(Reuters) – Under Armour Inc raised its annual profit forecast on Wednesday as deep discounts on the company’s athletic apparel helped reel in shoppers during the holiday season.
Shares of the company were up about 3% in premarket trade.
Increased promotional activity to clear excess inventory helped Under Armour boost sales and attract recession-weary shoppers through the quarter.
However, the company expects gross margin for the full year to decline at the higher end of its prior forecast of 375 to 425 basis points.
It expects adjusted profit of 52 cents to 56 cents per share for fiscal 2023, compared with its previous forecast of 44 cents to 48 cents.
(Reporting by Ananya Mariam Rajesh in Bengaluru; Editing by Devika Syamnath)
