Latest news with #UnderArmourInc
Yahoo
3 days ago
- Business
- Yahoo
UAA Q1 Earnings Miss Estimates, E-commerce Revenues Decline Y/Y
Under Armour, Inc. UAA reported first-quarter fiscal 2026 results, wherein the top line exceeded the Zacks Consensus Estimate and the bottom line missed the same. Revenues decreased and earnings increased year over year. Also, e-commerce revenues fell year over the company highlighted continued brand momentum despite a challenging environment and reaffirmed its focus on executing the strategic plan with clarity and discipline. Key priorities moving forward include strengthening brand positioning through premium products, increasing average selling prices via innovation, optimizing top-volume programs and delivering a stronger price-to-value proposition to build a more resilient Under Armour. Under Armour, Inc. Price, Consensus and EPS Surprise Under Armour, Inc. price-consensus-eps-surprise-chart | Under Armour, Inc. Quote Under Armour's Quarterly Performance: Key Insights The Baltimore, MD-based company reported adjusted earnings of 2 cents per share, which missed the Zacks Consensus Estimate of 3 cents. The reported figure increased from adjusted earnings of 1 cent per share in the year-ago period. Meanwhile, net revenues of $1,134.1 million beat the Zacks Consensus Estimate of $1,132 million but decreased 4.2% from the prior-year quarter. The metric declined 4% on a currency-neutral revenues fell 4.6% year over year to $649.1 million, while direct-to-consumer revenues declined 3.5% to $463.5 million. Revenues from company-owned and operated stores increased 1%, whereas e-commerce revenues dropped 12% and accounted for 31% of the total direct-to-consumer business for the quarter. Breaking Down Under Armour's Top Line By product category, Apparel revenues declined 1.5% year over year to $746.6 million, beating the Zacks Consensus Estimate of $729.4 million. Footwear revenues decreased 14.3% to $265.9 million, missing the consensus estimate of $286.4 million. Revenues from the Accessories category rose 8.1% to $100.1 million, beating the consensus estimate of $92.4 million. Meanwhile, Licensing revenues improved 12.4% to $24.4 million, marginally missing the consensus estimate of $24.5 from North America declined 5.5% to $670.3 million, missing the Zacks Consensus Estimate of $675.6 million. Meanwhile, revenues from the international business decreased 1.4% (down 2% on a currency-neutral basis) to $466.6 million. Within the international segment, revenues from Europe, the Middle East and Africa ('EMEA') increased 9.6% year over year to $248.6 million, beating the consensus estimate of $244.4 million. Revenues from the Asia-Pacific dropped 10.1% to $163.4 million, surpassing the consensus estimate of $153.6 million. Latin America saw a 15.3% decline to $54.6 million, lagging the consensus estimate of $57.6 million. Focus on UAA's Margins Under Armour reported gross profit of $546.5 million, down 2.9% year over year. The company's gross margin expanded 70 basis points to 48.2% from the prior-year period. This was driven mainly by favorable foreign exchange rates, improved pricing and a stronger product mix. These gains were partially offset by an unfavorable channel mix and increased supply-chain costs compared with the prior selling, general and administrative expenses decreased 5.9% year over year to $522.1 million, excluding roughly $8.3 million in transformation costs associated with the fiscal 2025 restructuring plan. Adjusted operating income was $24.4 million, up from $8 million reported in the year-ago period. Under Armour Financial Snapshot UAA ended the quarter with cash and cash equivalents of $911 million, which includes $400 million in senior notes issued during the quarter. The company plans to use the net proceeds, along with funds from the revolving credit facility and existing cash, to redeem, repurchase, or otherwise retire its $600 million senior notes maturing in June 2026. As of quarter-end, there were no borrowings outstanding under the $1.1 billion revolving credit company ended the quarter with long-term debt (net of current maturities) of $389.5 million and total stockholders' equity of $1.87 billion. UAA Stock Past 3-Month Performance Image Source: Zacks Investment Research Sneak Peek Into UAA's 2Q26 Outlook Looking ahead to the second quarter of fiscal 2026, this Zacks Rank #4 (Sell) company continues to navigate a challenging macroeconomic and trade environment, including potential demand and cost impacts from are expected to decline 6-7% compared with the same period in fiscal 2025. This outlook indicates a low-double-digit decrease in North America, high-single-digit growth in EMEA, and a low-teens decline in gross margin is predicted to contract 340-360 basis points, primarily due to supply-chain headwinds from anticipated tariff impacts and an unfavorable channel mix. These pressures are expected to be partially offset by favorable foreign exchange and pricing general and administrative expenses are expected to increase at a low-double-digit rate. Excluding transformation costs related to the fiscal 2025 Restructuring Plan, adjusted SG&A is expected to rise at a high-single-digit rate, driven mainly by higher marketing investments as the company laps a timing shift that concentrated most of last year's spend in the second income is forecasted to range from a $10 million loss to breakeven, with adjusted operating income, excluding restructuring and transformation charges, estimated between $30 million and $40 million. Loss per share is expected to be between 7 cents and 8 cents, while adjusted earnings per share are anticipated to be in the range of 1 cent to 2 company has gained 13.7% in the past three months against the industry's decline of 12.7%. Key Picks Some better-ranked stocks are Levi Strauss & Co. LEVI, Wolverine World Wide, Inc. WWW and Stitch