Sports Brand UA Announces First Quarter Profit And Turnover Data

The second largest in the US

Under Armour announced the first quarter profit and turnover data.

Thanks to the popularity of basketball players Stephan Curry, the company's first quarter net sales rose 63%, to $19 million, and diluted earnings per share of 4 cents, compared with the previous year's figure of 12 million dollars and diluted earnings per share of 3 cents.

This result broke FactSet's earlier forecast of diluted earnings per share of 2 cents, and helped the company's stock rise 3% in early trading, to $47.02 per share.

In the first three months of March 31st, Under Armour's net revenue grew 30% from $805 million a year ago to $1 billion 50 million, while FactSet's earlier forecast was $1 billion 40 million.

Net revenue grew 64%, from $161 million last year to $264 million. Most of the success was due to Stephan Curry's joint basketball product line.

Net revenue growth was 20%, from $555 million in the same period last year to $667 million.

The gross profit margin declined slightly from 46.9% last year to 45.9%.

The reason for this decline is the high level of liquidation and foreign exchange rate.

Under Armour CEO Kevin Plank said: "the strong performance of the quarter really shows our brand's balanced development in various categories, channels and geographical markets.

In terms of footwear, Stephen Curry's joint basketball product line and our first intelligent running shoes, as well as brand new Jordan Spieth golf shoes, have made a landmark success.

In the company's earnings call conference, Kevin Plank said the Curry 2 product line accounted for 1/3 of China's overall performance, and also the best selling product of the company's network platform.

Curry 2.5 will be launched in Foot Locker and its e-commerce channel next month during the NBA playoffs.

It will be listed in the world in July, and Under Armour will launch Curry 3 in autumn.

Looking ahead, Under Armour expects net revenue to reach US $5 billion in 2016, an increase of 26% over 2015.

This is also higher than the previous forecast of US $4 billion 950 million.

Its stock has also fluctuated, but in the past three months, the stock has risen by 27%.