BALTIMORE (AP) _ Shares of sports apparel maker Under Armour climbed Thursday after the company posted strong second-quarter results, giving an assist to NBA MVP Stephen Curry.
The company’s profit and revenue surpassed Wall Street expectations, with revenue rising 29 percent. That was partly because shoe sales grew 40 percent as Under Armour introduced new running shoes and a Curry signature shoe. The Baltimore-based company also said bag sales and direct-to-consumer sales improved, and it raised its sales target for the year.
Shares of Under Armour Inc. advanced $6.87, or 7.7 percent, to $96.24 in midday trading. As of Wednesday’s close, the shares had gained 47 percent over the last year to reach all-time highs, peaking at $97.69 Thursday.
The company reported a smaller profit, however, as it continued to spend more money to buy app makers. In February Under Armour spent $475 million to buy MyFitnessPal, an app that tracks calories and exercise to help people get in shape, and Endomondo, a fitness tracking and social fitness network. Under Armour had bought another app maker, MapMyFitness, in 2013 and also has its own fitness tracking app.
Under Armour said its net income slipped 17 percent to $14.8 million, or 7 cents per share. Its revenue totaled $783.6 million.
Analysts expected net income of 5 cents per share and $761.8 million in revenue, according to Zacks Investment Research.
The company is now forecasting $3.84 billion in revenue this year. It had raised its estimate to $3.78 billion in April. Analysts surveyed by FactSet forecast revenue of $3.83 billion for the year.
Curry, 27, won the NBA’s Most Valuable Player award this season and helped his Golden State Warriors to the NBA championship, setting records for most three-pointers made in a season and in the playoffs along the way.