With net revenues soaring 36% in the first quarter to $642 million from $472 million in the prior year's period, Under Armour is off to a strong start in 2014. In conjunction with its financial results, the company also opened its newest specialty retail location in SoHo, in New York.
The SoHo Brand House is Under Armour's largest retail store to date and features men's, women's and youth apparel, footwear and equipment. The new store is also the first to feature Under Armour's Rowhouse Basement shop, where staff will provide private consultations to athletes, celebrities and VIP clientele in an intimate setting.
With nearly 10,000 sq. ft. of interactive retail space, the store has digital displays that act as points of information, as well as inspiration, as well as a marquee video wall made up of more than 2 million LED lights and an athlete wall of fame that will feature some of the brand's most authentic and powerful ambassadors. The specialty retail concept for the Brand House has been successfully executed in other locations, the company said, including its hometown in Baltimore, Md., and Tysons Corner in McLean, Va.
"We are excited to open our first Brand House in New York City, one of the world's most dynamic retail centers," said Susie McCabe, SVP of global retail. "The Under Armour SoHo Brand House is our largest to date and provides us with a new opportunity to expand our mission to make all athletes better while empowering our consumers with an elevated and personalized shopping experience."
Under Armour's newest location will carry new products, including the UA SpeedForm Apollo running shoe as well as the new men's elevated lifestyle collection, 35th & O.
The SoHo Brand House will be open Monday through Saturday, 10 a.m.-9 p.m., and Sundays 11 a.m.-7 p.m. New York-based strategic agency a+i design corp provided creative advisory services for store layout, design and features.
"Our formula for driving newness and innovation in Apparel continues to resonate with consumers and helped deliver more than 30% growth for our largest product category,” said chairman and CEO Kevin Plank, regarding the company’s financial results, which included a surge in net income of 73% to $14 million compared with $8 million in the prior year's period. “That same model is contributing to success in footwear, where we accelerated growth in running and brought award-winning product to the marketplace with the SpeedForm Apollo. Finally, we enhanced our ability to reach the global athlete, including the recent expansion of our brand in key Latin American markets, as well as strong gains across Europe and Asia."
Looking ahead, the company expects 2014 net revenues in the range of $2.88 billion to $2.91 billion, representing growth of 24% to 25% over 2013, and 2014 operating income in the range of $331 million to $334 million, representing growth of 25% to 26% over 2013.
Plank stressed the importance of remaining focused on building powerful product platforms that service athletes at home and abroad, on and off the playing field.
“In the quarters ahead, we will continue to build upon some of our most recent platform launches like SpeedForm and ColdGear Infrared, while also delivering the overall product innovation and performance that athletes have come to expect from our brand,” he said.