Financial analysis: Under Armour, Inc

Résumé du document

"Under Armour? is an American company founded by Kevin Plank a former University of Maryland football player in 1996. Initially, Kevin just wanted to make outfits that would allow athletes to be comfortable in their clothes during their practice sessions. Everything started with a plan to make a "Superior T-shirt?, that would kept the athletes in good comfort and avoid suffocation or any other discomfort during their workouts. "Under Armour? wanted to integrate innovation, technology and design in the process of designing casual and sportswear. This report is to throw more light on how the brand deals with all its financial aspects and also to analyze the financial situation of Under Armour in 2006 fiscal year.

Extraits

[...] Market The brand is present almost everywhere. We can notice when going to their website that they mainly sell in countries or part of the world where we can find footballer player. They are selling in different countries and part of the world such as : United States South Africa New Zealand Japan Australia UK Europe Canada For all those countries, the brand has a specific website traduced in the language of the countries. If you look at the web site for Japanese or for French consumers, you will mainly find the same design. [...]

[...] The new sales office and the expanding of market allowed more inventories. And it is also because of the huge increase of net sales. With some unknown reason, the company had some new credit of taxes in 2006, which caused the increase of the taxes. Liabilities The total liabilities increased from $52,857 million to $74980 million. But basically kept the level of ratio in 2005 and 2006. The account payable and the accrued expenses took majority percents of liabilities. Because the UA did lots of B2B business and had a sharp increase of purchases. [...]

[...] Under Armour Full T-shirt Heat Gear Under Armour Metal Speed Low 90 Dollars Company on the stock exchange In December 2007, the value of Under Armour share has decreased from 2,36%. The Shareholders - Stephen Mandel Jr. owns billion hedge fund which is equivalent to stake in Under Armour shares. - Lone Pine and affiliated funds own 2.7 million shares of class A shares. The stake makes the firm Under Armour's second-largest institutional holder, behind AllianceBernstein. (127 institutions hold 33.8 million shares). - Founder and Chief Executive Officer Kevin Plank hold all 13.25 million class B shares through direct and indirect holdings. [...]

[...] The main growth contributed to the total assets is the current assets. It increased from $181,790 million to $244,952 million, although it decreased in the ratio which is down from to That means the company increased any other kinds of assets. For the other kinds of assets' increase, from the annual report, we can see that the company opened their new sells office in Amsterdam and implemented a new enterprise resource planning system SAP, these are significant increases of property and equipments. [...]

[...] Competitors The three main competitors of Under Armour are Adidas, Columbia Sportswear and Nike. The company has to face high level competitors as they are on the market since many years and they are better known that Under Armour. Swot Strengh Weaknesses -Leader on its Market, regarding the Turn - The youth of the brand - A costumer not yet loyal over - Focus a too specific demand - High, unique and innovative technologic clothes -Relashionship with customers, mainly from the sports environment (Relashionship with professional athletes) -Knowledge of the demand of the customers. [...]