The United States’ sports apparel brand, Under Armour, is also facing difficulty as the revenue has dropped because of the store's closure in the COVID-19 crisis.
According to Sinchew, Under Armour said that the coronavirus has caused the sales to drop sharply as the outlets are almost closed completely. Following the situation, the revenue is expected to fall by 50% to 60% in the second quarter.
Under Armour reported a loss of US $ 589.7 million (approximately RM2.6 billion) in the first quarter, the adjusted share price suggested a loss of 34 cents per share.
The company's revenue fell 23% to 930 million US dollars which is lower than the expected 949 million US dollars. It is also stated that North American market revenue fell 28% to 609 million US dollars.
David Bergman, the company's Chief Financial Officer (CFO), said that although all sales outlets in the Asian have been reopened, 80% of the global sales outlets have been closed since April, which has caused a heavy impact to the business.
It is also an uncertainty that the consumers will visit the store even it resumes operation in this situation.
Cover photo: Under Armour Website || Retail News Asia
