Overview
- Under Armour, which reported fourth-quarter results Tuesday, saw its stock fall as much as about 20% after a small earnings miss and a weaker forecast for the year ahead.
- The quarter showed a $34 million operating loss and a $43 million net loss on $1.2 billion in revenue, with North America down 7% and international up 10%.
- Gross margin dropped 470 basis points to 42% due to higher U.S. tariffs, rising product costs, pricing pressure, and an unfavorable regional mix.
- For fiscal 2027, the company guided adjusted EPS to $0.08–$0.12 with a slight revenue decline versus roughly $0.23 expected by analysts, factoring in a ~$70 million tariff-refund boost, about $35 million in Middle East supply-chain costs, and roughly $30 million more for marketing.
- Management said the turnaround includes a roughly 25% cut in product styles, a tighter sports focus, and the wind-down of Curry Brand that could trim about 1% of FY27 sales, with growth targeted to return by FY28.