Under Armour, Inc. (NYSE: UAA)

Source: Under Armour, Inc. Annual Earnings Release & Financial Results FY2026.

Quick Facts / Company Snapshot

Metric	Detail
Company Name	Under Armour, Inc.
Stock Exchange	NYSE
Ticker	UAA
Industry	Athletic performance apparel, footwear, and accessories
CEO	Kevin Plank
Fiscal Year	FY2026
Total Revenue	$4.97 Billion
Gross Margin	45.5%
Operating Loss	$163 Million
Net Profit / (Loss)	($495.6 Million)
Diluted EPS	($1.16)
Total Assets	$4.41 Billion
Total Liabilities	$3.00 Billion
Total Stockholders’ Equity	$1.41 Billion
Cash and Cash Equivalents	$309 Million
Inventory	$915 Million
Debt Outstanding (Revolving)	$200 Million
Major Business Channels	Wholesale, Direct-to-Consumer (DTC)
Largest Region by Revenue	North America ($2.9 Billion)
Largest Product Category	Apparel ($3.4 Billion)

Company Overview

Under Armour, Inc. stands as a global developer, marketer, and distributor of branded athletic performance apparel, footwear, and accessories. Throughout fiscal year 2026, the company navigated an intensely transitional operating environment, balancing deep structural changes with evolving consumer demand. The organization reported total net revenues of $4.97 billion for the fiscal year, representing a 3.8% decline from the prior reporting period.

• Total Revenue Snapshot: Generated $4.97 billion in FY2026.
• Operating Loss Impact: Recorded an operating loss of $163 million for the year.
• Net Loss Figure: Reported a GAAP net loss of $495.6 million.
• Restructuring Scope: Navigating a comprehensive Fiscal 2025 Restructuring Plan estimated at $305 million in total charges.

The enterprise is currently executing a complex corporate restructuring program aimed at right-sizing operational workflows and improving brand health in a challenging macroeconomic climate. This aggressive transformation effort profoundly influenced the bottom line, culminating in a substantial net loss for the year. The broader objective remains centered on streamlining operations to prioritize premium brand positioning and long-term profitability over short-term volume.

Management’s disciplined approach prioritizes protective full-price selling strategies, directly addressing the margin compression experienced across various channels. By absorbing short-term structural pain, the leadership team aims to construct a leaner, more resilient corporate architecture capable of weathering persistent headwinds in key domestic markets.

Business Segments

Under Armour operates its global distribution network primarily through two distinct commercial channels. These structural pillars dictate how the enterprise brings its athletic performance products to the end consumer, balancing third-party retail partnerships with owned-and-operated sales avenues.

Source: Under Armour, Inc. Annual Earnings Release & Financial Results FY2026.

Wholesale Segment

Wholesale operations represent the foundational core of Under Armour’s distribution strategy, encompassing the sale of products to external retail partners, sporting goods chains, and third-party distributors globally. This channel commands the largest share of corporate volume but experienced notable contraction during the reporting period.

• Segment Revenue: $2.8 Billion in FY2026.
• Revenue Contribution: 56.34% of total corporate revenue (Calculated by FirmsWorld).
• Year-over-Year Growth: Declined by 5% compared to the prior fiscal year.

The 5% reduction in wholesale revenues reflects a disciplined inventory management approach and a softer macro retail environment. Rather than pushing excess product into discount channels, the company actively managed its wholesale commitments to protect brand equity.

Direct-to-Consumer (DTC) Segment

The Direct-to-Consumer segment encompasses all owned-and-operated physical retail locations alongside the company’s digital eCommerce platforms. While smaller than wholesale, DTC remains a critical touchpoint for capturing uncompromised brand presentation and engaging directly with the customer base.

• Segment Revenue: $2.1 Billion in FY2026.
• Revenue Contribution: 42.25% of total corporate revenue (Calculated by FirmsWorld).
• Overall DTC Growth: Decreased by 2% year-over-year.
• Retail vs eCommerce: Owned store revenue increased by 1%, while eCommerce decreased by 7%.
• eCommerce Weighting: Digital sales accounted for 33% of the total DTC business.

