Under Armour expands 2025 restructuring plan

Under Armour (UA) announced the expansion of its previously disclosed fiscal 2025 restructuring plan and increased its fiscal 2026 adjusted operating income outlook. Previously, the company anticipated incurring up to $160M in pre-tax restructuring and related charges in connection with its fiscal 2025 restructuring plan. Following further review, Under Armour’s Board of Directors has approved an additional $95 million in restructuring actions, the primary benefits of which will be realized in future periods. This includes the separation of the Curry Brand from Under Armour, further contract terminations, incremental asset impairments, and additional employee severance and benefits costs. The company estimates that its total global basketball business, including Curry Brand, will approximate $100M to $120M in revenue for fiscal 2026. In connection with the separation of the Curry Brand, the company does not anticipate a significant effect on its consolidated financial results or profitability. The expansion of the restructuring and transformation plan brings the total estimated restructuring and related charges to up to $255M, consisting of: Up to $107M in cash-related charges, consisting of approximately $34M in employee severance and benefits costs, and $73M related to various transformational initiatives; Up to $148M in non-cash charges, consisting of approximately $7M in employee severance and benefits costs, and $141M in contract terminations, facility, software, and other asset-related charges and impairments. As of September 30, 2025, Under Armour had incurred approximately $147M of restructuring and related charges. The plan is expected to be substantially complete by the end of fiscal year 2026