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`24-Apr-2014
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`Under Armour, Inc. (um
`01 2014 Earnings Call
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`1-8'/'7‘-FACTSET www.ca|!street.com
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`Copyright © 2001-2014 Factset Calfstreet, LLC
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`Patent Owner adidas AG - Exhibit 2031
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`Under Armour, Inc. ruA)
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`?4'f‘.Et*?9‘.‘.*._
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`CORPORATE PARTICIPANTS
`
`Thomas D. Shaw
`Director-investor Relations. Under Armour, Inc.
`
`Brad Dickerson
`Chief Financial Ofiicer, Under Armour, Inc.
`
`Kevin A. Plank
`Chairman, Presiderir ct Chief Execufive Officer. Under/trrnour, Inc.
`
`OTHER PARTICIPANTS
`
`Matthew J. McC|intock
`Analyst. Bare ays Capital, inc.
`
`Michael Binetti
`Analyst: UBS Securities LLC
`
`Sharon M. Zackfia
`Anarysz, Vi/iiiiern Blair a Co. LLC
`
`Omar Saad
`Analyst‘, Iniemational Strategy & investment Group LLC
`
`Camilo R. Lyon
`Analyst, Canaccorc‘ Geiiuiiy, Inc.
`
`MANAGEMENT DISCUSSION SECTION
`
`Operator: Good morning, ladies and gentlemen, and welcome to the Under Armour, Inc. First Quarter Earnings
`Webcast and Conference Call. At this time all participants are in a listen-only mode. Later we will conduct the
`question—and-answer session and instructions will follow at that time. [Operator Instructions] As a reminder this
`conference call is being recorded.
`
`I would now like to turn the conference over to your host, Mr. Tom Shaw, Director of Investor Relations. Mr.
`Shaw, you may begin.
`
`Thomas D. Shaw
`Director-Investor Relations. Underarmour, inc.
`
`Thanks and good morning to everyone joining us on today's first quarter conference call. During the course of this
`call we'll be making projections or other forward-looking statements regarding future events or future financial
`performance of the company. We wish to caution that such statements are subject to risks and uncertainties that
`could cause actual events or results to differ materially.
`
`These risks and uncertainties are described in our press release and in the risk factors section of our filings with
`the SEC. The company assumes no obligation to update forward-looking statements to reflect events or
`circumstances after the date on which the statement is made or to reflect the occurrence of unanticipated events.
`
`Joining us on today's call will be Kevin Plank, Chairman and CEO, followed by Brad Dickerson, our Chief
`Financial Officer, who will discuss the company's financial performance for the first quarter followed by an update
`to our 2014 outlook. After the prepared remarks Kevin and Brad will be available for a Q&A session that will end
`
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`at approximately 9:30 a.m. Finally, a replay of this teleconference will be available at our website at approximately
`11:00 a.m. Eastern Time today.
`
`And with that, I'll turn it over to Kevin Plank.
`
`Kevin A. Plank
`Ciiairman, President 8. Chief Executive Officer. Under Armour, inc.
`
`Thanks, Tom, and good morning, everyone. Our first quarter results are a great example of what happens when we
`execute at a high level. We grew revenues 36% this quarter and the strength was evident across genders,
`categories, geographies and both our wholesale and direct distribution channel. Our top line growth exceeded
`20% for the 16th consecutive quarter, that's four straight years and we saw meaningful acceleration in both our
`footwear and international businesses.
`
`Our first quarter results also illustrate two key elements of what I'd like to discuss today, first what we are capable
`of delivering today as a North American-based brand and second the boundless opportunities that exist for our
`brand, both here at home and in markets beyond our shores. I want to start today by addressing three product
`categories that demonstrate both our ability to execute and the opportunity that still lies out in front of us. I'll hit
`running first, then cover golf and then outdoor.
`
`Of the three categories, running represents the biggest revenue opportunity for us, given the size of both the
`footwork and apparel components, as well as the fact that it's an important category across all geographies. We've
`always had a strong running presence in Apparel, but have focused a tremendous amount of resources the past
`few years in cracking the code in footwear.
`
`I think it's safe to say that given the strong launch this past quarter of our SpeedForm Apollo footwear, we are on a
`trajectory to become a significant player in the global running marketplace. While the number of pairs we sold
`then was limited, we did a great job of executing the SpeedForm launch and set ourselves up to broaden and
`deepen the platform for the balance of 2014 and beyond.