The divergence between physical retail and digital performance within the DTC segment highlights shifting consumer behaviors. Despite a 7% pullback in eCommerce revenues, the 1% growth in owned-and-operated physical stores underscores a resilient brick-and-mortar footprint.

History and Evolution

The contemporary history of Under Armour is overwhelmingly defined by its aggressive corporate restructuring efforts, initiated to counter mounting operational inefficiencies and severe macroeconomic headwinds. The focal point of this evolution is the expanded Fiscal 2025 Restructuring Plan, which represents a massive operational pivot for the enterprise.

• Total Restructuring Estimate: Approximately $305 million in expected total charges.
• Incurred Costs to Date: $261 million logged in transformation costs as of March 31, 2026.
• Completion Target: Substantial completion aimed for December 31, 2026.

By actively recalibrating its global cost base, the company aims to establish a leaner supply chain and a more agile go-to-market structure. This ongoing transformation timeline heavily impacts immediate financial performance but is positioned by leadership as a necessary evolution to ensure long-term brand viability and competitive stamina.

Products and Services

Under Armour classifies its diverse inventory into three primary revenue-generating categories: Apparel, Footwear, and Accessories. This categorization provides critical insight into consumer demand patterns and the core competencies of the brand’s manufacturing pipeline.

Source: Under Armour, Inc. Annual Earnings Release & Financial Results FY2026.

Apparel

As the foundational legacy category of the brand, athletic performance apparel remains the dominant revenue driver for the enterprise. This category encompasses all technical wear, training gear, and sport-specific clothing lines designed for global athletes and active consumers.

• Category Revenue: $3.4 Billion in FY2026.
• Revenue Contribution: 68.41% of total corporate revenue (Calculated by FirmsWorld).
• Year-over-Year Growth: Declined by 1.6% annually.
• Q4 Performance: Generated $778 million in the fourth quarter, remaining flat year-over-year.

Despite minor top-line contraction, the sheer scale of the apparel business anchors the entire corporate structure. The flat fourth-quarter performance indicates a stabilizing demand curve for core technical garments amidst a highly promotional broader market.

Footwear

The footwear division represents a highly competitive and technically demanding segment of the sporting goods market. Designing and manufacturing athletic shoes requires intensive capital commitment and rigorous supply chain oversight.

• Category Revenue: $1.1 Billion in FY2026.
• Revenue Contribution: 22.13% of total corporate revenue (Calculated by FirmsWorld).
• Year-over-Year Growth: Decreased significantly by 10.8% annually.
• Q4 Performance: Generated $282 million in the fourth quarter, remaining flat year-over-year.

The double-digit annual decline in footwear highlights structural challenges and intense market competition in this specific vertical. However, the flat Q4 trajectory suggests that the sharpest declines may be leveling off as the company refines its product assortment.

Accessories

The accessories category encompasses supplemental athletic equipment, bags, headwear, and other performance-enhancing gear. While the smallest division by total volume, it represents a high-margin opportunity for brand extension.

• Category Revenue: $414 Million in FY2026.
• Revenue Contribution: 8.33% of total corporate revenue (Calculated by FirmsWorld).
• Year-over-Year Growth: Edged upward by 0.9% annually.
• Q4 Performance: Grew by 2% to reach $94 million in the fourth quarter.

Accessories emerged as the sole product category to post positive top-line growth for the full fiscal year. The steady 2% expansion during the critical fourth quarter points to resilient consumer demand for accessible, lower-ticket brand entry points.

Brand Portfolio

Under Armour

The corporation operates fundamentally as a single-brand enterprise, driving all disclosed corporate revenue through the primary Under Armour namesake.

• Brand Revenue: $4.97 Billion in FY2026.
• Revenue Contribution: 100% of total corporate revenue.
• Strategic Positioning: Athletic performance apparel, footwear, and accessories.

