Read How Under Armour Fared In Q1

• Under Armour Inc (NYSE: UAA) reported first-quarter FY23 sales of $1.349 billion, marginally missing the consensus of $1.35 billion.

• Wholesale revenue increased 3% Y/Y to $792 million, and direct-to-consumer revenue fell 7.1% to $521 million.

• Apparel revenue fell 0.7% Y/Y, Footwear climbed 1.3%, while Accessories revenue decreased 13.2%.

• The gross profit fell 5.8% Y/Y to $630.2 million, and the gross margin contracted 280 basis points Y/Y to 46.7%.

• The operating margin contracted 640 basis points to 2.6%, and operating income for the quarter declined 71.5% to $34.5 million.

• The company held $1 billion in cash and equivalents as of June 30, 2022. Cash provided by operating activities for the quarter totaled $87.5 million versus $252.8 million a year ago.

• Adjusted EPS of $0.03 missed the analyst consensus of $0.04.

• Inventory increased 8% to $954 million.

• Outlook: Under Armour affirmed its previous expectation for 5% - 7% revenue growth.

• The company reduced its FY23 adjusted EPS outlook to $0.47 - $0.53 from the prior view of $0.63 - $0.68, against the consensus of $0.67.

• Price Action: UAA shares are trading higher by 4.57% at $9.62 on the last check Wednesday.

• Photo via Wikimedia Commons

See more from Benzinga

• Tupperware Brands Shares Rip After Huge Q2 EPS Beat

• Pizza Hut Parent Yum! Brands' Q2 Earnings Miss Estimates

Don't miss real-time alerts on your stocks - join Benzinga Pro for free! Try the tool that will help you invest smarter, faster, and better.

© 2022 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.