Under Armour Inc A (UAA)

Financial leverage ratio

		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
Total assets	US$ in thousands	4,760,730	5,044,510	4,746,550	4,867,160	4,827,550	4,827,560	4,770,070	4,605,800	4,991,400	4,822,300	4,871,510	4,914,300	5,030,630	4,863,550	5,003,340	4,837,580	4,843,530	4,633,760	4,679,910	4,436,070
Total stockholders’ equity	US$ in thousands	2,153,290	2,173,020	2,089,740	2,005,410	1,966,150	1,832,000	1,816,330	1,729,080	2,088,990	1,977,750	1,846,710	1,770,200	1,675,990	1,470,350	1,423,410	1,550,180	2,150,090	2,153,670	2,048,270	2,049,810
Financial leverage ratio		2.21	2.32	2.27	2.43	2.46	2.64	2.63	2.66	2.39	2.44	2.64	2.78	3.00	3.31	3.52	3.12	2.25	2.15	2.28	2.16

March 31, 2024 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $4,760,730K ÷ $2,153,290K
= 2.21

The financial leverage ratio of Under Armour Inc A has been fluctuating over the past few quarters, indicating changes in the company's capital structure and debt levels. The ratio has generally been increasing from the fourth quarter of 2019 to the first quarter of 2020, peaking at 3.52 before decreasing in subsequent quarters. This decrease may suggest a reduction in debt relative to equity or an increase in equity compared to debt.

Although the ratio declined from the first quarter of 2020 to the third quarter of 2022, there was a slight uptick in the most recent quarter, reaching 2.63. A financial leverage ratio above 1 indicates that the company is utilizing more debt in its capital structure than equity. Under Armour's increasing financial leverage over the given period might suggest a greater reliance on debt to finance its operations and growth initiatives.

The company's financial leverage ratio trend should be closely monitored in the future to assess its impact on the company's financial stability, solvency, and risk profile. Investors and stakeholders may need to carefully evaluate the implications of the changing financial leverage ratio on the company's overall financial health and performance.