category remains a major focus and huge opportunity for us as a brand and the strong sell-throughs we are seeing in new products such as Studio and ArmourBra give us confidence that we are resonating with our consumers.”
He continued, “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.”
Improved 2012 outlook
The Company had previously anticipated 2012 net revenues in the range of US$1.80 billion to US$1.82 billion, representing growth of 22% to 24% over 2011, and 2012 operating income in the range of US$205 million to US$207 million, representing growth of 26% to 27% over 2011.
Under Armour now expects 2012 net revenues of approximately US$1.82 billion, representing growth of 24% over 2011, and 2012 operating income of approximately US$207 million, representing growth of 27% over 2011.
Plank concluded, “I am proud of what our team has accomplished so far this year and we are well positioned for growth in 2013 and beyond. I emphasize ‘team’, as we continue to make great strides with the additions of seasoned leadership in Supply Chain, Women’s, and International.
“These investments illustrate our commitment to realizing our long-term vision of one day having our Women’s business larger than Men’s, Footwear larger than Apparel, and our International business larger than our US business.”