Under Armour Updates FY23 Outlook

(RTTNews) - While reporting Q1 results, Under Armour Inc. (UA), on Wednesday, said it now expects fiscal 2023 earnings per share to be $0.61 - $0.67 compared to the previous expectation of $0.79 - $0.84 per share.

This includes a $0.28 benefit related to a tax valuation allowance release expected to be realized during the fiscal year. Of this $0.28 benefit, $0.16 of this amount is related to prior restructuring. Additionally, there is a $0.02 negative impact from legal expenses related to ongoing litigation matters.

Excluding these net positive impacts of $0.14, adjusted earnings per share is currently expected to be $0.47 - $0.53, compared to the previous expectation of $0.63 - $0.68.

Fiscal 2023 operating income is expected to reach $300 million - $325 million compared to the previous range of $375 million - $400 million. Excluding an expense related to ongoing litigation matters, adjusted operating income is expected to reach $310 million - $335 million.

Meanwhile, the company continues to sees 5% - 7% revenue growth in fiscal 2023. Excluding about 200 basis points of anticipated foreign currency headwinds, currency-neutral revenue is expected to be up 7% - 9%.