`
`So, while we saw the benefits this quarter with the great SpeedF0rm launch, I think the important takeaway is how
`well it positions us to benefit from the flow of footwear to apparel products our team is working on in running. We
`are unique in that we came to the running category through apparel and are therefore in a great position to have
`successful platforms like SpeedForm help ignite our entire apparel business, be it in running, training or other
`pieces of our core business. We believe our opportunity to grow running in an integrated way with footwear,
`apparel and accessories, combined with what we will bring to market with our Connected Fitness initiative truly
`positions our running business as a key building block of our global growth story for the foreseeable future.
`
`Part of that confidence comes from the growing strength of team we are building in running. It's a team where
`we've made significant investment in human resources; a team that understands the importance of building
`multiple platforms for all different types of athletes; a team that continues to break the rules about footwear
`construction as we did with SpeedForm to create the precision feel, fit and comfort consumers have come to
`expect from our apparel.
`
`The second piece of business that speaks to the scope of our opportunity is golf. I'm sure that a lot of people
`watching the Masters a couple of weeks ago, who said to themselves, hey look, Under Armour is making golf shirts
`now. But as most of you know, the golf category was one of our first steps outside of our core compression apparel.
`That original insight came from the football field when some of our coaches saw how dry out compression was
`keeping their players and asked us for polo shirts that they could wear on the sidelines with a little looser fit, but
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`the same performance properties. Then those sideline polos started making their way to the golf course and we
`quickly understood the opportunity to authenticate ourselves with that consumer.
`
`the UA golf business systematically by doing what we do in every category we enter, bringing
`We built
`performance innovation to the consumer and maintaining a premium position wherever we do business. And the
`business started to change along with Under Armour. When we started out the overwhelming majority of poles
`sold in golf pro shops were cotton. I think any of you who have been in a pro shop in the last year or two have
`noticed how that map has absolutely flipped and the overwhelming majority of golf poles are made now from
`performance materials.
`
`Then last year we signed a 19-year old kid who we thought was a great fit for the Under Armour brand for one
`simple reason, he had the talent and drive to be a game changer. What we saw in that first year of our relationship
`with Jordan Spieth was an athlete with little fear and high confidence in his ability to compete with the world's
`best golfers. We talked about that at our Investor Day last June and he went out in July and became the youngest
`winner on the PGA tour in 82 years.
`
`We continue to grow our golf business, which approached the $100 million mark in 2013 with an increased focus
`on tit and style in both our shirts and pants to accompany the technology we build into our golf apparel. And we
`also thought that Jordan had the opportunity to be something special and make sure we were in position to
`capitalize on his presence over the long—term. He proved that at the Masters with not only a great finish playing in
`the final pairing, but in the manner that he comported himself both on and off the course.
`
`So, again our golf business is a great example of not only our ability to execute today, but to position ourselves for
`sustainable growth by partnering with a great stable of young golfers like Hunter Mahan, Scott Stallings, Gary
`Woodland and of course Jordan Spieth.
`
`The third category I'd like to discuss today is outdoor. It's not a category that we talk to you about a lot, but it's one
`that has been a critical piece of our growth and brings a new dimension to our brand. You've heard us talk
`consistently about being a premium brand wherever we show up and outdoor is a great example of this.
`
`In both the hunt and fish categories, we've been an authentic brand with our consumer from day one. We've seen
`a very strong six-month trend across the board and we're seeing great growth across specialty outdoor accounts as
`well as our bigger wholesale partners, all driven by great product and innovation like our UA scent control and
`MagZip.
`
`We will continue to grow this category from a comp perspective as well as through our new categories like
`outerwear and boots. That has enabled us to reach more athletes off the playing field and expand our presence in
`their closets with product that is more lifestyle based. Our outdoor business is another great example of Under
`Armour authenticating itself with our consumer, earning their trust and expanding our share of their closet.
`
`There are three big categories of business for us: running, golf and outdoor, all of which are helping drive our
`business today and where we are setting ourselves up to be major players on a global level.
`
`Better understanding the scope of opportunity we have outside North America has been a focus of our
`organization for at least the past 44 months. We talked at our Investor Day last June about how we would ensure
`building our brand globally in the same authentic manner we did here in the United States. Since then we've
`progressed against several of our key global initiatives, including transitioning our distributor in Mexico to a
`wholly—owned subsidiary,
`launching our brand in Brazil and Chile, and signing several sports marketing
`agreements in global football.
