Popular American retailer Under Armour saw its fourth quarter sales slump by 3 per cent to clock US $ 1.4 billion.
Despite the fall, the retailer’s sales performance – as reported in Bloomberg – was better than US $ 1.26 billion predicted by the analysts.
The better performance was attributed not only to the e-commerce sales, but also to rapid progress the retailer was making in its revamping programme.
Here it is important to state that the athletic apparel maker’s e-commerce sales rose by 25 per cent during the quarter that ended 31 December 2020.
Back in July 2020, the retailer had unveiled a North American e-commerce platform that helped enhance its online sales and thereby offset the fall in bricks-and-mortar sales.
Even when the pandemic was at its peak, Under Armour couldn’t fully capitalise on the popularity of the athletic wear, and its stores sales weren’t good.
Consequently, the retailer, under CEO Patrik Fish, started a turnaround programme that focussed on cutting costs and improving profitability.
Going forward, the retailer will be, reportedly, focusing on enhancing its direct-to-consumer business.
Under Armour is known for manufacturing sports and casual apparels as well as footwear and generated revenue of US $ 5.27 billion in 2019.
