Under Armour Inc A (UAA)

Financial leverage ratio

Mar 31, 2025 Mar 31, 2024 Mar 31, 2023 Mar 31, 2022 Dec 31, 2021
Total assets US$ in thousands 4,300,870 4,760,730 4,857,080 4,991,400 4,991,400
Total stockholders’ equity US$ in thousands 1,890,280 2,153,290 1,998,400 2,088,990 2,088,990
Financial leverage ratio 2.28 2.21 2.43 2.39 2.39

March 31, 2025 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $4,300,870K ÷ $1,890,280K
= 2.28

The financial leverage ratio for Under Armour Inc A has shown some fluctuations over the years. As of March 31, 2025, the ratio stands at 2.28, which indicates that the company has $2.28 in debt for every $1 of equity. This suggests that the company is relying more on debt financing compared to equity. It is noteworthy that the ratio increased from the previous year's 2.21, but it is still within a reasonable range. An increasing trend in the financial leverage ratio could indicate higher financial risk, as the company is more leveraged. However, a stable ratio over the years could suggest that the company has been managing its debt levels effectively. Further analysis of the company's capital structure and debt management strategies would provide more insights into its financial health and risk profile.