`
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`Two of those teams Toluca in Mexico and Colo-Colo in Chile have had outstanding launch with Colo-Colo winning
`their first Chilean Primera Division title in five years and in just the first year wearing Under Amour kits. Toluca
`played in a CONCACAF Champions League final last night at home against fellow Mexican league team Cruz—Azul
`for a spot in prestigious FIFA World Cup in December against many of the world's best club teams. And while
`Toluca did not advance, Under Armour will still be represented in the tournament as we've just signed an
`agreement to outfit Cruz—Azul starting later this year.
`
`Our strong 79% increase in international revenues this quarter is a positive sign that these new initiatives are off
`to a strong start, and that the story of our brand continues to play well as we expand into new markets outside
`North America. And the strength this quarter internationally was really across all regions, including in especially
`Europe, where the Under Armour brand continues to gain traction.
`
`In key markets like Germany and France our brand awareness doubled year-over-year and in the U.K., where we
`are in the second year of outfitting Tottenham Hotspur in the English Premier League, it grew three times as we
`continue to bring new consumers into our brand through global football.
`
`One last area that I want to touch on is the opening today of our first new store in New York City, which will
`highlight the largest presentation of the Under Armour brand anywhere in the world. When we opened our first
`brand house here in Baltimore we talked about how the deeper presentation of footwear and women's would help
`our wholesale partners get a better understanding of the opportunity we see in these key categories.
`
`This morning when we opened the doors in our SOHO store, that breadth of product will be on display in full force.
`And the timing will be particularly good for our women's business as we activate our next brand holiday later this
`summer. It will be our first holiday focused exclusively on women's and we believe it will help call attention how
`Under Armour is constantly evolving to meet the needs of both the female athlete and the athletic female.
`
`In summary, when we look at the 16 consecutive quarters of revenues up 20-p1us%, it's clear that we are executing
`well during a period of tremendous growth. There is going to be variability in any given quarter and this consistent
`growth can mask inefficiencies in our business where we can improve. We are becoming better merchandisers and
`what you see in our New York store today should be the standard for how we want our brand to look around the
`world in all channels of distribution. Within our supply chain we are constantly looking to improve our inventory
`turns while balancing consistently high demand for our products.
`
`We are a growth company. And as a part of that growth story we will not always make the perfect decision, but we
`promise that when that happens it will be done full speed and we will never make the same ones twice. So whether
`it's categories like running, golf and outdoor, key growth drivers like women‘s and footwear, early stage businesses
`like basketball and Connected Fitness or new markets like Brazil and China,
`it's equally clear that
`the
`opportunities for the Under Armour brand are abundant and our philosophy around growth is unchanged.
`
`Our North American growth and cash creation will be the engine that feeds and fuels our global ambitions. We
`still have tremendous runway here in North American market that will fuel our business and enable us to invest
`early and often to capitalize on the opportunities that will drive our growth in the years to come.
`
`And with that, I'll turn it over to Brad.
`
`Brad Dickerson
`Chief Financial Officer. Under Armour, inc.
`
`1-B77—FACTSET www.cal|street.com
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`Under Armour, Inc. (UA)
`Q1 201_4 Earnings Call
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`fl Corrected Transcript
`V
`24-Apr-2(l14_
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`Thanks, Kevin. I would now like to spend some time discussing our first quarter 2014 financial results followed by
`our updated outlook for 2014. Our net revenues for the first quarter of 2014 increased 36% to $642 million. As
`expected, we experienced a strong rate of growth during the quarter given sustained momentum in apparel, a
`broader range of products in running footwear and international market expansion. This quarter marks the first
`time since the third quarter of 2011 where each of these key growth drivers surpassed 30% growth.
`
`Taking a look at apparel, we grew this category 33% during the quarter to $459 million compared to $346 million
`in the prior-year. This represents the 18th straight quarter of at least 20% growth for our largest product category.
`Overall, we saw strong apparel growth from our training, golf, hunting and fishing lines. In women's, our Studio
`line remains a standout while youth registered notable gains in training and baseball during the period.
`
`Taking a look at some of our product programs, we experienced broad-based strength in Fleece, UA Tech and
`baselayers, also offering new innovations with ColdGear Infrared and Armour Tech.
