Company: UAA
Filing Date: 2025-11-06
Form Type: 10-Q
Source: 0001336917-25-000198
Chunk: 58

Company: Under Armour, Inc.
Filing Date: 2025-11-06
Form: 10-Q
Item: Part I, Item 1
Chunk 58
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 by unfavorable impacts of 160 basis points from supply chain, including the impact of tariffs, and 65 basis points from channel and regional mix. These were partially offset by favorable impacts of 60 basis points from pricing benefits, 30 basis points from changes in foreign currency and 25 basis points from product mix.

Selling, General and Administrative Expenses

Our selling, general and administrative expenses consist of costs related to marketing and advertising, selling, product innovation and supply chain, and corporate services. We consolidate our selling, general and administrative expenses into two primary categories: "marketing and advertising" and "other." The other category is the sum of our selling, product innovation and supply chain, and corporate services categories. The marketing and 

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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 September 30,Six Months Ended September 30,20252024Change ($)Change (%)20252024Change ($)Change (%)Selling, General and Administrative Expenses$581,632 $519,840 $61,792 11.9 %$1,111,977 $1,357,157 $(245,180)(18.1)%

Selling, general and administrative expenses increased by $61.8 million, or 11.9%, during the three months ended September 30, 2025 as compared to the three months ended September 30, 2024. Within selling, general and administrative expenses:

•Marketing and advertising costs increased $28.4 million or 22.6%. This was primarily due to the timing of marketing spend in the prior year, which was higher during the second half of Fiscal 2025. As a percentage of net revenues, marketing and advertising costs increased to 11.5% from 9.0%.

•Other costs increased $33.4 million or 8.5%, primarily due to a recovery of insurance proceeds in the prior year relating to the settlement of the Company's Consolidated Securities Action litigation (refer to Note 10 of the Consolidated Financial Statements in Part II, Item 8 of the