Core Insights - Under Armour, Inc. reported its unaudited financial results for the fourth quarter and full fiscal year 2025, indicating a strategic reset aimed at sustainable growth and brand relevance [1][2]. Financial Performance Fourth Quarter Fiscal 2025 Review - Revenue decreased by 11% to $1.2 billion, with North American revenue down 11% to $689 million and international revenue down 13% to $489 million [6][17]. - Gross margin improved by 170 basis points to 46.7%, attributed to supply chain benefits and reduced discounting [6][19]. - The company experienced an operating loss of $72 million, with an adjusted operating loss of $36 million [6][30]. - Net loss was $67 million, with an adjusted net loss of $35 million [6][30]. Full Year Fiscal 2025 Review - Total revenue fell by 9% to $5.2 billion, with North American revenue down 11% to $3.1 billion and international revenue down 6% to $2.1 billion [6][17]. - Gross margin increased by 180 basis points to 47.9%, driven by lower costs and reduced discounting [6][19]. - The company reported a net loss of $201 million, with an adjusted net income of $135 million [6][30]. Share Buyback Program - Under Armour repurchased $25 million of its Class C common stock in the fourth quarter, totaling 12.8 million shares repurchased for $90 million as part of a $500 million program [5]. Restructuring Plan - The Fiscal 2025 Restructuring Plan aims to enhance financial and operational efficiencies, with expected charges between $140 million and $160 million [7]. - As of the end of the fourth quarter, the company recognized $58 million in restructuring and impairment charges [7]. First Quarter Fiscal 2026 Outlook - Revenue is projected to decline by 4% to 5% compared to the first quarter of fiscal 2025, with expectations of a gross margin increase of 40 to 60 basis points [13]. - Selling, general, and administrative expenses are anticipated to decrease by approximately 40% compared to the previous year [13]. - Operating income is expected to be between $5 million and $15 million, with adjusted operating income forecasted to be between $20 million and $30 million [13][32].
UNDER ARMOUR REPORTS FOURTH QUARTER FISCAL 2025 RESULTS; PROVIDES FIRST QUARTER FISCAL 2026 OUTLOOK