in '000 2017 2018

Sales $4,989,244 $5,193,185

COGS $2,737,830 $2,852,714
Gross Profit $2,251,414 $2,340,471
Selling and administrative expenses $1,925,772 $2,000,569
Restructuring expenses $124,049 $183,149
Depreciation $165,550 $175,670
Amortization $8,200 $6,100
Operating Expenses $2,223,571 $2,365,488
EBIT $27,843 -$25,017
Interest expense $34,538 $33,568
Other income -$3,614 -$9,203
PBT -$10,309 -$67,788
Tax expense/benefit $37,951 -$21,486
Net income/loss -$48,260 -$46,302
Paid out dividend $ - $ -
Retained Earning $ (48,260) $ (46,302)

Current Assets 2017 2018

Operating Cash @ 5% of Revenues $249,462.20 $259,659
Excess Cash and cash equivalents $63,021 $297,744
Cash On Hand $312,483 $557,403
Accounts receivable $609,670 $652,546
Inventories $1,158,548 $1,019,496
Prepaid expenses and other current assets $256,978 $364,183
Total current assets $2,337,679 $2,593,628
PPE Gross $1,051,324 $1,168,088
Less Accumulated Depreciation $165,550 $341,220
PPE Net $885,774 $826,868
Other Operating Fixed Assets (Intangible Ass. +LT Asst) $144,439 $165,612
Goodwill $555,674 $546,494
Non Operating Fixed Assets $82,801 $112,420
Other Assets
Total Fixed Assets $1,668,688 $1,651,394
Total assets 4006367 $4,245,022

Liabilities and Stockholders’ Equity:

Current liabilities: 2017 2018
Accounts payable $561,108 $560,884
Short Term Debt $505,591 $549,165
Other current liabilities $67,387 $128,644
Total current liabilities $1,134,086 $1,238,693
Long term debt $952,692 $998,728
Total Long Term liabilities $952,692 $998,728
Total Liabilities 2086778 2237421

Stockholders’ equity: 2017 2018

Common Stock $146 $148
Additional paid-in capital $872,266 $916,628
Accumulated other comprehensive loss -$38,211 -$38,987
Retained earning $1,085,388 $1,129,812
Total stockholders equity $1,919,589 $2,007,601
Total liabilities and stockholders equity $4,006,367 $4,245,022
Class C Common Stock Shares outstanding 440729 445815
Price of Class C Common Stock $4.36 $4.50

Year 2017 2018

CAPEX $116,764
Capex/ LY Revenue -0.3%
Gross Profit margin 45.1%
Selling and adminisitrative expenses / LY Revenue 38.6%
Addition to Goodwill / LY Revenue -0.1%
Revenues Growth 4.1%
DDA Rate on New FAs
Effective Interest Rate 2.7%
Effective Tax Rate 32%
Dividend Payout Ratio 0.00%
DSO 45.9
DIO 130.4
Purchases $2,713,662
DPO $75.5
Cash Ratio 5.6%

Check if Assets = Liab. + Equity $0 $0

Competitive Comparision Data (Average Last 3 Years)

Ticker Company
UAA Under Armour Inc
0 0
 2019 2020 2021 2022 2023 2024
$5,267,132 $4,088,959 $4,351,430 $4,631,081 $4,929,066 $5,246,617
$2,796,599 $2,208,038 $2,350,363 $2,501,413 $2,662,365 $2,833,886
$2,470,533 $1,880,921 $2,001,067 $2,129,668 $2,266,701 $2,412,731
$2,047,333 $2,088,280 $1,682,428 $1,790,552 $1,905,764 $2,028,542
— $436,000 — — — —
$180,330 $184,188 $187,274 $189,744 $191,721 $193,303
$6,100 $6,441 $6,803 $7,189 $7,600 $8,037
$2,233,763 $2,714,908 $1,876,506 $1,987,486 $2,105,085 $2,229,882
$236,770 -$833,987 $124,561 $142,183 $161,615 $182,849
$21,240 $46,072 $32,542 $49,340 $44,350 $45,977
-$5,688 -$8,304 -$12,123 -$17,699 -$25,837 -$37,719
$209,842 -$888,363 $79,896 $75,144 $91,428 $99,153
$117,703 -$416,109 $37,423 $35,198 $42,825 $46,443
$92,139 -$472,254 $42,472 $39,947 $48,603 $52,710
$ - $ - $ - $ - $ - $ -
$ 92,139 $ (472,254) $ 42,472 $ 39,947 $ 48,603 $ 52,710

