US sportswear firm Under Armour's Q1 FY21 revenue up 35% to $1.2 bn

Under Armour, a distributor of branded athletic performance apparel and footwear, has reported 35 per cent revenue increase to $1.2 billion in its first quarter (Q1) FY21 ended on March 31, 2021, compared to the revenue of $930.2 million in the same quarter previous year. The company’s net income for Q1 rose to $77.7 million (Q1 FY20: loss $589.6 million).

 

“Under Armour is off to an excellent start for the year. Our first-quarter results demonstrate that our improved operating model and investments we're making to amplify our connection with consumers are enabling us to deliver against strong demand for our brand," Patrik Frisk, Under Armour president and CEO, said in a press release.

 

Gross profit for the quarter increased to $628.6 million ($430.9 million), while selling, general and administrative expenses were $514.6 million ($552.7 million). The company’s income from operations rose to $106.8 million (loss from operations: $556.1 million).

 

Wholesale revenue jumped 35 per cent to $800 million, whereas direct-to-consumer revenue grew 54 per cent to $437 million, driven by 69 per cent growth in e-commerce.

 

Revenue of apparel section improved 35.4 per cent to $810.0 million ($598.2 million) while, footwear section revenue surges 47.4 per cent to $309.0 million ($209.7 million).

 

Regionally, North America sales during Q1 FY21 rose to $805.7 million ($608.9 million), and EMEA sales grew to $193.8 million ($137.9 million). Asia-Pacific region's sales increased to $210.2 million ($95.6 million), however Latin America sales dropped to $48.3 million ($53.0 million).

 

“Additionally, with a solid balance sheet and well-managed inventory, we're confident in our ability to drive well through 2021 as we get back on offense and make measured progress to returning to sustainable, profitable growth over the long-term,” Frisk said.