Sportswear retailer Under Armour has reported a 23% drop in revenue in the first quarter, to $920m (£734m).
The US retailer also predicted its Q2 revenue will drop 50-60% as most of its stores remain closed due to the ongoing coronavirus pandemic.
Wholesale revenue decreased by 28% to $592m (£472m) and direct to consumer revenue was down 14% to $284m (£226m).
However, revenue increased by 3% in EMEA, compared to a 34% drop in Asia-Pacific and a 28% drop in North America.
Overall operating loss was $558m (£445m).
“As extraordinary human and economic disruptions related to Covid-19 continue to unfold globally, we are prioritizing the health and welfare of our teammates and consumers,” said Under Armour president and CEO Patrik Frisk.
“By instituting disciplined workplace continuity protocols and adhering to the recommendations of local health authorities, we remain vigilant in monitoring this evolving situation and responsibly playing our part.
“During the first quarter, our results in January and February were tracking well to our plan. Since mid-March, as the pandemic accelerated dramatically in North America and EMEA and retail store closures ensued, we’ve experienced a significant decline in revenue across all markets.
“As a result, like so many businesses, we’ve had to make very difficult decisions, including temporarily laying off teammates in our U.S. retail stores and distribution centres along with other actions to ensure we protect Under Armour’s financial stability.
“As we continue to navigate this crisis, our balance sheet remains well managed, and our leadership team is taking decisive actions to execute against our continued transformation. We remain focused on driving greater efficiencies across the core elements of our business by working to identify additional opportunities to emerge with stronger and greater capabilities over the long-term.”
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