Source: Under Armour, Inc. Annual Earnings Release & Financial Results FY2026.

Geographical Presence

Under Armour bifurcates its global operating footprint into two major geographic reporting structures: North America and International operations. This division highlights a stark contrast in regional momentum, with domestic struggles heavily offset by vibrant overseas expansion.

Source: Under Armour, Inc. Annual Earnings Release & Financial Results FY2026.

North America

The domestic North American market remains the largest historical stronghold for the brand, housing its corporate headquarters and a vast network of wholesale and retail operations. However, this region faced immense pressure throughout the fiscal year due to softer consumer demand and a highly promotional competitive landscape.

• Regional Revenue: $2.9 Billion in FY2026.
• Revenue Contribution: 58.35% of total corporate revenue (Calculated by FirmsWorld).
• Year-over-Year Growth: Revenue contracted by 7.9% annually.
• Q4 Performance: Fourth-quarter revenue fell 7% to $641 million.

The persistent headwinds in North America are central to the company’s restructuring thesis. Correcting the domestic trajectory requires mitigating inventory glut, enhancing premium brand perception, and carefully managing distribution partnerships to restore pricing power.

International

The consolidated International division serves as the primary growth engine for the modern enterprise, proving highly resilient against the macroeconomic drag affecting the domestic business. Operations span across multiple distinct economic zones, each demonstrating strong traction.

• Regional Revenue: $2.1 Billion in FY2026.
• Revenue Contribution: 42.25% of total corporate revenue (Calculated by FirmsWorld).
• Overall Growth: Expanded by 4% for the full fiscal year.
• Q4 Performance: Fourth-quarter international revenue increased 10% to $539 million.
• EMEA Sub-Region: Grew 8.6% annually; Q4 revenue increased by 7%.
• Latin America Sub-Region: Rose 8.7% annually; Q4 revenue surged by a remarkable 22%.
• Asia-Pacific Sub-Region: Fell 4.8% annually; however, Q4 revenue rebounded strongly, increasing by 13%.

The robust double-digit fourth-quarter expansion in both Latin America and the Asia-Pacific region indicates powerful brand resonance outside of legacy markets. This geographic diversification is essential to absorbing the current shockwaves impacting the North American core.

Profit and Loss

The fiscal 2026 income statement reveals the deep financial impact of the company’s transitional strategy, defined by significant structural costs and margin compression.

Financial Metric	FY2026 Value
Total Revenue	$4.97 Billion
Gross Margin	45.5%
Selling, General & Administrative (SG&A)	$2.29 Billion
Restructuring Charges	$127.7 Million
Operating Loss	$163 Million
Tax Valuation Allowance	$247 Million
Net Profit / (Loss)	($495.6 Million)
Adjusted Net Income	$49.6 Million
Diluted EPS	($1.16)

Source: Under Armour, Inc. Annual Earnings Release & Financial Results FY2026.

• Gross Margin Compression: Dropped 240 basis points to settle at 45.5%.
• Operating Deficit: Totaled $163 million for the year.
• Restructuring Burden: Absorbed $127.7 million in annual transformation charges.
• Tax Impact: A massive $247 million valuation allowance on U.S. federal deferred tax assets devastated the final bottom line.

The profound $495.6 million GAAP net loss is not primarily a symptom of evaporated sales, but rather a calculated structural write-down. The $247 million tax allowance and nearly $128 million in direct restructuring expenses account for the vast majority of the deficit.

Balance Sheet

Under Armour’s balance sheet snapshot reflects a corporate entity actively managing its liquidity and inventory positions while absorbing heavy equity hits from the year’s structural losses.

Balance Sheet Item	FY2026 Value (as of March 31, 2026)
Total Assets	$4.41 Billion
Cash and Cash Equivalents	$309 Million
Restricted Investments	$605 Million
Inventory	$915 Million
Total Liabilities	$3.00 Billion
Debt Outstanding (Revolving Credit)	$200 Million
Total Stockholders’ Equity	$1.41 Billion

Source: Under Armour, Inc. Annual Earnings Release & Financial Results FY2026.

