Under Armour Inc. shares UA, +1.93% soared 5% in premarket trade Tuesday before paring some of those gains, after the company beat earnings estimates for the fourth quarter and backed its 2019 guidance. The maker of athletic shoes and apparel said it had net income of $4.218 million, or 1 cent a share, in the quarter, after a loss of $87.9 million, or 20 cents a share, in the year-earlier period. Adjusted per-share earnings came to 9 cents, well ahead of the 4 cents FactSet consensus. Revenue edged up to $1.389 billion from $1.369 billion, also ahead of the FactSet consensus of $1.379 billion. Gross margin increased by 160 basis points to 45.0% from the prior year, boosted by product cost improvements, lower promotional actions and lower air freight costs. The company is still expecting full year EPS of 31 cents to 33 cents and for revenue to rise 3% to 4%, in line with guidance offered at a December 12 analyst meeting. Shares have gained 45.3% in the last 12 months, while the S&P 500 SPX, +0.90% has gained 2.0%.
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