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Under Armour’s Stock Rises After Strong Q3 Results

Key Financial Highlights

Under Armour (UAA) saw a 5% increase in its stock during premarket trading on Thursday, following the release of the company’s third-quarter financial results, which exceeded market forecasts for both sales and adjusted profits.

In the fiscal 2025 third quarter, Under Armour reported revenues of $1.40 billion. While this marked a 6% decline from the previous year, it still surpassed analysts’ predictions of $1.34 billion, as noted by Visible Alpha. The company stated a net income of just $1.2 million for the quarter, falling short of the anticipated $2.1 million consensus.

Despite the modest net income, Under Armour’s adjusted earnings per share (EPS) revealed a more positive outlook, coming in at $0.08. This result was significantly better than what analysts had expected, effectively doubling their forecasts. This performance represents a positive adjustment in the company’s financial trajectory following the introduction of a restructuring plan after a change in leadership last year.

Outlook for Fiscal 2025

In light of these results, Under Armour has adjusted its financial outlook for fiscal 2025. The company now anticipates a loss per share ranging from $0.48 to $0.50, which is an improvement from the previous range of $0.48 to $0.51. Additionally, it projects adjusted EPS to be between $0.28 and $0.30, up from an earlier estimate of $0.24 to $0.27. The company also expects a revenue decline of about 10% year-over-year, which is more favorable than the prior prediction of a low-double-digit percentage decrease.

As it stands, analysts were projecting an overall loss of $0.29 per share for the full fiscal year, with an adjusted EPS estimated at $0.29 and a revenue contraction of 10.6%.

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