Under Armour Inc C (UA)

Cash ratio

		Mar 31, 2024	Mar 31, 2023	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Cash and cash equivalents	US$ in thousands	858,691	710,929	1,669,450	1,517,360	788,072
Short-term investments	US$ in thousands	—	981	—	—	—
Total current liabilities	US$ in thousands	1,165,460	1,359,280	1,450,180	1,413,280	1,422,010
Cash ratio		0.74	0.52	1.15	1.07	0.55

March 31, 2024 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($858,691K + $—K) ÷ $1,165,460K
= 0.74

The cash ratio of Under Armour Inc C has fluctuated over the past five years, indicating variations in its liquidity position. As of March 31, 2024, the cash ratio stands at 0.74, showing an improvement compared to the previous year's ratio of 0.52. This implies that the company has increased its ability to cover its current liabilities with cash on hand. However, the ratio is still lower than the levels seen at the end of 2021 and 2020, where it stood at 1.15 and 1.07, respectively. This suggests that the company may have had a stronger liquidity position in those periods. In comparison to December 31, 2019, the cash ratio has shown significant growth from 0.55 to the current 0.74, indicating improved liquidity management by the company. Overall, although the current ratio has improved from the previous year, the company may still need to continue monitoring and managing its cash position effectively to ensure a healthy liquidity position in the future.