Under Armour, Inc.: High growth company with a bright future

Under Armour has grown to become a $3bn business, generating significant profits in the process. However, the company does face a number of challenges. Its origins as a supplier of performance apparel continue to be seen, as the company exhibits an ongoing overreliance on apparel, a segment that accounts for almost 75% of revenue, while the vast majority of its business is in North America.

Scope

Learn about Under Armour's origins and how it has become a major player in the performance apparel industry.

In-depth analysis of Under Armour's recent financial performance compared to its closest rivals

Explores Under Armour's focus on sport strategy, with particular attention to its endorsement efforts

Looks at what the future may hold as Under Armour looks to reduce its reliance on performance apparel and on the North American market.

Reasons to buy

What is Under Armour and what does it sell?

How has Under Armour established itself in the sports market?

How does Under Armour's financial performance compare to that of Nike and adidas?

What future growth opportunities might Under Armour look to exploit?

Companies mentioned

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Table of Contents

OVERVIEW

Catalyst

Summary

RAPID GROWTH FUELLED BY APPAREL SALES

Under Armour: The Origins

Rapidly growing, profitable multi-billion dollar business

Profitable growth

Reliance on apparel segment

Dependence on North America

Darling of the stock market

SUCCESS BUILT ON SPORT AND DIVERSIFICATION

Under Armour: A performance apparel brand

Endorsements in US-centric sports

Move away from US-centric sports

Under Armour tentatively enters soccer market

Moving in to rugby via Wales

Endorsement strategy reflected in marketing costs

Under Armour: Not a lifestyle brand

Under Armour's 'womanifesto' targets the female market

Gradual product & geographical diversification key to success

Product diversification: From apparel to footwear to accessories

Remains North America centric but increasingly global

A FUTURE FILLED WITH OPPORTUNITY

Great scope for geographical expansion

China is at the forefront of Asian expansion plans, India also potential boom market

Latin America a key growth region

Cautious approach based on distribution agreements in Europe

Expand existing product categories, rollout new ones

Promising future for Under Armour footwear

Potential future as equipment manufacturer

Under Armour: A player in wearable technology

Under Armour as a lifestyle brand remains a remote possibility

Further acquisitions could aid growth & entry to new markets

Under Armour could learn from Nike's golfing experience

Further acquisition targets: lululemon?

CONCLUSIONS

Under Armour's success story set to continue

APPENDIX

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