×
75 054
Fashion Jobs
URBN
Anthropologie Public Relations Coordinator
Permanent · PHILADELPHIA
URBN
Anthropologie Visual Merchandising Manager
Permanent · TIGARD
URBN
Anthropologie Senior Fabric Manager
Permanent · PHILADELPHIA
URBN
Anthropologie Visual Merchandising Manager
Permanent · ANN ARBOR
URBN
Urbn Inventory Control/Quality Audit
Permanent · RENO
URBN
Urbn Security Officer (Tuesday - Thursday Day Shift)
Permanent · GAP
BATH & BODY WORKS
Senior Financial Analyst, Marketing fp&a
Permanent · COLUMBUS
H&M
Senior Director, Sales Component Engineering
Permanent · ATLANTA
SACKS
Inventory Control - Cycle Counter
Permanent · LA VERGNE
SACKS
Vendor Compliance Analyst
Permanent · WILKES-BARRE
UNDER ARMOUR
Stock Lead, ft
Permanent · KANSAS CITY
UNDER ARMOUR
Stock Teammate, Part-Time 5am Shift, $15 Per Hour
Permanent · DAYTONA BEACH
UNDER ARMOUR
Stock Teammate, Part-Time 5am Shift, $15 Per Hour
Permanent · MERRIMACK
BLOOMINGDALE'S
Asset Protection Visual Security Officer, Full Time - Aventura
Permanent · MIAMI
SALLY BEAUTY CORPORATE
District Manager Sally Beauty 09661
Permanent · LITTLE ROCK
JCPENNEY
District Asset Protection Manager
Permanent · South Portland
JCPENNEY
Sales Floor Supervisor - Southpark Center
Permanent · Strongsville
SALLY BEAUTY CORPORATE
District Manager Cosmoprof 90097
Permanent · BOISE
BANANA REPUBLIC
General Manager - Powell Street
Permanent · EMERYVILLE
GAP
General Manager _west Country Ctr
Permanent · ST. LOUIS
OLD NAVY
Assistant General Manager - Mktplc Four Corners
Permanent · AURORA
GAP
General Manager - Destination Outlets
Permanent · JEFFERSONVILLE
By
Reuters
Published
Aug 3, 2020
Reading time
2 minutes
Share
Download
Download the article
Print
Click here to print
Text size
aA+ aA-

Under Armour gets online boost but expects more discounts

By
Reuters
Published
Aug 3, 2020

Under Armour said Friday it expects margins to be pressured for the rest of the year on the back of increased promotions, even as online demand helped the sportswear maker post a smaller-than-expected loss.


Twitter @UnderArmour



Shares of the Baltimore-based company, which surged during before the opening bell, were down about 8% by the end of the day.

Chief Financial Officer David Bergman also warned on a call with analysts the company might not have adequate supply to meet higher demand, if the second half of the year recovers at a faster-than-expected rate.

“Given the dramatic impacts across the retail landscape due to store closures, and inability to reduce supply as fast as demand, we’re anticipating that a highly promotional environment will materialize in the second half.”

A major portion of sales to off-price channels being planned in the third and fourth quarters could result in “meaningful” gross margin pressures for the rest of the year, Bergman added.

Under Armour has been trying to reduce its dependence on the low-margin wholesale business, through which it sells to department and off-price stores.

However, with increased promotional activity expected in the second half of the year, the company is anticipating more sales to off-price stores.

Under Armour beat analysts’ estimates for second-quarter revenue, as consumers shopped more online with several stores being shut due to the virus lockdowns.

During the quarter, its wholesales business revenue dropped 58%, while that of direct-to-consumer sales fell only 13%, helping gross margins rise 280 basis points.

Net revenue fell about 41% to $707.6 million in the quarter ended June 30, but beat estimates of $558.5 million, according to IBES data from Refinitiv.

On an adjusted basis, the company lost 31 cents per share, compared to analysts’ estimates of 41 cents.

© Thomson Reuters 2023 All rights reserved.