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Jun 30
Under Armour Q1 2026 Earnings Report
Under Armour reported a 4% revenue decline in Q1 2026, with gross margin improvement offset by lower sales across most regions and categories.
Key Takeaways
Under Armour's Q1 2026 revenue fell to $1.134B, down 4.2% year-over-year, as North America and Asia-Pacific saw declines, partly offset by growth in EMEA. Gross margin improved to 48.2%, aided by favorable FX, pricing, and product mix, but operating income was only $3.3M. The company posted a net loss of $2.6M, with adjusted EPS at $0.02.
Revenue declined 4.2% YoY to $1.134B, with North America down 5.5% and Asia-Pacific down 10.1%.
Gross margin improved 70 bps to 48.2% due to FX, pricing, and product mix benefits.
Net loss was $2.6M, compared to a $305.4M loss last year; adjusted net income was $8.6M.
Cash and cash equivalents rose to $911M, aided by a $400M senior notes issuance.
Under Armour
Under Armour
Under Armour Revenue by Segment
Under Armour Revenue by Geographic Location
Revenue by Segment
Apparel Revenue
CapyFin.comFootwear Revenue
CapyFin.comAccessories Revenue
CapyFin.comLicensing Revenue
CapyFin.comCorporate Other Revenue
CapyFin.comRevenue by Geographic Location
North America Revenue
CapyFin.comEMEA Revenue
CapyFin.comAsia-Pacific Revenue
CapyFin.comLatin America Revenue
CapyFin.com Forward Guidance
For Q2 2026, Under Armour expects a 6–7% revenue decline, with North America down low-double-digits, EMEA up high-single-digits, and Asia-Pacific down low-teens; adjusted EPS is projected at $0.01–$0.02.
Positive Outlook
- EMEA expected to grow high-single-digits in Q2 2026.
- Adjusted operating income forecasted at $30M–$40M.
- Gross margin to benefit partially from favorable FX and pricing.
- Ongoing brand repositioning with premium products.
- No outstanding borrowings under $1.1B revolving credit facility.
Challenges Ahead
- Overall Q2 revenue expected to decline 6–7% YoY.
- North America projected to be down low-double-digits.
- Gross margin expected to decline 340–360 bps due to tariffs and channel mix.
- SG&A expenses projected to increase at a low double-digit rate.
- Operating income guidance ranges from a $10M loss to breakeven.
Revenue & Expenses
Visualization of income flow from segment revenue to net income