NYSE$UA
Under Armour · Q4 2019 earnings
Q4 2019 earnings · · Investor relations
Briefing
Under Armour's Q4 2019 performance reflected a revenue increase, improved gross margin, and an operating income, but also included a net loss due to tax expenses and impairment charges.
Under Armour reported a 4% increase in revenue to $1.4 billion for Q4 2019. The company's gross margin improved significantly, leading to an operating income of $74 million. However, the company experienced a net loss of $15 million, impacted by tax expenses and impairment charges.
- Revenue increased by 4% to $1.4 billion, driven by footwear and accessories.
- Gross margin improved by 230 basis points to 47.3% due to pricing, channel mix, and supply chain initiatives.
- Operating income was $74 million.
- Net loss was $15 million, impacted by tax and impairment charges.
Headline financials
Revenue & EPS history
Under Armour · Revenue · Quarterly
$1.44B
Revenue by segment
Under Armour · $1.41B total across 5 segments · Q4 2019
- Apparel$970M+0.2%69.0%
- Footwear$259M+10.3%18.4%
- Accessories$110M+1.6%7.8%
- Licensing$62.2M+35.5%4.4%
- Corporate Other$4.45M—0.3%
Forward guidance
Under Armour's initial 2020 outlook includes an estimated negative impact of the coronavirus outbreak in China of approximately $50 million to $60 million in sales related to the first quarter of 2020. Revenue is expected to be down at a low single-digit percent compared to 2019 results. Diluted Earnings per share is expected to be in the range of $0.10 to $0.13.
Tailwinds
- Gross margin is expected to be up approximately 30 to 50 basis points versus the prior year due to ongoing supply chain initiatives and regional mix benefits.
- International business is expected to grow at a low double-digit percentage rate.
Headwinds
- Revenue is expected to be down at a low single-digit percent compared to 2019 results.
- North America is expected to decline in mid to high-single-digit percentage.
- The coronavirus outbreak in China is expected to negatively impact sales by approximately $50 million to $60 million in the first quarter of 2020.
- Operating income is expected to reach $105 million to $125 million.
- Diluted Earnings per share is expected to be in the range of $0.10 to $0.13, inclusive of an estimated $0.01 to $0.02 negative impact from the company’s equity interest in its Japan licensee.
Historical earnings impact
How earnings announcements have historically affected this stock's price.
Avg. return before/after earnings
Based on 19 quarterly earnings reports · overlaid with Q4 2019
-0.5%
Avg return
Earnings day
-2.7%
Avg return
5 days after
-2.0%
Avg return
30 days after
54%
22 / 41 earnings
Positive
+24.6%
Q4 2015
Best reaction
-27.8%
Q1 2022
Worst reaction
| Quarter | Report date | Reaction (Day 0) | +5 days | +30 days |
|---|---|---|---|---|
| Q4 2026 | -16.8% | -15.0% | -1.2% | |
| Q3 2026 | +19.3% | +9.8% | +4.2% | |
| Q2 2026 | -1.1% | +0.7% | -1.6% | |
| Q4 2025 | +1.7% | +7.8% | +9.2% | |
| Q3 2025 | -4.6% | -10.3% | -12.7% | |
| Q2 2025 | +8.7% | +6.8% | +12.3% | |
| Q1 2025 | +22.3% | +24.7% | +19.6% | |
| Q4 2024 | -0.5% | -0.6% | -2.0% | |
| Q3 2024 | +4.8% | +3.2% | +7.5% | |
| Q2 2024 | +1.0% | -1.8% | +19.0% | |
| Q1 2024 | +1.3% | +1.3% | -6.4% | |
| Q4 2023 | -10.1% | -10.6% | -11.6% | |
| Q3 2023 | -10.9% | -12.4% | -27.2% | |
| Q2 2023 | +16.0% | +12.5% | +42.1% | |
| Q1 2023 | +1.2% | +5.6% | -10.2% | |
| Q1 2022 | -27.8% | -30.9% | -24.2% | |
| Q4 2021 | -12.8% | -12.7% | -19.2% | |
| Q3 2021 | +18.2% | +12.1% | +4.9% | |
| Q2 2021 | +13.3% | +16.9% | +11.6% | |
| Q1 2021 | +6.3% | +1.8% | -4.1% | |
| Q4 2020 | +9.5% | +7.4% | +10.9% | |
| Q3 2020 | +6.1% | +6.1% | +22.2% | |
| Q2 2020 | -13.7% | -7.3% | -10.2% | |
| Q1 2020 | -14.1% | -22.7% | +5.4% | |
| Q4 2019 | -14.9% | -14.9% | -51.8% | |
| Q3 2019 | -13.7% | -16.0% | -10.0% | |
| Q2 2019 | -16.6% | -21.3% | -30.5% | |
| Q1 2019 | +2.8% | -0.9% | +2.8% | |
| Q4 2018 | +3.8% | -0.6% | +3.9% | |
| Q3 2018 | +18.0% | +27.4% | +29.4% | |
| Q2 2018 | -2.3% | -5.1% | -0.2% | |
| Q1 2018 | +6.6% | +2.5% | +23.3% | |
| Q4 2017 | +22.5% | +19.7% | +4.9% | |
| Q3 2017 | -23.4% | -28.2% | -19.1% | |
| Q2 2017 | -9.1% | -8.3% | -16.6% | |
| Q1 2017 | +7.0% | +3.3% | -0.4% | |
| Q4 2016 | -25.1% | -27.5% | -24.4% | |
| Q3 2016 | -16.1% | -21.2% | -27.3% | |
| Q2 2016 | -8.9% | -7.9% | -1.3% | |
| Q1 2016 | +6.9% | — | — | |
| Q4 2015 | +24.6% | — | — | |
| Q3 2015 | — | — | — | |
| Q2 2015 | — | — | — | |
| Q1 2015 | — | — | — | |
| Q4 2014 | — | — | — | |
| Q3 2014 | — | — | — | |
| Q2 2014 | — | — | — | |
| Q1 2014 | — | — | — | |
| Q4 2013 | — | — | — | |
| Q3 2013 | — | — | — | |
| Q2 2013 | — | — | — | |
| Q1 2013 | — | — | — | |
| Q4 2012 | — | — | — | |
| Q3 2012 | — | — | — | |
| Q2 2012 | — | — | — | |
| Q1 2012 | — | — | — | |
| Q4 2011 | — | — | — | |
| Q2 2011 | — | — | — | |
| Q3 2011 | — | — | — | |
| Q1 2010 | — | — | — | |
| Q1 2011 | — | — | — | |
| Q4 2010 | — | — | — | |
| Q4 2008 | — | — | — | |
| Q3 2009 | — | — | — | |
| Q3 2010 | — | — | — | |
| Q2 2009 | — | — | — | |
| Q4 2009 | — | — | — | |
| Q2 2010 | — | — | — |
Discussion
Share your read of this quarter. Sign-in carries your eToro identity.
Join the conversation
Sign in with eToro to post your read of this quarter and vote on others'.
Sign in with eToro