2019 2020 2021 2022 2023 2024

$263,357 $204,448 $217,572 $231,554 $246,453 $262,331
$524,715 $906,734 $ - $379,673 $437,086 $ -
$788,072 $1,111,182 $458,883 $611,227 $683,539 $657,777
$708,714 $770,033 $393,528 $844,811 $473,208 $929,723
$892,258 $713,806 $1,060,452 $821,144 $1,174,368 $942,173
$313,165 $157,565 $220,591 $207,270 $194,740 $182,953
$2,702,209 $2,752,586 $2,133,454 $2,484,452 $2,525,856 $2,712,626
$1,313,698 $1,611,841 $1,785,868 $1,925,116 $2,036,544 $2,125,717
$521,550 $705,738 $893,012 $1,082,756 $1,274,477 $1,467,779
$792,148 $906,103 $892,856 $842,360 $762,068 $657,938
$720,898 $559,645 $595,568 $204,701 $1,107,015 $121,993
$591,931 $611,826 $625,467 $640,035 $655,591 $672,199
$36,345 $28,215 $30,026.35 $31,956 $34,012 $36,203
$38,036 $877,976 $811,308 $1,080,010 $946,578
$2,141,322 $2,143,825 $3,021,894 $2,530,360 $3,638,695 $2,434,910
$4,843,531 $4,896,411 $5,155,348 $5,014,813 $6,164,551 $5,147,537

2019 2020 2021 2022 2023 2024

$618,194 $278,290 $830,069 $37,587 $1,036,459 -$181,108
$583,444 $630,120 $441,084 $441,084 $441,084 $441,084
$166,287 $394,817 $120,773 $602,576 $602,576 $602,576
$1,367,925 $1,303,227 $1,391,926 $1,081,247 $2,080,118 $862,551
$1,269,136 $1,903,704 $2,025,903 $2,156,101 $2,294,834 $2,442,677
 $1,269,136 $1,903,704 $2,025,903 $2,156,101 $2,294,834 $2,442,677
2637061 3206930.99673 3417828.751565 3237347.215639 4374952.0599 3305227.876

2019 2020 2021 2022 2023 2024

$148 $148 $148 $148 $148 $148
$973,717 $920,870 $920,870 $920,870 $920,870 $920,870
-$50,765 -$42,654 -$37,088 -$37,088 -$73,558 -$73,558
$1,283,370 $811,116 $853,589 $893,535 $942,138 $994,848
$2,206,470 $1,689,480 $1,737,519 $1,777,466 $1,789,599 $1,842,309
$4,843,531 $4,896,411 $5,155,348 $5,014,813 $6,164,551 $5,147,537
450964 450964 450964 450964 450964 450964
$4.89 $3.75 $3.85 $3.94 $3.97 $4.09

2019 2020 2021 2022 2023 2024

$145,610 $160,000 $221,023 $168,552 $98,384 $78,723
9.4% 5.66% 4.26% 3.20% 2.41% 1.81%
46.9% 46.00% 46.0% 46.0% 46.0% 46.0%
38.5% 38.9% 38.7% 38.7% 38.7% 38.7%
1.0% 0.5% 0.5% 0.5% 0.5% 0.5%
1.4% -22.4% 6.4% 6.4% 6.4% 6.4%
3.3% 3.3% 3.3% 3.3% 3.3%
1.6% 2.0% 2.0% 2.0% 2.0% 2.0%
56% 46.84% 46.84% 46.84% 46.84% 46.84%
0.00% 0.00% 0.00% 0.00% 0.00% 0.00%
47.2 $66 $49 48.8 48.8 48.8
124.8 132.7 127.6 127.6 127.6 127.6
$2,669,361 $2,029,586 $2,697,009 $2,262,104 $3,015,590 $2,601,690
$80.6 $81 75 70 65 60
24.0% 38.4% 22.7% 28.3% 29.8% 26.9%

