Under Armour (UA) releases revised growth and financial projections
Under Armour (UA) held its biennial Investor Day on September 16 at its global headquarters in Baltimore. On the conference call, UA management released updated financial projections for 2015–18. These included revenue and operating income targets along with planned investments and capitalization objectives.
Under Armour has recorded more than 20 straight quarters of 20%-plus growth in sales. According to founder and CEO Kevin Plank, “We are one of only two companies in the S&P 500 that can make that claim, and we are very proud of that and what that means. And frankly, we have no expectation of that stopping anytime soon.”
Under Armour is a growth company. In this series, we’ll discuss how the company plans to double its business in the next four years. You’ll also read about the key investments in Connected Fitness, innovation, and supply chain that the company’s planning and its roadmap towards increasing presence in key sports categories and becoming a global brand.
About Under Armour
Started in 1996, the Baltimore-based Under Armour has been one of the fastest-growing brands in the sports apparel industry. The company rapidly gained popularity due to the success of its compression and moisture-wicking apparel.
Incorporated in November 2006, Under Armour has a market cap of ~$22 billion and clocked sales of $3.4 billion in the trailing 12 months. Currently, it holds the second-highest market share in the US (SPY)(IVV)(VOO) activewear market, second only to global leader Nike (NKE).
To learn more about the company’s business, please read our business overview series, High-Performance Winner? Your Must-Know Guide To Under Armour.
The Under Armour brand is ranked number five in the “Forbes Fab 40: The World’s Most Valuable Sports Brands 2014.” The company’s brand value was estimated at $4.1 billion in the ranking. Peers Nike (NKE) and Adidas (ADDYY)(ADS.DE) also ranked among the top ten, at the first and third spots, respectively. Nike had a brand value of $19 billion and Adidas’s brand value is estimated at $5.8 billion.