Under Armour Inc (UA) Q3 2026 Earnings Report

Under Armour’s third quarter of fiscal 2026 (Q3 2026) delivered a modest revenue decline and a meaningful step toward stabilization as the company continues its return-to-operational discipline. Revenue fell 4.65% year over year to $1.334 billion, with gross margin compressing to 44.7%—a 310 basis point year-over-year decline driven by supply-chain headwinds, tariff pressure, and promotional activity. Despite the top‑line softness and a GAAP net loss of $430.8 million, management highlighted a tangible improvement in execution: inventories down 2% YoY, tighter assortments, earlier planning, and a leaner operating structure that engineers more predictable performance. On an adjusted basis, operating income was $26 million and adjusted diluted EPS was $0.09, reflecting the ongoing transition costs and a favorable tax development that boosted near-term earnings. Management modestly raised the full-year adjusted operating income outlook to roughly $110 million and now guide for full-year adjusted diluted EPS of $0.10–$0.11, signaling confidence in the turnaround impulse as the company aims to stabilize in fiscal 2027. Regional performance was mixed: North America revenue declined about 10% (soft wholesale, modest DTC impact), while EMEA grew ~6% (currency-neutral ~2%), APAC declined ~5%, and Latin America rose ~20% (currency-neutral ~13%). The narrative emphasizes “premiumization” and disciplined product segmentation (good, better, best) as the core levers to restore pricing power and improve margins, with the footwear refresh and velocity/Acerta launches cited as evidence of early product discipline paying off. The call reinforces that the most disruptive phase of the reset is behind UA, with a stronger foundation to support sustainable profitable growth into FY2027 and beyond.