Under Armour Inc A (UAA)

Days of sales outstanding (DSO)

		Mar 31, 2025	Mar 31, 2024	Mar 31, 2023	Mar 31, 2022	Dec 31, 2021
Receivables turnover		7.64	7.53	7.77	9.99	9.99
DSO	days	47.77	48.48	46.98	36.54	36.54

March 31, 2025 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 7.64
= 47.77

To analyze Under Armour Inc A's Days of Sales Outstanding (DSO) over the specified periods, we observe the following trends:

1. DSO as of December 31, 2021, and March 31, 2022, remained constant at 36.54 days, indicating a stable collection period for accounts receivable. This suggests the company was efficiently managing its receivables during this time.

2. However, there was a notable increase in DSO to 46.98 days as of March 31, 2023. This uptick may suggest a potential delay in collecting payments from customers, leading to a longer average collection period compared to the previous periods.

3. The trend continued to March 31, 2024, with DSO rising further to 48.48 days, indicating a continued challenge in collecting receivables promptly. A higher DSO can impact cash flow and working capital management negatively.

4. By March 31, 2025, although there was a slight decrease in DSO to 47.77 days compared to the previous year, it still remained elevated compared to the earlier periods. The company may need to focus on improving its accounts receivable collection processes to bring DSO back to more optimal levels.

In summary, the analysis of Under Armour Inc A's DSO reveals a fluctuating trend over the specified periods, with a general increase in the average collection period, signaling potential challenges in efficiently managing accounts receivable and collecting payments from customers promptly.