`
`First quarter footwear net revenues increased 41% to $114 million from $81 million in the prior year, representing
`approximately 18% of net revenues for the period. We were encouraged by the strong sell-through rates of our
`SpeedForm Apollo running shoe while also offering a broader running assortment at key price points including
`the Assert, Engage and Spine Evo styles. We are also seeing success in baseball with our cleated business taking
`market share despite a somewhat slower start to the season given adverse weather conditions.
`
`Our accessories net revenues during the first quarter increased 43% to $52 million from $36 million in the prior
`period, primarily driven by our headwear lines. Our direct-to-consumer net revenues increased 33% for the
`quarter, representing approximately 26% of net revenues. During the quarter we opened our first of what we
`expect to be seven new Factory House stores for the year. Our first quarter ending store count in North America
`totaled 118 locations compared to 103 a year ago. We also expanded two existing locations during the quarter as
`part of our current full year plan to expand 12 locations.
`
`Looking at our full price brand house stores, we are excited to open our third location in SoHo following our 2013
`openings at Harbor East in Baltimore and 'I‘yson's Corner near D.C. These three brand house locations will
`provide valuable learnings as our full price retail strategy continues to evolve. In e—commerce, we continue to see
`strong results driven primarily by traffic gains. Our efforts throughout the duration of 2014 wili include an
`enhanced mobile experience, improved consumer marketing segmentation efforts and increased engagement in
`Connected Fitness.
`
`International net revenues increased 79% to $55 million in the first quarter and represented 9% of total net
`revenues. We experienced broad-based geographic strength during the quarter. In Europe, we are starting to see
`the combined benefits of higher brand awareness and a more focused in-country strategy around our three key
`markets of the U.K., Germany and France. In Asia, we are starting to accelerate our franchise store model in China
`and driving growth through e-commerce and expanded distributor relationships. Finally, in Latin America, our
`growth was primarily driven by conversion of our Mexican distributor to an Under Armour subsidiary at the
`beginning of the year.
`
`Moving onto margins, first quarter gross margins expanded 100 basis points to 46.9% compared with 45.9% in
`the prior—year's quarter. The following factors contributed to this improvement. First, our sales mix remained
`favorable due primarily to a lower mix of excess inventories built into our Factory House outlook stores,
`contributing approximately 40 basis points of gross margin improvement. Second, improvements in our supply
`chain drove lower air freight expenses year-over-year, contributing approximately 30 basis points of gross margin
`improvement. Finally, we experienced lower product
`input costs primarily in our accessories business
`contributing approximately 20 basis points of gross margin improvement.
`
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`Selling, general and administrative expenses as a percentage of net revenues leveraged 40 basis points to 42.7% in
`the first quarter of 2014 from 43.1% in the prior-year's period. Details around our four SGSLA buckets are as
`follows: first marketing costs increased to 13.7% of net revenues for the quarter from 13.3% in the prior-year
`period primarily driven by the launch of our first brand holiday of 2014 and international marketing efforts.
`Second, selling costs increased slightly to 10.8% of net revenues for the quarter from 10.7% in the priorqyear
`period as our direct—to-consumer business grew roughly in line with our overall business combined with increased
`investments around our brand house store strategy.
`
`Third, product innovation and supply chain costs decreased to 10.4% of net revenues for the quarter from 10.5%
`in the prior—year period as costs tied to our Connected Fitness efforts were offset by lapping prior-year costs tied
`to the startup of our expanded West Coast distribution facility. Finally, corporate services declined to 7.8% of net
`revenues for the quarter from 8.6% in the prior~year period primarily reflecting lower incentive compensation
`expenses.
`
`Operating income for the first quarter increased 99% to $27 million compared with $13 million in the prior-year
`period. Operating margin expanded 130 basis points during the quarter to 4.2% compared to 2.9% in the prior-
`year period. Our first quarter tax rate of 46.1% was unfavorable to the 39.9% rate last year primarily due to an
`R&D tax credit reported in the first quarter of 2013, as we]! as higher international investment primarily
`associated with the 2014 market entries in Brazil and Chile.
`
`Our net income in the first quarter increased 73% to $14 million compared with $8 million in the pri0r—year
`period. First quarter diluted earnings per share increased 71% to $0.06 compared to $0.04 last year. The EPS
`calculations for both periods reflect a two-for-one stock split, which was effective April 14.
`
`On the balance sheet, total cash and cash equivalents for the quarter decreased 30% to $180 million compared
`with $256 million at March 31, 2013. We continue to utilize the $100 million of our $300 million revolving credit
`facility, which was used to fund a portion of our $150 million purchase of MapMyFitness in December. Inventory
`at quarter-end increased 46% to $472 million compared to $324 million at March 31, 2013.
