Under Armour Inc A (UAA)

Inventory turnover

		Mar 31, 2025	Mar 31, 2024	Mar 31, 2023	Mar 31, 2022	Dec 31, 2021
Cost of revenue	US$ in thousands	2,689,570	3,071,630	3,259,330	2,821,970	2,821,970
Inventory	US$ in thousands	945,836	958,495	1,190,250	811,410	811,410
Inventory turnover		2.84	3.20	2.74	3.48	3.48

March 31, 2025 calculation

Inventory turnover = Cost of revenue ÷ Inventory
= $2,689,570K ÷ $945,836K
= 2.84

Inventory turnover is a crucial financial metric that assesses how efficiently a company manages its inventory. For Under Armour Inc A, the inventory turnover ratio has fluctuated over the past five years.

As of December 31, 2021, and March 31, 2022, the inventory turnover was consistent at 3.48 times, indicating that the company sold and replaced its inventory almost three and a half times during those periods.

However, there was a notable decrease in inventory turnover to 2.74 times as of March 31, 2023, which suggests a slower rate of inventory movement compared to the previous periods.

The inventory turnover improved to 3.20 times by March 31, 2024, indicating a more efficient management of inventory during that period.

Subsequently, as of March 31, 2025, the inventory turnover decreased to 2.84 times, reflecting a decline in the pace of inventory turnover compared to the previous period.

Overall, fluctuations in Under Armour Inc A's inventory turnover ratio suggest varying efficiency levels in managing inventory levels and sales processes over the analyzed years. A higher inventory turnover ratio typically indicates better inventory management and more effective sales strategies.