Fix designs and markets jeans, casual wear and related accessories for men, women and children. It flaunts a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today's Zacks #1 Rank stocks Zacks Consensus Estimate for Levi's current fiscal-year earnings indicates growth of 4% from the year-ago actual. LEVI delivered a trailing four-quarter average earnings surprise of 25.9%.Wolverine is engaged in the designing, manufacturing and distribution of a wide variety of casual as well as active apparel and footwear. It currently sports a Zacks Rank of Zacks Consensus Estimate for Wolverine's current financial-year earnings and sales indicates growth of 20.9% and 4.6%, respectively, from the year-ago actuals. WWW delivered a trailing four-quarter average earnings surprise of 39.1%.Stitch Fix delivers customized shipments of apparel, shoes and accessories for women, men and kids. It has a Zacks Rank #2 (Buy) at Zacks Consensus Estimate for Stitch Fix's fiscal 2025 earnings indicates an upsurge of 71.7% from the reported level of fiscal 2024. SFIX delivered a trailing four-quarter average earnings surprise of 51.4%. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Wolverine World Wide, Inc. (WWW) : Free Stock Analysis Report Under Armour, Inc. (UAA) : Free Stock Analysis Report Stitch Fix, Inc. (SFIX) : Free Stock Analysis Report Levi Strauss & Co. (LEVI) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Sign in to access your portfolio
Fashion Network
3 days ago
- Business
- Fashion Network
Under Armour's turnaround takes hit after weak sales outlook
Under Armour Inc. forecast worse-than-expected sales for the current quarter, stalling a turnaround plan that was taking hold. The Baltimore, Maryland-based brand said revenue this quarter is expected to fall between 6% and 7%. Analysts on average projected a drop of almost 3%. Tariffs and a more cautious consumer have complicated turnarounds for companies as they have had to cut costs and seen customers pull back on spending. Now Under Armour, which began its restructuring last year, is trying to keep its positive momentum going amid economic challenges. Shares of the athletic-wear brand company sank as much as 15% in premarket trading. So far this year, shares of Under Armour have declined almost 20% as of the close on Thursday. 'We're focused on strengthening our brand positioning with premium products and increasing our average selling prices,' Kevin Plank, Under Armour's CEO said in the statement.
Fashion Network
3 days ago
- Business
- Fashion Network
Under Armour's turnaround takes hit after weak sales outlook
Under Armour Inc. forecast worse-than-expected sales for the current quarter, stalling a turnaround plan that was taking hold. The Baltimore, Maryland-based brand said revenue this quarter is expected to fall between 6% and 7%. Analysts on average projected a drop of almost 3%. Tariffs and a more cautious consumer have complicated turnarounds for companies as they have had to cut costs and seen customers pull back on spending. Now Under Armour, which began its restructuring last year, is trying to keep its positive momentum going amid economic challenges. Shares of the athletic-wear brand company sank as much as 15% in premarket trading. So far this year, shares of Under Armour have declined almost 20% as of the close on Thursday. 'We're focused on strengthening our brand positioning with premium products and increasing our average selling prices,' Kevin Plank, Under Armour's CEO said in the statement.
Fashion Network
3 days ago
- Business
- Fashion Network
Under Armour's turnaround takes hit after weak sales outlook
Under Armour Inc. forecast worse-than-expected sales for the current quarter, stalling a turnaround plan that was taking hold. The Baltimore, Maryland-based brand said revenue this quarter is expected to fall between 6% and 7%. Analysts on average projected a drop of almost 3%. Tariffs and a more cautious consumer have complicated turnarounds for companies as they have had to cut costs and seen customers pull back on spending. Now Under Armour, which began its restructuring last year, is trying to keep its positive momentum going amid economic challenges. Shares of the athletic-wear brand company sank as much as 15% in premarket trading. So far this year, shares of Under Armour have declined almost 20% as of the close on Thursday. 'We're focused on strengthening our brand positioning with premium products and increasing our average selling prices,' Kevin Plank, Under Armour's CEO said in the statement.
Yahoo
21-06-2025
- Business
- Yahoo
Under Armour (UAA) Jumps 13.9% After $400-Million Debt Offer
Under Armour, Inc. (NYSE:UAA) is one of the Under Armour ended two straight days of losses on Friday, jumping 13.94 percent to end at $7.03 apiece after announcing plans to raise $400 million through the issuance of debt. In a statement earlier this week, Under Armour, Inc. (NYSE:UAA) said the notes carry a yield rate of 7.25 percent and will be paid semi-annually. The notes are senior, unsecured obligations, and will mature in 2030. The sale is expected to close on Monday, June 23. According to Under Armour, Inc. (NYSE:UAA), net proceeds will be used to pay off its $600 million 3.25 percent senior notes due 2026. In recent news, Under Armour, Inc. (NYSE:UAA) extended its exclusive apparel partnership with the Central Intercollegiate Athletic Association (CIAA) through 2029. Leonard Zhukovsky / Under Armour, Inc.'s (NYSE:UAA) relationship with the CIAA began in 2018 after Russell Athletic exited the collegiate uniform space. The partnership gave exclusive access to UA uniforms, gear, footwear, and training equipment. While we acknowledge the potential of UAA as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock. READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires. Disclosure: None. This article is originally published at Insider Monkey.
