Under Armour Urgently Adjusts Annual Forecast

Despite the fact that Under Armour sold 1 billion dollars earlier to defeat Nike in a single attempt to turn it into a boss, it turned out to be the opposite. Recently, after Under Armour filed for bankruptcy protection for a long time, Under Armour had to reiterate its performance expectations for the 2016 fiscal year.

It is reported that the US sporting goods retailer Authority, a former Under Armour long-term customer, has 463 stores in the United States. However, due to the competition against e-commerce and poor management, it has resulted in a total debt of 1 billion 100 million US dollars, and filed for bankruptcy protection.

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After the production was protected, the company immediately handled the clearance sale of 300 of its stores.

If there are no buyers, it is very likely that the company will close 140 stores and 2 logistics centers.

At the end of January, when the 2015 fiscal year information was released, we made the following expectation for fiscal year 2016: annual revenue will grow 25% to 4 billion 950 million US dollars over fiscal year 2015, and operating profit should rise 23% over the same period last year.

Affected by this, Under Armour rose by 1.05% to 83.96 dollars at noon.

However, can Under Armour achieve its full year target as expected? After all, the main customers are filing for bankruptcy.

It has a certain effect.

However, for now, Under Armour has to make adjustments, but the specific data have not been disclosed.

In addition, Under Amour said it would provide help during the reorganization of The Sports Authority.

The latter owed $23 million to the Under Armour group. The group said it believed that the bankruptcy of The Sports Authority would not affect its account collection.