Under Armour Cuts FY2027 Revenue Outlook as North America Sales Slide 9%
UAA sits 60% above its 52-week low of $4.13.
Summary
Under Armour reported Q1 FY2027 revenue of $1.1 billion, down 3% year-over-year, missing expectations as North America sales plunged 9% to $610 million. Wholesale revenue decreased 2% to $638 million, apparel revenue decreased 2% to $734 million, footwear revenue declined 8% to $245 million, and accessories revenue decreased 4% to $96 million. Gross margin surged 590 basis points to 54.1%, largely driven by one-time tariff refunds, not operational improvement. The company incurred $4 million in restructuring charges during the quarter. Under Armour slashed its full-year revenue outlook to a mid-single-digit decline from a prior slight decline, citing softer demand in North America and Asia-Pacific, signaling the turnaround is stalling. With $396 million in cash and $200 million drawn on its revolver, liquidity is adequate but persistent top-line erosion raises questions about the restructuring plan's effectiveness, and the Class C share proposal on the proxy adds potential dilution risk.
At the time of this announcement, UAA was trading at $6.60 on NYSE in the Trade & Services sector, with a market capitalization of approximately $2.7B. The 52-week trading range was $4.13 to $8.15. This news item was assessed with negative market sentiment and an importance score of 8 out of 10. Source: PR Newswire.