`
`Our investment and capital expenditures was approximately $31 million for the first quarter compared with $11
`million in the prior-year period. We continue to plan 2014 capital expenditures in the range of $140 million to
`$150 million primarily driven by incremental investments to support our direct-to-consumer and international
`business and further develop and expand our global office footprint.
`
`Now moving onto our updated outlook for 2014, based on current visibility, we expect 2014 net revenues of $2.88
`billion to $2.91 billion, representing growth of 24% to 25%, and 2004 (sic) [2014] (21:03) operating income of
`$331 million to $334 million, representing growth of 25% to 26%. Both expected growth rates are outpacing the
`long—term growth rates laid out at our investor day last June.
`
`Below operating results we continue to anticipate higher interest expense in 2014 given the financing of the
`MapMyFitness acquisition. We now expect the full year effective tax rate of approximately 40% ahead of our prior
`guidance of approximately 39% given additional investments to our international expansion. Adjusted for the two-
`for-one stock split fully diluted weighted average shares outstanding are now expected to be approximately $219
`million.
`
`Given these updated full-year parameters, we'd like to provide a few more details on how we currently see the
`quarterly cadence playing out. Looking at net revenues we currently anticipate our growth rate for the remainder
`of the year to be roughly in line with our long-term Investor Day compounded annual growth target of 22%. We
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`Under Armour, Inc. (UA)
`24'Apr'2m4
`9.i.?.[l1fi...'i.?f?.l.fl9§9a"
`currently have planned a growth rate for the second quarter slightly higher than this target, and for the fourth
`quarter slightly lower than this target.
`
`Relative to the fourth quarter, we grew 35% last year given favorable weather, our improved year—over~year ability
`to better service demand, a strong new innovation story around ColdGear Infrared and better than expected
`direct-to-consumer performance. But we are taking a more balanced approach in planning the business for the
`fourth quarter, particularly around weather expectation and our direct-to-consumer business, which represented
`approximately 40% of our total business during the fourth quarter of last year.
`
`Next, on gross margins, where we continue to expect modest overall gains for the full year following the 48.7%
`level achieved in 2013. From a cadence standpoint we currently expect year-over—year rates to be relatively flat
`during the second quarter, up strongly during the third quarter and down in the fourth quarter. Looking at the
`second quarter we do not expect the three primary drivers of our positive performance during the first quarter to
`carry forward into the current period.
`
`This includes the normalization of our Factory House product mix, a more consistent comparison on our supply
`chain performance year-over-year, and the lapping of our bags re—launch which carried higher margins
`commencing in the second quarter of last year. During the third quarter the primary consideration is higher U.S.
`import duties, which negatively impacted the year—ago period by 90 basis points.
`
`For the fourth quarter our forecast reflects a higher mix of our lower—margin international business as well as our
`approach to planning the direct—to-consumer business considering the prior factors I previously mentioned.
`
`Moving onto SG&A, as we indicated in January, we plan to allocate more dollars to marketing, international and
`Connected Fitness throughout 2014, areas that we believe are key to our long-term global success. The timing of
`these investments this year is currently planned to create sustainable de-Eeverage of our SG&A rate in both the
`second and third quarters. The magnitude of this de—leverage is expected to be greatest in the second quarter as
`higher marketing and price innovation and supply chain investments contribute to approximately 250 basis
`points of total expense rate de-leverage year-over-year.
`
`We expect overall de—leverage of SG&A to ease somewhat during the third quarter before showing significant
`leverage during the fourth quarter. As a reminder the fourth quarter of last year included significantly higher
`incentive compensation expenses and MapMyFitness deal related costs. Overall, we continue to expect modest
`SG&A de-leverage for the full year, inclusive of a marking expense rate of approximately 11% of net revenues
`
`To reiterate, our focus will remain on driving operating income dollar growth balanced with making the right
`investments to drive our long-term global success. Below operating results we expect the elevated effective tax rate
`from the first quarter will persist during the second quarter before turning more in line with our full-year
`guidance during the second half of the year.
`
`And finally, a quick update on our inventory position for the balance of the year. As we outlined last call, we expect
`the inventory growth rate to return to more in—1ine levels with our revenue growth rate during the balance of the
`year.
