Under Armour Inc A (UAA)

Fixed asset turnover

		Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Revenue (ttm)	US$ in thousands	5,701,870	5,768,270	5,863,720	5,870,930	5,903,030	6,033,630	5,997,670	5,775,320	5,683,460	5,558,030	5,445,520	4,801,630	4,474,670	4,512,120	4,508,560	4,992,650	5,267,130	5,215,890	5,229,410	5,212,540
Property, plant and equipment	US$ in thousands	664,503	714,183	687,804	679,114	644,834	655,612	636,746	609,923	607,226	601,700	619,116	632,307	658,678	680,871	702,885	726,568	792,148	778,894	795,499	810,470
Fixed asset turnover		8.58	8.08	8.53	8.64	9.15	9.20	9.42	9.47	9.36	9.24	8.80	7.59	6.79	6.63	6.41	6.87	6.65	6.70	6.57	6.43

March 31, 2024 calculation

Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $5,701,870K ÷ $664,503K
= 8.58

The fixed asset turnover ratio for Under Armour Inc A has exhibited some fluctuations over the past few quarters. The ratio measures how efficiently the company is utilizing its fixed assets to generate sales. Generally, a higher fixed asset turnover ratio indicates better efficiency in utilizing fixed assets to generate sales.

Looking at the data provided, the fixed asset turnover ratio has ranged from a low of 6.41 to a high of 9.47 over the past two years. The ratio reached its lowest point in the first quarter of 2021 at 6.41 but has since improved and fluctuated between 8 and 9, showing a generally positive trend. This improvement suggests that the company has been able to generate more sales relative to its investment in fixed assets.

It is essential for Under Armour Inc A to continue monitoring and improving its fixed asset turnover ratio to ensure optimal utilization of its fixed assets. By effectively managing its fixed assets and maximizing their contribution to sales generation, the company can improve profitability and strengthen its financial performance in the long run.