(Bloomberg) -- Under Armour Inc. reported results that surpassed analysts’ expectations as the sportswear company’s turnaround gains momentum under founder Kevin Plank.

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In the second quarter, which went through September, sales and adjusted earnings topped the average estimate from analysts. Bolstered by that performance, the athletic brand now is expecting its operating loss for the fiscal year that runs through March to be as much as $196 million, compared to the previous forecast for a loss as deep as $240 million.

Under Armour’s shares jumped as much as 31% on Thursday in New York, the biggest intraday gain since 2005. The stock had been down about 3.5% this year through Wednesday’s close.

Plank, who ran the company for more than two decades before stepping aside at the end of 2019, retook the role of chief executive officer in April. He’s now restructuring the business by overhauling its operating model and supply chain in search of savings. The latest results, which included a sixth-consecutive quarter of declining revenue, are likely to raise the pressure on him to produce results for investors.

Under Armour said in September that the revamp will cost more than expected after it decided to shut down a distribution center in California.

The company has undergone $40 million in restructuring-related costs. Under Armour expects total charges for the overhaul to be as much as $160 million.

Tariffs

In addressing impact of potential tariffs proposed by President-elect Donald Trump, Chief Financial Officer Dave Bergman said the company doesn’t anticipate any sizable impacts. Yet Under Armour is monitoring incoming congressional election results to see whether the Republican party will have to deal with a split congress.

Bergman sees the potential of duties impacting gross margin and income tax expenses, but adds: “It’s something that we were prepared to manage pretty well before.”

The potential for universal tariffs and higher import duties on China have been a key topic in recent company earnings calls in light of Trump’s win, with executives discussing they are working hard to avoid them where possible and realigning supply chains.

(Updates throughout starting with shares in third paragraph.)

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