1. News
February 14, 2022

Under Armour reports 27% growth in full-year revenue for FY21

The company expects to register revenues in the mid-single digits for 1 January to 31 March.

US-based sports equipment company Under Armour has reported that its full-year revenue for 2021 (FY21) grew by 27% to $5.7bn compared with the previous year.

During the year, the company’s wholesale revenue rose by 36% to $3.2bn, while its direct-to-consumer revenue increased by 26% to $2.3bn.

Under Armour’s apparel business registered a revenue increase of 33% to $3.8bn, while its footwear business saw its revenue rise by 35% to $1.3bn.

The company’s operating income for the year was $486m and its adjusted operating income stood at $527m.

For the full year, Under Armour registered a net income of $360m and an adjusted net income of $397m.

The company’s diluted earnings per share (EPS) were $0.77, while its adjusted EPS were $0.85.

For the fourth quarter (Q4), which ended on 31 December, Under Armour’s revenue increased by 9% to $1.5bn compared with the corresponding period of last year.

The company’s operating income for the quarter was $86m and its adjusted operating income was $100m. It also registered $110m in net income.

Under Armour president and CEO Patrik Frisk said: “The final quarter of 2021 demonstrated the power and consistency of Under Armour’s strategic playbook, which allowed us to capitalise on improving brand strength and consumer demand.

“By staying hyper-focused on operational excellence and serving the needs of athletes, we were able to deliver record revenue and earnings results for the full year.

“Amid a dynamic environment with ongoing Covid-19 impacts and resultant supply chain headwinds, I am proud of how consistently our global teams continue to execute our plan.

“Going forward, I am confident that we are running a stronger company – one that is able to deliver sustainable, profitable growth and value creation for our shareholders over the long term.”

This month, Under Armour announced that its fiscal year will end on 31 March instead of 31 December going forward.

Following this change, 1 January to 31 March will be marked as a transition period and the company will not observe a fiscal year 2022 (FY22).

Under Armour’s fiscal year 2023 (FY23) will run from 1 April this year to 31 March next year.

For the transition quarter, the company expects its revenue to grow at a mid-single-digit rate and has forecast EPS of between $0.02 and $0.03.