Apparel giant loses $183m in COVID-19 ravaged second quarter
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A major apparel exhibitor at ICAST – the fishing industry’s largest fishing tackle trade show – has announced a 41% decrease in sales and a net loss of $183m in a COVID-19 damaged second quarter of its financial year.
Award-winning Under Armour reported revenue of $708m and restructuring and impairment charges for the quarter of $39m. Patrik Frisk, the company’s President and CEO, said: “With the majority of our own stores and wholesale locations closed for most of the second quarter, while we performed better than expected, we still experienced a significant decline in revenue across all markets.
“Now with most of these doors reopened, we are encouraged by some momentum we have experienced in June and July. However, we remain appropriately cautious with respect to the balance of 2020 due to the continued uncertainty related to the consumer shopping dynamic, the potential for a highly promotional environment and proactive decisions to reduce inventory purchases to be more aligned with anticipated demand relayed to on-going COVID-19 impacts.”
By region, sales declined 44.9% to $449.8m in North America, 38.7% to $89.1m in Europe, the Middle East and Asia (EMEA), 20% in Asia-Pacific and 71.9% to $11.1m in Latin America.