North America: The Critical Market For Under Armour


Oct. 11 2020, Updated 11:50 a.m. ET

Revenue breakdown by segment

United Armour, Inc. (UA) revenues came in at $2.3 billion in 2013, growing by 27.1% over 2013. The company reports revenues under two broad segments:

  1. North America, including US and Canada
  2. Other foreign countries, including Europe, Middle East and Africa (or EMEA), Asia, and Latin America

United Armour, or UA, acquired MapMyFitness in December 2013. Meanwhile, since they aren’t material as yet, MapMyFitness revenues are combined with other foreign sales.

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North America

Most of the company’s revenues come from North American sales. These accounted for ~94% of revenues in 2013. The US, where UA is based, was a strong driver, with sales coming in at $2.1 billion or ~89.3% of total revenues.

Sales have a strong seasonal component. For sporting goods companies, sales are strongest in the fall and winter seasons. Winter apparel is also costlier, which bumps up revenues during these months.

The company sells its products through a combination of avenues:

  1. Wholesale channels such as other retailers like Dicks Sporting Goods, Inc. (DKS)
  2. Direct-to-customer (or DTC) means including its own retail stores and online
  3. Licensing agreements

In 2013, the company had 117 factory-house stores and 6 brand stores in North America. Store rollout is increasing and is expected to be stronger going forward. More on store strategies later in this series.

A growth company favored by growth-oriented ETFs

North American sales went from strength to strength during the past five years. Sales grew at a compounded annual growth rate of ~26% between 2008 and 2013.

As a company with strong growth prospects, UA is a part of several ETFs that invest in companies with a growth slant. These include the Guggenheim S&P 500 Pure Growth ETF (RPG), the iShares S&P 500 Growth Index ETF (IVW), and the iShares Russell Mid-Cap Growth ETF (IWP). UA is also a component of the SPDR S&P 500 ETF Trust (SPY).


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