Under Armour Shares Soar After Earnings Beat

Under Armour Inc. shares rose 9.1% in Thursday premarket trading after the athletic apparel company reported first-quarter earnings that beat estimates. Under Armour reported a net loss of $2.27 million, or a penny per share, compared with a net income of $19.18 million, or 4 cents per share, for the same period last year. The FactSet consensus was for a loss of 4 cents. Sales for the quarter were $1.12 billion, up from $1.05 billion last year and ahead of the $1.11 billion FactSet consensus. The company says sales were driven by a 4% increase in wholesale revenue to $773.0 million and a 13% increase in direct-to-consumer revenue to $302 million. North American sales were down by 1% with new distribution offset by bankruptcies in 2016. The company affirmed its full-year revenue guidance. Under Armour shares are down 32.2% for the year so far, and down 56% for the past 12 months. The S&P 500 index is up 14% for the last year.

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