`
`We would now like to open the call for your questions. We ask that you limit your questions to two per person so
`we can get to as many of you as possible. Operator?
`
`FACTSI:1':callst'i:'ee"t
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`Patent Owner adidas AG - Exhibit 2031
`Page 8 of 22
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`QUESTION AND ANSWER SECTION
`
`Operator: Thank you very much. [Operator Instructions] Our first question is from Matt McClintock with
`Barclays. Your line is open.
`
`Matthew J. McC|intock
`Ilnafysi. Barcieys Capffer. Inc.
`
`Hello. Yeah. Good morning. Can you hear me?
`
`Kevin A. Plank
`Citaimrari. President & Ci’?iei"Execuiwe Officer. Undei'Amianr, me.
`
`Yeah, Matt. How are you doing?
`
`Matthew J. Mcclinlock
`Arrmysr. Earmys Capital, Inc.
`
`Thank you. Good morning. Great quarter. Kevin, you talked a little bit about the women's business and you've had
`great success with the Studio line and you talked about the brand holiday, I was just wondering if you could maybe
`go into some more detail on the product that's coming out this year that gets you excited? And maybe some of the
`innovation that you plan to launch throughout the year or layer into the year surrounding the brand holiday?
`
`Kevin A. Plank
`Ciraimiaii. President 8: Chief Executive Officer, Under.-trniour inc
`
`Sure. So, a few things - essentially it feels like every time we talk about women's people give us the perspective of
`congratulations on launching women's. We forget sometimes we have a $500 million wholesale business of
`women's today, so we are certainly not in launch mode, we are in perfecting mode. And I think we are incredibly
`proud of the team and that always begins with leadership. Leanne who joined our company little less than two
`years ago, her first season will be hitting floors this fall and partner with the outstanding leadership that we
`already had here of really understanding what the female athlete wanted in transitioning I think and evolving with
`our consumer into what the athletic female wants.
`
`We want to make sure as well we never lose that active credibility that we want 16-year old girls that are playing
`field hockey and volleyball and basketball and soccer and lacrosse. We want them to feel like Under Armour is
`their brand. We just want to demonstrate that we've got additional chapters in two and three and four that we can
`grow up and we can grow older with her as well. I think the one thing you will see and I guess the innovation in a
`second, is the commitment that we have as being successful in the women's space. You won't see that any more
`clearly articulated than what we are going to be doing with our second holiday that will be hitting as I mentioned
`in my comments later in the summer and holiday two for us is 100% committed and without limits.
`
`Brands are about points of View and I think we're incredibly excited about the creative that we have and the
`statement that this is making about Under Armour's commitment to this space and Ithink, more importantly, our
`thought leadership in the space. The campaign's going to be about increasing awareness and the breadth of the
`line and frankly the first case of where we really see taking this consumer to. When you think about innovation,
`Under Armour, I think we've been coined and I think we haven't shied away from positioning ourselves as an
`innovation company, and we take no exception with that with what we are doing with women's. So whether it‘s
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`Under Armour, Inc. {um
`u201m:JiMl_EarningN:s Call
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`fl Corrected Transcript
`24-Apr-2014
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`something as core and basic and as important to the female athlete or the athletic female as the sports bra with
`things like Armour Bra, but taking it from being a really great functional bra to making it sexy and beautiful and
`ensuring that she has the use for wearing it beyond the athletic field.
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`So, I think you will see us take that, and to be honest with you, I know a lot of people on the call are dialing in from
`New York. I can't emphasize enough if you want to see what does Under Armour women's look like, take a walk
`down to our new brand house in SOHO, which opens today. It's a soft opening, so we're just getting going. We'll
`have a grand opening next week. So, be nice when you go as we work out the cobwebs. But I think we're incredibly
`excited by what's on the floor, the presentation of products that we have there and the commitment to A,
`innovation. The thing that makes Under Armour unique is every product does something, wicks moisture, keeps
`you light, keeps you cool, but that doesn't mean it didn't have to — we couldn't allow it to be beautiful, or sexy, or
`cute. And I think that when you walk in there anyone who has an idea or picture of what they thought Under
`Armour women's is, or was, will absolutely be blown away in change. And I want to be clear, the goal that we have
`as you walk into our brand house in SOHO is that you will see A, a great breadth, but frankly, this is the inspiration
`that we are hoping to bring all of our partners at every general distribution to have Under Annour presented in
`this way.
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`So beyond just the authentic and things rea