Athletic apparel and footwear company Under Armour Inc (NYSE: UAA) is nearing the end of a three-year-long transformation, and the company is now ready to take the next steps, CEO Kevin Plank told CNBC's Jim Cramer Wednesday.
Under Armour's four biggest priorities are amplifying its brand; optimizing operations with a focus on premium items; establishing better connections with customers; and showing a sustainable long-term growth profile, Plank said during Cramer's daily "Mad Money" show.
Armed with these objectives, the company is focused on the U.S. market, which accounts for around 70 percent of its entire business, the CEO said.
"We're glad we've been able to grow this global footprint around the world that has us in the position to reset ourselves here in North America and think about that next leg of growth."
Plank was speaking to Cramer from the company's new distribution center in Maryland, which opened Wednesday.
The 1.3-million-square-foot facility will play a vital role in the business, as it is designed to accept orders from customers and send products out for delivery within two hours, Plank said.
Investors may have concerns that the threat of larger tariffs on Chinese imports will impact the broader apparel sector.
Larger tariffs won't have a "big impact" on Under Armour, the CEO said, as the company already lowered its exposure to Chinese-made goods from 30 percent to 15 percent and has plans to move the figure even lower to 7 percent.
Not Ignoring The Global Market
Under Armour opened its first flagship store in India this year and plans to open a total of 10 locations that focus on cricket-related items, Plank said. Other areas the company focuses on are Asia Pacific, Europe, Latin America, the Middle East and Africa, he said.
"We're doing the right things in the right markets," the CEO said. "Thinking globally and acting locally."
Under Armour shares were down 0.76 percent at $22.12 at the close Thursday.
Under Armour Delivers Much-Needed Q1 Sales Beat
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Photo by Dustin Blitchok.
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