Andemar'S Group Earnings Slightly Beat Market Expectations In The First Quarter.

Under Armour Inc., the second largest sporting goods manufacturer in the US

After a 30.2% increase in revenue in the first quarter, the annual revenue forecast was raised to the highest level.

The expectation level stimulated the stock to rise 9.7% before Thursday.

Although the two quarter was released by Morgan Stanley Morgan Stanley analyst Jay Sole, the market share of the largest category of clothing declined.

Sales growth has slowed down, but it is undeniable that Under Armour Inc. Andemar has been growing above 20% for twenty-fourth consecutive quarters, that is, the past 6 years.

The growth rate of 30.2% in the first quarter also extended the strong momentum of the four quarter of 30%+, but some data in the first quarter confirmed Jay Sole's view.

In the first quarter of March 31st, the sales of Under Armour Inc. Inc., which started with rugby sportswear, increased by 20% to $666 million 600 thousand compared with the same period last year, while the fourth quarter rose 22.2%. However, the proportion of clothing business decreased from 63.6% in the four quarter to 63.6%, and the footwear jumped from 14.3% in the four quarter to 25.2%, an increase of more than 10 percentage points.

If this reflects the group's active development of footwear and accessories to reduce dependence on clothing is a good thing, then the growth rate of footwear from 94.5% in the four quarter to 64.2% is not good news.

Under Armour Inc. Andrea's footwear business still relies on the basketball shoes series promoted by the Jinzhou warriors' Stephen star Curry Stephen Currie, who has just passed the Chicago Bulls' record of the NBA regular match match. The group points out that the expansion of the running shoes series is also helpful.

Clothing was brought up by training clothing and golf uniform, and the growth of accessories 26.2% was due to the sale of accessories and bags.

Group revenues totaled $1 billion 47 million 700 thousand in the first quarter, slightly better than the market forecast of $1 billion 40 million, compared with $804 million 900 thousand a year ago.

The group raised its annual revenue target to $5 billion, which means that it will grow by 26% over the 2015 fiscal year, with an original target of $4 billion 950 million and a market expectation of $4 billion 980 million.

The latest operating profit is expected to be 5.03-5.07 billion, originally expected to be 503 million dollars.

In the first quarter, gross margins dropped by 100 basis points to 45.9% as the strong dollar weakened international revenues and increased discount rates.

By the end of the quarter, inventories increased by 6.5% to $834 million 300 thousand compared with December 31st, a 44.4% increase over the same period last year.

Operating profit grew 26.1% to $34 million 880 thousand, and operating margin remained at 3.4%.

Net profit of US $191 million 800 thousand was 63.5% higher than that of the same period last year. The diluted earnings per share rose from $0.03 to US $0.04, and the market was expected to be US $0.02.

In the first quarter, North American local income amounted to $880 million 600 thousand, an annual increase of 25.7%, accounting for 84.1% of the group's revenue.

International market revenue rose 55.6% to 149 million 400 thousand dollars.

China is the biggest driver of the growth of the international market. During the period, the income growth of the region is nearly two times, and the income of last year has been achieved in the first quarter.

To further stimulate growth, the group will open 120 stores in China this year, accounting for 6 of the 200 new stores planned for the year.

Under Armour Inc. Andrew founder, chairman and chief executive officer Kevin Plank's goal is to develop China into the second largest self market of the group.

According to Hong Kong media, the group has recently rented two square storefront shops in Hongkong Wan Chai as a flagship store with a monthly rent of HK $700 thousand. However, the price of the Curry Two 1299 HK $18 can only be sold by 18 pairs per day.

In the past two years, the group has set up 6 stores in a small area in Hongkong, and plans to increase another two stores this year, mainly because of the drop in the overall rental level of the gold sector, and the steady demand for local sports products by consumers.

In addition, Kevin Plank revealed that Stephen Curry Stephen curry will visit China after the end of the NBA season to brand.

This year, the Stephen Curry Stephen Currie series will also launch two new models, which will be listed in July 1st and autumn respectively.

Kevin Plank praised Stephen Curry Stephen Currie's phenomenal season performance as an unprecedented concern for footwear business, which not only helped the brand expand in the main cooperative market, but also enhanced the reputation among the core basketball players.

It is worth mentioning that Under Armour Inc. Andrea chose the target audience with unique vision and high luck.

In addition to Stephen Curry, Stephen and Currie, the group's Premier League football club, which started sponsorship in 2012, is also doing well this year, ranking second in the remaining four games to win the Champions League qualifying season.

And Aston Villa, who will wear the Under Armour Andrew shirt next season, will be downgraded. The Under Armour Inc. Andrew will also cover the championship in the second half of the year.

Kevin Plank also pointed out that the first quarter results were the result of the high level operation of the group and the attractive head to toe products for consumers.

At the time of the deadline, Under Armour Inc. rose 7.35% to 47.18 dollars in early trading, and has risen 34.5% since Wednesday, after a 52 week low on 20 January.