Under Armour, Inc. has reported its unaudited financial results for the fourth quarter and full fiscal year 2025. Let's take a closer look at the key financial metrics and how they have changed from the previous period.
In the fourth quarter of fiscal 2025, Under Armour's revenue was down 11 percent to $1.2 billion. North American revenue decreased 11 percent to $689 million, while international revenue declined 13 percent to $489 million. Within the international business, revenue declined 2 percent in EMEA, 27 percent in Asia-Pacific, and 10 percent in Latin America. Apparel revenue decreased 11 percent to $780 million, footwear revenue declined 17 percent to $282 million, and accessories revenue increased 2 percent to $92 million.
The company's gross margin increased 170 basis points to 46.7 percent, primarily driven by supply chain benefits and positive impacts from product mix and foreign exchange, partially offset by an unfavorable channel and regional mix. Selling, general, and administrative expenses increased 1 percent to $607 million. The operating loss was $72 million, and the net loss was $67 million.
For the full fiscal year 2025, revenue decreased 9 percent to $5.2 billion. North American revenue decreased 11 percent to $3.1 billion, while international revenue fell 6 percent to $2.1 billion. Apparel revenue fell 9 percent to $3.5 billion, footwear revenue declined 13 percent to $1.2 billion, and accessories revenue rose 1 percent to $411 million. The company's gross margin increased 180 basis points to 47.9 percent, primarily due to supply chain benefits.
Under Armour reported an operating loss of $185 million for the full fiscal year 2025, while the net loss was $201 million. The company repurchased $25 million of its class C common stock in the fourth quarter, retiring 4.1 million shares. As of March 31, 2025, a total of 12.8 million shares had been repurchased for $90 million as part of a three-year, $500 million program approved by the board of directors in May 2024.
In May 2024, Under Armour announced a restructuring plan to improve the company's financial and operational efficiencies. The plan has an anticipated range of $140 million to $160 million, with up to $90 million expected to be cash-related. By the end of the fourth fiscal quarter of 2025, the company recognized $58 million in restructuring and impairment charges and $31 million in other related transformational expenses under the plan.
Looking ahead to the first quarter of fiscal 2026, Under Armour expects revenue to decrease 4 to 5 percent compared to the first quarter of fiscal 2025. Gross margin is expected to increase 40 to 60 basis points, and selling, general, and administrative expenses are expected to decrease approximately 40 percent compared to last year's first quarter.
The market has reacted to these announcements by moving the company's shares 6.34% to a price of $6.21. If you want to know more, read the company's complete 8-K report here.
