Under Armour sales plummet 23% as coronavirus stalls turnaround plans

Business

An Under Armour store front is seen on November 04, 2019 in Sunrise, Florida.

Joe Raedle | Getty Images

Under Armour reported a sales decline of 23% during its first quarter, as its business took a blow from the coronavirus pandemic and its stores were forced shut. 

Its shares were down less than 1% in premarket trading following the release.  

Here’s how Under Armour did during its fiscal first quarter ended March 31: 

  • Earnings per share: A loss of 34 cents, adjusted 
  • Revenue: $930.2 million 

“Since mid-March, as the pandemic accelerated dramatically in North America … and retail store closures ensued, we’ve experienced a significant decline in revenue across all markets,” Chief Executive Patrik Frisk said in a statement. 

Analysts had been calling for the company to report an adjusted net loss of 19 cents per share, on revenue of $949 million, according to a poll by Refinitiv. However, it is difficult to compare reported earnings to analyst estimates for Under Armour’s first quarter, as the coronavirus pandemic continues to hit global economies and makes earnings impact difficult to assess. 

As of Friday’s market close, Under Armour shares are down almost 54% this year. The company has a market cap of $4.5 billion. 

Find the full earnings report from Under Armour here. 

This is a developing story. Please check back for updates. 

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