Under Armour posts mixed results for its fiscal Q3

Under Armour Inc (NYSE: UAA) is up 8.0% in premarket on Thursday after reporting mixed results for its third financial quarter.

Under Armour's guidance for fiscal 2024

Investors are content also because the management issued upbeat earnings guidance for the full year. Under Armour now forecasts its revenue to be down 3% to 4% in 2024 on up to 52 cents of adjusted per-share earnings.

Analysts, in comparison, were at a 2.8% hit to revenue on 49 cents of adjusted EPS. Stephanie Linnartz – the chief executive of Under Armour said in a press release today:

The sportswear company expects its gross margin this year to improve by 120 to 130 basis points. $UAA is still down more than 10% versus its high in December.

Under Armour Q3 earnings snapshot

• Earned $114 million versus the year-ago $122 million
• Per-share earnings also declined from 27 cents to 26 cents
• Adjusted EPS printed at 19 cents as per the press release
• Revenue declined 6.0% year-over-year to $1.5 billion
• Consensus was 8 cents a share on $1.51 billion revenue
• Inventory dropped to $1.1 billion - down 9.0% YoY
• Ended Q3 with $1.0 billion in cash and equivalents

Under Armour improved its gross margin in the recently concluded quarter by 100 basis points to 45.2%, as per its earnings report on Thursday. CEO Linnartz also said on Thursday:

This is a developing story. Check back in a few minutes for more updates!