$UA (+0.37%)
$UAA (+0.11%) | Under Armour Q3 '24 Earnings Highlights:
๐น Adj EPS: $0.30 (Est. $0.19) ๐ข
๐น Revenue: $1.4B (Est. $1.38B) ๐ข; DOWN -11% YoY
๐น Gross Margin: 49.8%, UP 200 bps YoY
๐น Adj Operating Income: $166M (excluding one-time items)
๐น Inventory: DOWN -3% YoY to $1.1B
Raised FY25 Outlook:
๐น Adj EPS: $0.24-$0.27 (Prev. $0.19-$0.21) ๐ข
๐น Adj Operating Income: $165M-$185M (Prev. $140M-$160M) ๐ข
๐น Revenue: Expected to decline at a low double-digit percentage
๐น North America: -14% to -16%
๐น International: Low single-digit percent decline
๐น Gross Margin: Expected to increase by 125-150 bps
๐น Adjusted SG&A Expenses: Expected to decrease low-to-mid single digits (excluding litigation and transformation expenses)
๐น Capital Expenditures: $190M-$210M
Q3 Demography Revenue:
๐น North America: $863M; DOWN -13% YoY
๐น International: $538M; DOWN -6% YoY
๐น EMEA: DOWN -1%
๐น Asia-Pacific: DOWN -11%
๐น Latin America: DOWN -13%
Revenue Channels:
๐น Wholesale Revenue: $826M; DOWN -12% YoY
๐น Direct-to-Consumer (DTC) Revenue: $550M; DOWN -8% YoY
๐น eCommerce Revenue: DOWN -21%; accounts for 30% of DTC
Product Categories:
๐น Apparel: $947M; DOWN -12% YoY
๐น Footwear: $313M; DOWN -11% YoY
๐น Accessories: $116M; UP +2% YoY
CEO Kevin Plank's Commentary:
๐ธ "Our strategy to elevate Under Armourโs brand positioning is gaining traction, as evidenced by better-than-expected profitability, allowing us to raise our full-year outlook while increasing brand investment for long-term growth."
Fiscal 2025 Restructuring Plan:
๐น Total estimated charges of $140M-$160M, with up to $75M in cash-related expenses