May 12 (Reuters) – Under Armour on Tuesday forecast another annual revenue decline and expects profit below Wall Street estimates, as weak consumer spending and macroeconomic uncertainty weigh on demand in its key North American market.
Shares of the company, which has reported sales declines for three straight years amid CEO Kevin Plank’s efforts to revive the business, fell 12% in premarket trading.
The downbeat report adds to concerns about the company’s ability to stabilize its core business in a market where shoppers have grown more selective and competition from brands such as Nike, Lululemon, Adidas and Puma has intensified.
The company expects revenue for its fiscal year 2027 to fall slightly, compared with analysts’ average expectation of a 1.6% rise to $5.05 billion, according to data compiled by LSEG.
Under Armour expects annual North American sales to decline by a low single-digit.
The company also projected annual adjusted profit per share of between 8 cents and 12 cents, compared with analysts’ average expectation of 23 cents.
(Reporting by Sanskriti Shekhar in Bengaluru; Editing by Sriraj Kalluvila)
