Under Armour Inc (0R2I.L) Q1 2025 Earnings Report

Executive Summary: In QQ1 2025, Under Armour reported initial quarter results reflecting a meaningful top‑line decline and persistent profitability headwinds, even as liquidity remains robust. Revenue reached $1.1836 billion, down 24.45% year over year and 11.14% quarter over quarter, with gross profit of $562.7 million and a gross margin of 47.54%. Operating loss of $299.7 million and net loss of $305.4 million produced an EPS of −$0.70. The negative operating and net margins underscore ongoing fixed-cost leverage challenges in a softer demand environment. On the plus side, the company generated operating cash flow of $153.0 million and free cash flow of $107.3 million, supported by a strong cash position of approximately $903.2 million and a net debt position of −$289.2 million, providing balance sheet flexibility to navigate near‑term volatility. Balance sheet strength is complemented by sensible working capital dynamics as indicated by days sales outstanding (52.1), days inventory outstanding (162.3), and a cash conversion cycle of about 113 days.