Under Armour widens loss outlook as tariffs bite

US-based sportswear radical Under Armour posted a third-quarter gross autumn and deepened its full-year nonaccomplishment outlook, blaming weaker North American request and higher US tariffs.

Net gross for the 3 months to 31 December 2025 slipped 5% year-on-year to $1.33bn, oregon 6% little connected a currency-neutral basis.

The radical reported a quarterly nett nonaccomplishment of $431m, reflecting a $247m valuation allowance tied to US national deferred taxation assets.

Adjusted nett income reached $37m.

Wholesale income declined 6% to $660m, portion direct-to-consumer gross dropped 4% to $647m, including a 7% autumn successful online sales.

Apparel gross eased 3% to $934m, footwear slid 12% to $265m, and accessories were down 3% to $108m.

Gross borderline contracted by 310 ground points to 44.4%, driven chiefly by tariffs alongside pricing pressures and an unfavourable income mix.

Selling, wide and administrative (SG&A) costs roseate 4% to $665m owed mostly to a $99m litigation reserve and $3m successful restructuring-related translation expenses.

On an adjusted basis, SG&A fell 7%.

Restructuring charges of $75m contributed to an operating nonaccomplishment of $150m, though adjusted operating income stood astatine $26m.

Diluted nonaccomplishment per stock came successful astatine $1.01 portion adjusted net per stock were $0.09.

North America gross dropped 10% to $757m, offset partially by a 3% emergence internationally, with EMEA up 6% and Latin America climbing 20%. Meanwhile, gross for the Asia Pacific declined by 5%.

Inventory edged down 2% to $1.1bn, and the institution ended the 4th with $465m successful currency positive $600m successful restricted investments for upcoming indebtedness repayments.

For the 9 months ended 31 December 2025, nett revenues were $3.79bn, down from $3.98bn for the 9 months ended 31 December 2024.

SG&A expenses decreased to $1.77bn successful 2025 from $1.99bn successful 2024.

Net nonaccomplishment widened importantly to $452.3m successful 2025, compared with a nett nonaccomplishment of $133.8m successful 2024.

For the afloat year, Under Armour present expects gross to driblet 4% and forecasts an operating nonaccomplishment of $154m, compared with earlier guidance of a $56m to $71m loss.

Adjusted operating income is projected adjacent $110m, with diluted nonaccomplishment per stock betwixt $1.24 and $1.25.

"Under Armour widens nonaccomplishment outlook arsenic tariffs bite" was primitively created and published by Retail Insight Network, a GlobalData owned brand.

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