* Sees 2014 revenue of $2.84 bln-$2.87 bln vs est $2.77 bln
* Fourth-quarter earnings/share $0.59 vs est $0.53
* Revenue rises 35 pct to $682.8 mln vs est $619.9 mln
* Sees 2014 revenue of $2.84-$2.87 bln vs est $2.77 bln
* Shares rise as much as much as 25 pct
(Adds CEO, analyst comment, details, background; updates share
By Maria Ajit Thomas
Jan 30 Shares of hi-tech athletic sportswear
maker Under Armour Inc leaped 25 percent after the
company posted a better-than-expected profit for the 13th
The company's clothing lines include HeatGear, which draws
moisture away from the body to help the wearer stay cool and
dry, and its latest ColdGear Infrared range that uses a ceramic
coating to retain body heat in cold weather.
"They continue to gain market share because there is so much
innovation going on with their product," Suntrust Robinson
Humphrey analyst Pamela Quintiliano said.
Quintiliano likened Under Armour to Apple Inc with
regard to its ability to innovate.
Under Armour shares were trading at $103.08 by midday on
Thursday. They have more than doubled in the past year, far
outpacing the S&P 500 index's 18 percent jump in the same
Under Armour's strong growth has led to rumors that Nike Inc
may look at acquiring the company. But founder and Chief
Executive Kevin Plank told employees in 2011 that Under Armour
would not be sold. (link.reuters.com/guf56v)
The global sports apparel market is expected to grow at a
compound annual growth rate of 4 percent to reach $178 billion
by 2019, according to research firm Trefis.
The firm attributed the growth to rising
health-consciousness among customers and the growing popularity
of sportswear for women.
Plank said the company was bullish on its women's sportswear
products as women are increasingly wearing athletic products
outside of the gym.
"We think the reality of this shift is more permanent than
some may expect ...," Plank said on a post-earnings call with
Earlier this month, Swedish "fast fashion" chain Hennes &
Mauritz said it would launch a sportswear line.
The global sportswear market is expected to grow more than 7
percent in 2014, outperforming the 5.8 percent growth for
broader apparel, according to Euromonitor.
H&M joins other apparel retailers trying to benefit from
this growing market, including Fast Retailing Co Ltd's
Uniqlo, Gap Inc and Forever 21.
Under Armour posted a 35 percent jump in revenue from
apparel in the fourth quarter ended Dec. 31, its seventeenth
straight quarter of sales growth of more than 20 percent.
The sales growth was driven by the ColdGear Infrared
products and the increased range of clothing made with fleece.
Under Armour's revenue from apparel accounted for 80 percent
of its total sales of $682.8 million in the fourth quarter.
The company said it expects 2014 revenue of $2.84
billion-$2.87 billion. Analysts on average were expecting $2.77
billion, according to Thomson Reuters I/B/E/S.
Net income rose to $64.2 million, or 59 cents per share, in
the fourth quarter from $50.1 million, or 47 cents per share, a
Analysts on average were expecting a profit of 53 cents per
share, on revenue of $619.9 million.
(Reporting by Maria Ajit Thomas in Bangalore; Editing by Savio