• Asset Base: Maintained $4.41 billion in total corporate assets.
• Liquidity Position: Held $309 million in cash alongside $605 million in restricted investments.
• Inventory Levels: Settled at $915 million at the close of the fiscal period.
• Debt Profile: Managed a conservative $200 million outstanding on the revolving credit facility.

Despite the severe net loss recorded on the income statement, the balance sheet demonstrates foundational stability. The manageable $200 million revolving debt load and substantial restricted investment pool provide the necessary runway to execute the multi-year transformation strategy.

Cash Flow

The cash flow dynamics for the reporting period underscore the operational frictions associated with declining domestic revenues and high upfront restructuring payouts.

Cash Flow Metric	FY2026 Value
Net Cash Used in Operating Activities	($75.08 Million)
Depreciation and Amortization	$109.6 Million
Non-cash Restructuring and Impairment	$105.2 Million
Stock-Based Compensation	$45.6 Million
Deferred Income Taxes	$243.3 Million

Source: Under Armour, Inc. Annual Earnings Release & Financial Results FY2026.

• Operating Outflow: The enterprise consumed $75.08 million in operating cash.
• Non-Cash Adjustments: Included $109.6 million in standard depreciation and a massive $243.3 million adjustment for deferred income taxes.
• Impairment Metrics: Logged $105.2 million in non-cash restructuring and impairment costs.

The negative operating cash flow highlights the acute cash burn associated with navigating a corporate turnaround. The heavy reliance on non-cash adjustments, particularly the massive deferred tax valuation, bridged the gap between the staggering GAAP net loss and the actual cash utilized by operations.

Board of Directors and Leadership Team

Executive stewardship is currently directed by veteran leadership tasked with steering the global brand through a critical stabilization phase.

• Kevin Plank: Serves as the Chief Executive Officer, guiding the overarching strategic pivot and managing the execution of the aggressive restructuring initiatives.

Not separately disclosed in the provided source for further board compositions or executive profiles.

Subsidiaries, associates, joint ventures

Not separately disclosed in the provided source.

Other Investments (Including Minority / Portfolio Holdings)

Not separately disclosed in the provided source.

Physical properties (offices, plants, factories, etc.)

Not separately disclosed in the provided source.

Founders

Not separately disclosed in the provided source.

Parent

Not separately disclosed in the provided source.

Investments and capital expenditure plans

Capital allocation strategy is currently overwhelmingly dominated by internal reorganization efforts designed to optimize future profitability rather than expansive external acquisitions. The primary focus of corporate capital deployment centers on the comprehensive Fiscal 2025 Restructuring Plan.

• Total Program Scope: Management forecasts total restructuring program costs to reach approximately $305 million.
• Incurred Expenditure: The company has already committed $261 million toward total restructuring and transformation outlays as of the fiscal year-end.
• Execution Timeline: These strategic expenditures are targeted for substantial completion by December 31, 2026 (Management target).

By channeling capital inwardly toward supply chain efficiencies and operational streamlining, leadership aims to build a highly durable margin profile. Disclosures regarding specific factory construction, real estate procurement, or granular R&D budgetary allocations were not separately itemized in the fiscal summary.

Shareholding pattern

Not separately disclosed in the provided source.

Future strategy

The forward-looking operational roadmap for Under Armour is inextricably linked to the successful finalization of its corporate restructuring initiatives. Management’s immediate strategic priority is the substantial completion of the Fiscal 2025 Restructuring Plan by December 31, 2026.

• Brand Health Prioritization: Moving away from volume-chasing strategies to focus on premium, full-price selling.
• Marketplace Management: Implementing highly disciplined inventory and channel controls to avoid brand dilution.
• Margin Recovery: Streamlining the cost base to counter the structural headwinds that crushed gross margins during the fiscal year.

