- The Washington Times - Tuesday, August 1, 2017

Hoping to regain its financial footing, Under Armour on Tuesday announced a job-shedding restructuring plan that will see 280 employees get their pink slips, The Baltimore Sun reported.

The plan comes after a second-consecutive money-losing quarter. Despite a 9 percent uptick in sales, the company saw a loss of $12 million in the second quarter of 2017, or 3 cents per share, The Sun said.

In late April, the Baltimore-based company announced its first-ever quarterly loss, an announcement greeted on Wall Street with an actual uptick in the company’s stock price, as the $2.3-million loss was actually lower than analysts had predicted, CNBC reported at the time.

By contrast, Tuesday’s earnings and restructuring announcements have sent Under Armour shares down roughly 8 percent as of the publication of this article. The stock is trading at $16.67, 40 cents more than its 52-week low.

Under Armour founder Kevin Plank sounded an optimistic note about his company’s future.

“We enjoyed hyper-growth for several years and I want to be clear we still believe we’re a growth company,” Mr. Plank said, ABC News reported.

He predicted the company would emerge ”[s]tronger, faster, smarter,” The Sun said.

“That’s the goal. That’s our objective,” he said.

Copyright © 2018 The Washington Times, LLC. Click here for reprint permission.

The Washington Times Comment Policy

The Washington Times welcomes your comments on Spot.im, our third-party provider. Please read our Comment Policy before commenting.


Click to Read More and View Comments

Click to Hide