EPS & Earnings ... Hits & Misses

[madrose1]

* UARM $32~$40~$36 beats by 11 cents, guides revs above consensus (UARM) : Reports Q1 (Mar) earnings of $0.18 per share, $0.11 better than the Reuters Estimates consensus of $0.07; revenues rose 50.7% year/year to $87.7 mln vs the $73 mln consensus. Co issues upside guidance for Q2, sees Q2 revs of $70-75 mln vs. $61.83 mln consensus. "However, in the second quarter, the Company plans incremental marketing spending to support its footwear launch and to drive other Under Armour brand initiatives throughout the year." Co issues upside guidance for FY06, sees FY06 revs of $380-390 mln vs. $354.24 mln consensus.

Under Armour conference call summary (UARM) 39.77 +7.06: Co says on call there is 38 days to the official launch of their shoe business; first shoes will be football cleats. Says they have seen a warm welcome into the golf market (proving they can be multi-faceted). Says Dicks Sporting Goods (DKS) is good way to judge how they are doing; says Dicks opening over 40 stores this year and they will be present in all of them. Trying to broaden their product portfolio, expand internationally (especially in Western Europe), build on their own brand (especially in women's division). Co will advertise and unveil its new football cleats during Saturday's NFL Draft (June 3 they will be available in stores); co says baseball cleats coming in 2007. Analyst asks co if they will move into sneakers after next spring's baseball cleat initiative; co says it prefers to make shoes that can be used on the field but they will take it one step at a time