Under Armour Lifts Outlook As Kevin Plank Says "Transformation Accelerating"
We asked a perfectly reasonable question last month: Why was Fairfax Financial, under Prem Watsa (often called the "Canadian Warren Buffett"), adding significant long exposure in Under Armour equity?
Weeks later, we might know why...
Under Armour reported third-quarter results that surprised Wall Street analysts tracked by Bloomberg, posting a profit and topping revenue estimates.
Third Quarter Results (courtsey of Bloomberg):
Adjusted EPS 9.0c vs. 8.0c y/y, estimate loss/shr 1.1c
Loss per share $1.01, estimate loss/shr 9c
Net revenue $1.33 billion, -5.2% y/y, estimate $1.31 billion
Apparel revenue $934.0 million, -3.3% y/y, estimate $924 million
Licensing revenue $27.2 million, +14% y/y, estimate $23.2 million
Footwear revenue $265.1 million, -12% y/y, estimate $259.4 million
North America revenue $756.7 million, -10% y/y, estimate $750.7 million
Asia Pacific revenue $190.9 million, -5.1% y/y, estimate $183.6 million
EMEA revenue $315.8 million, +6% y/y, estimate $321 million
Latin America revenue $70.6 million, +20% y/y, estimate $60.3 million
Adjusted operating income $26.4 million, -56% y/y, estimate $5.76 million
Inventory $1.07 billion, -2.4% y/y, estimate $1.18 billion
Total location count 450, +0.4% y/y, estimate 450.33
Operating loss $149.8 million vs. profit $13.5 million y/y, estimated loss $46.7 million
Management also raised its ...
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