Under Armour (UA) Q2 2027 earnings summary

Executive summary

• Q2 FY2027 revenue fell 6.9% to $1,241.7M amid soft demand and promotions; operating income was $14.8M reported and $24.9M adjusted, above outlook.

• H1 revenue declined 5.2% to $2,339.7M; operating income increased to $61.5M from $20.4M, supported in part by prior-year tariff recoveries.

• Priorities include improving full-price sales, simplifying products and operations, and investing in innovation, brand positioning and stronger global execution.

Financial highlights

• Q2 net revenue was $1,241.7M versus $1,333.4M; gross profit was $583.6M versus $630.6M.

• H1 net revenue was $2,339.7M, down 5.2%; gross profit was $1,177M, flat year over year.

• Q2 GAAP SG&A declined 4.2% to $557.4M; adjusted SG&A declined 3% to $559M.

• Q2 GAAP net loss was $0.4M and adjusted net loss was $2.1M; reported and adjusted diluted EPS were both $0.00.

• H1 net income was $0.1M versus a $21.4M net loss in the prior-year period.

Outlook and guidance

• FY27 revenue is expected to decline at a mid-single-digit rate; guidance is unchanged despite potential additional North America weakness.

• FY27 gross margin improvement is forecast at 170–220 bps, including ~150 bps from IEEPA tariff recoveries; excluding the recoveries, expected improvement is ~20–70 bps.

• FY27 adjusted operating income remains $140M–$160M and adjusted diluted EPS is $0.08–$0.12; reported operating income is projected at $99M–$119M.

• FY27 adjusted SG&A is expected to decline at a low-single-digit rate; reported SG&A is expected to decline at a high-single-digit rate.

• Q3 revenue is expected to fall 8%–9%; adjusted operating income is forecast between a $5M loss and $5M profit, with adjusted diluted EPS of negative $0.01 to negative $0.03.