UAA - Why Is Under Armour's Transformation Taking So Long?
It's been ten quarters since Under Armour (NYSE: UA) (NYSE: UAA) shareholders have seen double-digit year-over-year revenue growth. It's been almost 24 months since the word "transformation" was first used by management on an earnings call. Investors are wondering when this performance athletic apparel manufacturer will stop using the word "transformation" and say "double-digit revenue growth" instead. Let's dive deep into the retail company's transformation, how it's going, and find out if revenue growth can get back to heights not seen for years.
In July 2017, Founder and CEO Kevin Plank hired outsider Patrik Frisk as President and Chief Operating Officer to drive Under Armour's transformational effort. Frisk hit the ground running, orchestrating a massive survey of over 20,000 customers globally and was involved with updates to the company's Mission, Vision, and Values. Next, he set to align the product development process with its newly defined customer: "the focused performer."
Under Armour's management team has a heavy lift with this huge transformation. Image Source: Under Armour