UAA · CIK 1336917
What Under Armour, Inc. told the SEC could break it.
Almost everything Under Armour flagged traces to its concentrated, outsourced Asian supply chain — and the tariffs landing on it. It makes virtually nothing itself: about 65% of apparel and accessories come from Jordan, Vietnam, Indonesia and Cambodia, substantially all footwear from Vietnam and Indonesia, with ten contract manufacturers producing roughly 69% of apparel and seven making nearly all its footwear, and its top five fabric suppliers (in Taiwan, China, Malaysia and Vietnam) providing about 43% of its apparel fabric — all without long-term contracts. That concentration is exactly where tariffs bit: rising import duties contributed 155 basis points of a roughly 240-basis-point gross-margin decline (to 45.5%) in fiscal 2026 and helped push North America operating income down 29.7%.
4 self-disclosed vulnerabilities, pulled from its own filings, each in the company’s words, with the source. This is the risk register almost nobody reads.
In its own words
What could break it.
Supplier concentration
- top-5 fabric suppliers (43% of apparel fabric; Taiwan/China/Malaysia/Vietnam)medium
In Fiscal 2026 Under Armour's top five fabric suppliers provided ~43% of the fabric used in apparel and accessories, with primary locations in Taiwan, China, Malaysia and Vietnam.
“In Fiscal 2026, our top five suppliers provided approximately 43% of the fabric used in our apparel and accessories. These fabric 5 Table of Contents suppliers have primary locations in Taiwan, China, Malaysia and Vietnam.”
SEC filing →As of 2026 - contract-manufacturer concentration (10 makers = 69% apparel; 7 = ~all footwear)medium
Substantially all products are made by unaffiliated manufacturers; in Fiscal 2026 ten produced ~69% of apparel and accessories and seven produced substantially all footwear, with no long-term contracts.
“Substantially all of our products are manufactured by unaffiliated manufacturers, and, in Fiscal 2026, ten manufacturers produced approximately 69% of our apparel and accessories products, and seven produced substantially all of our footwear products.”
SEC filing →As of 2026
Regulatory & policy
- import tariffs (155 bps gross-margin impact)high
Increased tariffs raised product input costs in Fiscal 2026, contributing 155 basis points of the ~240 bps gross-margin decline (to 45.5%) and driving North America operating income down 29.7%.
“This decrease in gross margin of approximately 240 basis points was primarily driven by unfavorable impacts of 190 basis points from supply chain, including 155 basis points from tariff impacts, 70 basis points from unfavorable pricing and 45 basis points from unfavorable channel and regional mix.”
Geographic concentration
- Asia apparel/footwear manufacturing (Jordan/Vietnam/Indonesia/Cambodia)medium
~65% of apparel and accessories were manufactured in Jordan, Vietnam, Indonesia and Cambodia in Fiscal 2026, and substantially all footwear in Vietnam and Indonesia, concentrating production in a few Asian countries.
“In Fiscal 2026, our apparel and accessories products were manufactured by 40 primary contract manufacturers, operating in 17 countries, with approximately 65% of our apparel and accessories products manufactured in Jordan, Vietnam, Indonesia and Cambodia.”
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