Under Armour Inc. reported a third-quarter surge in profit of 27 percent on the basis of strong sales growth, particularly with respect to footwear.
There has been historically strong demand for footwear in the North American market, fueled by a bevy of new innovation in materials, technology and colors. Under Armour has benefited from this robust demand since nearly all of its sales come from North America, and its sales in the region leapt 25 percent.
Under Armour expects its full-year revenue to reach $2.26 billion, upwardly revised from its previous estimate of $2.23 billion. For the third-quarter, it reported a profit of $72.8 million up from $57.3 million last year, amounting to 68 cents a share, a significant increase over last year’s 54 cents a share. Revenue grew 26 percent to $723.1 million.
Under Armour has been pushing to court new female customers, who have been driving their breakneck progress. At the heart of their strategy is crafting a more global presence in the footwear market with a view to competing with retailers like Nike and Adidas.