=Under Armour (UAA) reported earnings on Tue 1 Aug 2017 (b/o)

Under Armour beats by $0.03, beats on revs; lowers FY17 guidance; announces restructuring:

• Reports Q2 (Jun) loss of $0.03 per share, excluding non-recurring items, $0.03 better than the Capital IQ Consensus of ($0.06); revenues rose 8.7% year/year to $1.09 bln vs the $1.08 bln Capital IQ Consensus, up 8 percent currency neutral. Revenue to wholesale customers rose 3 percent to $655 million and direct-to-consumer revenue was up 20 percent to $386 million. A dynamic and promotional retail environment in North America continued to temper results with revenue in line with last year's same period. Outside North America, the strong momentum continued with international revenue up 57 percent (up 54 percent currency neutral), representing 22 percent of total revenue. Within our international business, revenue in EMEA was up 57 percent (up 53 percent currency neutral), up 89 percent in Asia-Pacific (up 87 percent currency neutral) and up 10 percent in Latin America (up 9 percent currency neutral). Apparel revenue increased 11 percent to $681 million including strength in men's and women's training, and golf. Footwear revenue was down 2 percent to $237 million, against last year's same period which was up 58 percent due to significant strength in basketball sales. Accessories revenue increased 22 percent to $123 million with strength in men's and women's training, and youth performance.
• Gross margin declined 190 basis points to 45.8 percent as benefits from channel and product mix were offset by inventory management initiatives, changes in foreign currency rates, and higher air freight in connection with our enterprise resource planning (:ERP) system implementation, which impacted the timing of shipments to certain key customers.
• Co issues guidance for FY17, sees EPS of $0.37-0.40, excluding non-recurring items, vs. $0.42 Capital IQ Consensus Estimate; sees FY17 revs of +9-11% to ~$5.26-5.36 bln vs. $5.35 bln Capital IQ Consensus Estimate. 
• Under Armour's Board of Directors has approved a restructuring plan to more closely align its financial resources to support the company's efforts to better serve the evolving needs of the changing consumer and customer landscape. "As we stand up our category management structure within a consumer-led approach, we intend to meaningfully increase our go-to-market speed and amplify our digital capabilities," continued Plank. "We've identified a number of areas to enhance our operational capabilities, drive process improvement and gain greater efficiencies. We remain steadfast in driving and building our brand while shifting our operational focus to become more return-on-investment and cost of capital centric - institutionalizing discipline to deliver more consistent, long-term shareholder value." In conjunction with this plan, the company expects to incur total estimated pre-tax restructuring and related charges of ~$110-130 million.