$0 $0 $0 $0 $0 $0

DSO
48.8
 38036.4889036 877975.73074 811307.9897233 1080009.6084 946577.52524
0 -38036.4889036 -877975.73074 -811307.989723 -1080009.608 -946577.52524
 Historical Reve
Years 2016
Apparel $3,229,142
Footwear $1,010,693
Accessories $406,614
Licensing and Connected Fitness $179,000

Historical Annual growth rate 2016-2019

Average Growth Apparel 5.7%
Average Growth Footwear 14.7%
Average Growth Accessories 6.7%
Average Growth Connected Fitness 18.1%

CAPEX YOY(Year over Year)

Years Capex
2020 Q1,2,3 -$93,000
2020 -$31,000
2019 -$146,000
2018 -$170,000
2017 -$281,000
2016 -$387,000

Some of the notes/assumptions can viewed in this text box:

1.As a forecasted growth I took the weighted average of the historical growth and forecasted gro
and 40% because forecasted revenues are more closer to future than the historical data, hence
2.Financial statements also had some of the forecasts for upcoming periods, I believe company'
sheet some of the cells are painted yellow. Those yellow cells indicate that those numbers were
3. Company is planning to restructure in 2020 and that's why we have the restructuring expense
4. Industry growth in different segments are chosen by me and it generally depends on historica
5.7% from 2016 to 2019 and I took 6% for 2020-2024. One note I also have to make is that Conn
company will still grow in 2020-2024 18.1% as it's really hard to maintain that high of a growth r
rate at 9.5% for Connected Fitness segment. Same can be said about Footwear as well.
5. Retention ratio was 100% historically from 2016 to 2019. I leave the policy as is and keep the
6. I'm fixing the Class C Common Stock Shares outstanding at 2019 number as the growth wasn'
enough proof to grow this at a steady rate.
7. To balance out assets and liab. & equity, I use other assets in assets to balance them out. I ad
8. Additional to Goodwill/ LY Revenue I fix it at 0.5% as average of the last 2 years.
9. Effective Interest rate at 2% as our historical data shows us.
 Historical Revenue by segments Forecasted Rev
2017 2018 2019 2020
$3,287,121 $3,460,000 $3,470,290 $2,672,123
$1,037,840 $1,060,000 $1,086,550 $782,316
$445,838 $422,000 $444,000 $368,520
$218,000 $245,000 $266,000 $266,000

Historical gro
Forecasted growth rate 2020-2024 Years
6.0% Apparel
7.0% Footwear
6.0% Accessories
9.5% Licensing and

Yearly Growth rate

-24.81%

l growth and forecasted growth which was taken from their financial statements. As weights I took 60%
the historical data, hence why less weight on the historical growth.
eriods, I believe company's staff knows much better what to await than I do therefore in P&L and Balance
e that those numbers were taken from the Financial statements and are not forecasted by me.
e the restructuring expenses in P&L.
erally depends on historical annual growth from 2016 to 2019. For example in apparrel growth rate was
have to make is that Connected Fitness grew 18.1% which is enormous growth and I can't believe that
tain that high of a growth rate. Therefore I will take more conservative approach and fix the annual growth
Footwear as well.
e policy as is and keep the retention rate at 100%.
umber as the growth wasn't substantial in historical period. Therefore the historical data doesn't give me

s to balance them out. I add the difference to the other assets.

e last 2 years.
 Forecasted Revenue by segments
2021 2022 2023 2024
$2,832,451 $3,002,398 $3,182,542 $3,373,494
$837,078 $895,674 $958,371 $1,025,457
$390,631 $414,069 $438,913 $465,248
$291,270 $318,941 $349,240 $382,418

Historical growth by segments

2016 2017 2018 2019
15.3% 1.8% 5.3% 0.3%
51.3% 2.7% 2.1% 2.5%
17.2% 9.6% -5.3% 5.2%
29.7% 21.8% 12.4% 8.6%

k 60%

d Balance

te was
e that
al growth

give me