The leadership team explicitly acknowledges that sacrificing short-term revenue growth is necessary to protect long-term brand equity. This strategy depends heavily on right-sizing the North American footprint while relying on International momentum to sustain baseline cash generation.

Key strengths

Analyzing the fiscal data reveals distinct operational advantages that provide vital stability amidst the ongoing corporate overhaul.

• International Growth Engine: The brand possesses tremendous resonance overseas, completely offsetting the negative trajectory of the domestic business. This strength is highlighted by Q4 revenue surges of 22% in Latin America, 13% in the Asia-Pacific region, and 7% in EMEA.
• Owned Retail Resilience: Despite a highly promotional retail climate and declining digital commerce, revenue from owned-and-operated physical stores successfully expanded by 1% over the full fiscal year.
• Accessory Segment Viability: The accessories division demonstrated absolute stability, standing out as the only product category to deliver positive annual growth (+0.9%).

Key challenges and risks

The severity of the corporate transformation highlights significant structural risks and operational hurdles that threaten the immediate timeline for profitability.

• North American Demand Collapse: The company faces severe headwinds in its legacy domestic market, evidenced by a massive 7.9% annual drop in regional revenues, compounding margin pressures.
• Catastrophic Profitability Drag: The sheer weight of the ongoing restructuring efforts forced a staggering $495.6 million net loss, dragged down further by a $247 million deferred tax valuation allowance.
• Sustained Margin Compression: Gross margins deteriorated by 240 basis points to 45.5%, actively pressured by supply chain inefficiencies, tariff costs, and unfavorable regional product mix.
• Footwear Vulnerability: The core footwear division suffered a steep 10.8% annual revenue decline, signaling intense competitive pressure and market share erosion in a highly technical category.

Conclusion and strategic outlook

Under Armour, Inc. (NYSE: UAA) is enduring a profound and necessary period of structural recalibration. Fiscal 2026 concluded with total net revenues of $4.97 billion and a massive $495.6 million net loss, driven entirely by deliberate restructuring charges and severe tax valuation allowances. While the North American domestic market remains an anchor on performance, the brand’s explosive double-digit growth across vital international zones like Latin America and the Asia-Pacific proves the global appetite for Under Armour products remains potent.

The strategic outlook for the enterprise hinges entirely on management’s ability to execute the $305 million restructuring plan by the close of calendar year 2026. If the company can successfully defend its full-price strategy, right-size its domestic inventory pipelines, and harness its powerful international momentum, it stands positioned to emerge as a leaner, higher-margin athletic powerhouse.

FAQ section

• What was Under Armour’s total revenue for FY2026?Under Armour generated $4.97 billion in total net revenues during the fiscal year 2026, representing a 3.8% decline from the previous year.
• Did the company report a profit or a loss?The enterprise reported a severe GAAP net loss of $495.6 million for the fiscal year, primarily caused by restructuring charges and a deferred tax valuation allowance.
• What are the primary sales channels for Under Armour?The company distributes products through two main avenues: Wholesale, which brought in $2.8 billion, and Direct-to-Consumer (DTC), which generated $2.1 billion.
• Why is the company losing money?The financial losses are directly tied to an expanded $305 million corporate restructuring plan designed to correct operational inefficiencies, alongside a massive $247 million tax valuation allowance.
• Which product category generates the most revenue?Apparel is by far the dominant product category, generating $3.4 billion, which accounts for over 68% of total corporate revenues.
• How is the company performing outside of the United States?International performance is a major strength. The International segment grew 4% overall for the year, highlighted by a massive 22% Q4 revenue surge in Latin America and 13% growth in the Asia-Pacific region.
• Who is the Chief Executive Officer?Kevin Plank serves as the CEO of Under Armour, Inc., leading the company’s aggressive structural turnaround.
• What is the company’s future strategy?Management is focused on achieving substantial completion of its restructuring plan by December 2026, prioritizing premium full-price selling, brand health, and disciplined inventory management over immediate volume growth.

Official Site: Under Armour