Under Armour Inc A (UAA)

Liquidity ratios

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
Current ratio 2.46 2.13 2.24 2.04 2.17 2.07 2.09 2.06 2.30 2.31 2.31 2.56 2.28 2.05 1.91 1.70 1.90 2.05 1.83 2.02
Quick ratio 1.39 1.18 1.14 0.96 1.08 1.03 1.12 1.19 1.54 1.47 1.46 1.66 1.45 1.15 1.02 0.96 1.05 1.05 0.89 0.94
Cash ratio 0.74 0.71 0.51 0.48 0.52 0.57 0.58 0.72 1.15 0.93 0.99 1.09 1.07 0.60 0.67 0.57 0.55 0.35 0.34 0.26

Based on the data provided, the liquidity ratios of Under Armour Inc A show fluctuating trends over the past few quarters.

The current ratio, which measures the company's ability to pay off its short-term liabilities with its current assets, has generally remained above 2, indicating that the company has a strong ability to cover its short-term obligations.

The quick ratio, also known as the acid-test ratio, provides a more stringent measure of liquidity by excluding inventory from current assets. Although the quick ratio has been lower than the current ratio, it has still generally stayed above 1, suggesting that the company can meet its short-term liabilities even without relying on inventory.

The cash ratio, which is the most conservative liquidity ratio as it only includes cash and cash equivalents in the numerator, has shown significant variability. Despite this variability, the cash ratio has generally been improving over time, indicating that the company has been building up its cash reserves relative to its current liabilities.

Overall, the liquidity ratios of Under Armour Inc A suggest that the company maintains a solid liquidity position, with the ability to meet its short-term obligations effectively. However, management should continue to monitor these ratios to ensure that the company can sustain its liquidity position in the long term.


Additional liquidity measure

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
Cash conversion cycle days 104.90 90.93 118.75 111.44 107.23 96.76 87.37 79.58 62.17 88.36 78.12 106.84 93.48 129.12 128.75 121.26 84.88 114.12 97.37 115.82

The cash conversion cycle of Under Armour Inc A has varied over the past several quarters. The cash conversion cycle measures the time it takes for a company to convert its investments in inventory and other resources into cash flows from sales.

The company's cash conversion cycle was 104.90 days as of March 31, 2024, indicating that on average, it takes about 105 days for Under Armour to convert its resources into cash from sales. This is an increase from the previous quarter's cycle of 90.93 days.

Looking further back, the trend has been fluctuating, with cycles ranging from a low of 62.17 days in December 2021 to a high of 129.12 days in September 2020. Generally, a shorter cash conversion cycle is seen as favorable, as it implies that the company is efficiently managing its working capital and generating cash flows from its operations quickly.

Analyzing the fluctuations in the cash conversion cycle can provide insight into the company's inventory management, sales efficiency, and accounts receivable collection practices. It is important for Under Armour Inc A to monitor and optimize its cash conversion cycle to ensure operational efficiency and healthy cash flows.