Company: UAA
Filing Date: 2025-08-08
Form Type: 10-Q
Source: 0001336917-25-000136
Chunk: 8

Company: Under Armour, Inc.
Filing Date: 2025-08-08
Form: 10-Q
Item: Part I, Item 2
Chunk 8
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 corporate services categories. The marketing and advertising category consists primarily of sports and brand marketing, media, and retail presentation. Sports and brand marketing includes professional, club and collegiate sponsorship agreements, individual athlete and influencer agreements, and providing and selling products directly to teams and individual athletes. Media includes digital, broadcast, and print media outlets, including social and mobile media. Retail presentation includes sales displays and concept shops and depreciation expense specific to our in-store fixture programs. Our marketing and advertising costs are an important driver of our growth.

Three Months Ended June 30,20252024Change ($)Change (%)Selling, General and Administrative Expenses$530,345 $837,317 $(306,972)(36.7)%

Selling, general and administrative expenses decreased by $307.0 million, or 36.7%, during the three months ended June 30, 2025 as compared to the three months ended June 30, 2024. Within selling, general and administrative expenses:

•Marketing and advertising costs decreased $10.6 million or 8.7%, due to a reduction in marketing activities during the period. As a percentage of net revenues, marketing and advertising costs decreased to 9.8% from 10.3%.

•Other costs decreased $296.4 million or 41.4%, primarily due to lower litigation reserve expense. Other costs in the prior year included litigation reserve expense relating to the settlement of the Company's 

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Consolidated Securities Action litigation in Fiscal 2025 (refer to Note 10 of the Consolidated Financial Statements in Part II, Item 8 of the Company's Annual Report on Form 10-K for Fiscal 2025). As a percentage of net revenues, other costs decreased to 37.0% from 60.5%. 

As a percentage of net revenues, selling, general and administrative expenses decreased to 46.8% during the three months ended June 30, 2025 as compared to 70.7% during the three months ended June 30, 2024.

Restructuring Charges

Restructuring charges within our operating expenses primarily consist of employee severance and benefit costs, various transformational initiatives and facility, software and other asset-related charges and impairments. See Note 11 to our Condensed Consolidated Financial Statements included in Part I, Item 1 of this Quarterly Report on Form 10-Q for additional details.

Three Months Ended June 30,20252024Change ($)Change (%)Restructuring charges$