Former ICAST award winner upgrades profit expectations following 35% sales uplift
International apparel brand and former ICAST award-winner Under Armour has upgraded its profit expectations for the year after reporting a first quarter 35% increase in sales compared to the same period last year.
The Baltimore-based company saw its revenue soar to $1.26billion and top Wall Street’s expectations of $1.131 billion. Wholesale income increased 35% to $800 million and direct to consumer revenue grew 54% to $437 million, driven by a 69% increase in e-commerce.
“Under Armour is off to an excellent start for the year. Our first quarter results demonstrate that our improved operating model and investments we’re making to amplify our connection with consumers are enabling us to deliver against strong demand for our brand,” said President and CEO Patrik Frisk.
“Additionally, with a solid balance sheet and well-managed inventory, we’re confident in our ability to drive well through 2021 as we get back on offence and make measured progress to returning to sustainable, profitable growth over the long-term.”
Percentage revenue growth is now expected to be in the high teens compared to a previous expectation of high single-digit, with operating income between £105 million to $115 million, compared to the previous range of $5 million to $25 million.