Under Armour, Inc. provided earnings outlook for fiscal year 2023. For the year the company expects revenue to increase 5% to 7% versus the comparable baseline period of $5.7 billion, reflecting a mid-single-digit growth rate in North America and a low-teens growth rate in the international business. This expectation includes approximately three percentage points of headwinds related to strategic decision to work with vendors and customers to cancel orders affected by capacity issues, supply chain delays, and emergent COVID-19 impacts in China.

Operating income is expected to reach $375 to $400 million versus the comparable baseline period adjusted operating income of $424 million. Diluted earnings per share is expected to be between $0.79 and $0.84 versus the comparable baseline period of $0.47. This includes a $0.28 benefit related to a tax valuation allowance release expected to be realized in the fourth quarter.

Of this $0.28 benefit, $0.16 of this amount is related to prior restructuring charges; therefore, adjusted diluted earnings per share is expected to be between $0.63 and $0.68. This is comparable to the adjusted baseline period of $0.68.