Under Armour surpasses revenue and earnings expectations; revises FY25 forecast
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Nov 06 2025
0mins
Source: SeekingAlpha
Q2 Financial Performance: Under Armour reported a Q2 Non-GAAP EPS of $0.04, beating expectations by $0.02, while revenue decreased by 5% year-over-year to $1.33 billion, surpassing estimates by $20 million.
Fiscal 2026 Outlook: The company anticipates a revenue decline of 4 to 5 percent for fiscal 2026, with significant decreases expected in North America and Asia-Pacific, but a slight increase in EMEA.
Gross Margin and SG&A Expenses: Gross margin is projected to decline by 190 to 210 basis points due to higher tariffs and unfavorable regional mix, while SG&A expenses are expected to decrease by a mid-teens percentage rate, driven by cost management initiatives.
Earnings Projections: Operating income is forecasted between $19 million and $34 million, with adjusted diluted earnings per share expected to range from $0.03 to $0.05, slightly below consensus estimates.
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Analyst Views on UA
About UA
Under Armour, Inc. is an inventor, marketer and distributor of branded athletic performance apparel, footwear and accessories for men, women and youth. Its primary business operates in four geographic segments: North America, comprising the United States and Canada, Europe, the Middle East and Africa (EMEA), Asia-Pacific, and Latin America. Its apparel comes in three primary fit types: compression (tight fit), fitted (athletic fit) and loose (relaxed fit). Its footwear includes products for running, training, basketball, cleated sports, recovery and outdoor applications, as well as casual use. Its accessories primarily include athletic performance gloves, bags, headwear and socks. It sells its apparel, footwear and accessories in North America through wholesale and direct-to-consumer channels. It sells its apparel, footwear and accessories in EMEA primarily through wholesale customers and independent distributors, along with e-commerce Websites and brand and factory house stores.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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