US-based sportswear group Under Armour faced a third-quarter revenue drop, citing weak North American demand and higher US tariffs. Net revenue fell 5% year-on-year to $1.33bn, with a $431m quarterly net loss, including a $247m tax-related charge. Apparel revenue dipped 3%, footwear 12%, and accessories 3%.

Wholesale sales declined 6% to $660m, direct-to-consumer revenue dropped 4% to $647m, and online sales fell 7%. Gross margin shrank by 310 basis points to 44.4%, impacted by tariffs, pricing pressures, and sales mix. SG&A costs rose 4% to $665m, with restructuring charges contributing to an operating loss of $150m.

North America revenue decreased 10% to $757m, while international revenue saw a 3% rise, with EMEA up 6% and Latin America climbing 20%. Asia Pacific revenue dropped 5%. Inventory slightly decreased to $1.1bn, with $465m in cash and $600m in restricted investments. Full-year revenue is expected to drop 4% with an operating loss of $154m.

For the nine months ended 31 December 2025, net revenues were $3.79bn, down from $3.98bn in 2024. SG&A expenses decreased to $1.77bn in 2025 from $1.99bn in 2024. Net loss widened significantly to $452.3m in 2025. Adjusted operating income is projected near $110m, with diluted loss per share between $1.24 and $1.25.

Read more at Yahoo Finance: Under Armour widens loss outlook as tariffs bite