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GNLN (Greenlane Holdings) Degree of Financial Leverage : 1.41 (As of Mar. 2025)


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What is Greenlane Holdings Degree of Financial Leverage?

Degree of Financial Leverage (DFL) measures the percentage change in EPS for a unit change in Earnings Before Interest and Taxes (EBIT). Greenlane Holdings's Degree of Financial Leverage for the quarter that ended in Mar. 2025 was 1.41. The higher Degree of Financial Leverage, the more volatile earnings will be.

The industry rank for Greenlane Holdings's Degree of Financial Leverage or its related term are showing as below:

GNLN's Degree of Financial Leverage is ranked worse than
68.75% of 48 companies
in the Tobacco Products industry
Industry Median: 1.15 vs GNLN: 1.41

Greenlane Holdings Degree of Financial Leverage Historical Data

The historical data trend for Greenlane Holdings's Degree of Financial Leverage can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

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Greenlane Holdings Degree of Financial Leverage Chart

Greenlane Holdings Annual Data
Trend Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Degree of Financial Leverage
Get a 7-Day Free Trial -0.82 -1.92 0.19 1.12 1.28

Greenlane Holdings Quarterly Data
Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25
Degree of Financial Leverage Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 1.11 1.08 1.17 1.28 1.41

Competitive Comparison of Greenlane Holdings's Degree of Financial Leverage

For the Tobacco subindustry, Greenlane Holdings's Degree of Financial Leverage, along with its competitors' market caps and Degree of Financial Leverage data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Greenlane Holdings's Degree of Financial Leverage Distribution in the Tobacco Products Industry

For the Tobacco Products industry and Consumer Defensive sector, Greenlane Holdings's Degree of Financial Leverage distribution charts can be found below:

* The bar in red indicates where Greenlane Holdings's Degree of Financial Leverage falls into.


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Greenlane Holdings Degree of Financial Leverage Calculation

Greenlane Holdings's Degree of Financial Leverage for the quarter that ended in Mar. 2025 is calculated as:

Degree of Financial Leverage=% Change in Earnings per Share (Diluted)**/% Change in EBIT
=( -30.601 (Mar. 2025) / -108.736 (Mar. 2024) - 1 )/( -11.221 (Mar. 2025) / -22.913 (Mar. 2024) - 1 )
=-0.7186/-0.5103
=1.41***

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

** TTM data of EPS and EBIT was used to calculate Degree of Financial Leverage.
*** Please be aware that the Degree of Financial Leverage calculations are based on company-level data using the primary share class. The calculated data provided is for demonstration purposes and may slightly differ from the results displayed in the title due to potential variations caused by currency exchange rate differences throughout the year.


Greenlane Holdings  (NAS:GNLN) Degree of Financial Leverage Explanation

Degree of Financial Leverage (DFL) is a leverage ratio that measures the sensitivity of a company’s Earnings per Share (EPS) to fluctuations in its operating income, also referred to as Earnings Before Interest and Taxes (EBIT), resulting from adjustments in its capital structure. DFL is an essential tool for companies to assess the appropriate level of debt or financial leverage in their capital structure. When EBIT remains relatively stable, it results in stable earnings and earnings per share. In such cases, the company may consider taking on substantial debt. However, for companies operating in industries with significant fluctuations in EBIT, it is advisable to keep debt at a manageable level.

The higher Degree of Financial Leverage, the more volatile earnings will be. Because interest is a fixed expense, leverage can amplify earnings and EPS. This is beneficial when EBIT is growing, but it can become problematic in tough economic conditions when EBIT is under pressure.

Be Aware

The use of financial leverage varies across different industries and business sectors, and the application of Degree of Financial Leverage (DFL) should be adjusted accordingly.


Greenlane Holdings Degree of Financial Leverage Related Terms

Thank you for viewing the detailed overview of Greenlane Holdings's Degree of Financial Leverage provided by GuruFocus.com. Please click on the following links to see related term pages.


Greenlane Holdings Business Description

Traded in Other Exchanges
N/A
Address
1095 Broken Sound Parkway, Suite 100, Boca Raton, FL, USA, 33487
Greenlane Holdings Inc is a platform for the development and distribution of premium cannabis accessories, vape devices, and lifestyle products. It provides a wide array of consumer ancillary products and industrial ancillary products to thousands of cannabis producers, processors, brands, and retailers (Cannabis Operators). In addition, it serves specialty retailers, smoke shops, head shops, convenience stores, and consumers directly through its proprietary web stores and large online marketplaces such as Amazon. Its geographical segment includes the United States, Canada, and Europe. It derives a majority of revenue from the United States.
Executives
Gina Collins director C/O GREENLANE HOLDINGS, INC., 1401 WARNER AVE., SUITE A, TUSTIN CA 92780
Craig A. Snyder officer: Chief Commercial Officer C/O GREENLANE HOLDINGS, INC., 1095 BROKEN SOUND PARKWAY, SUITE 300, BOCA RATON FL 33487
Jeffrey J Uttz director C/O SHAKE SHACK INC., 24 UNION SQUARE EAST, 5TH FLOOR, NEW YORK NY 10003
Lana Reeve officer: See remarks. C/O GREENLANE HOLDINGS, INC., 1095 BROKEN SOUND PARKWAY, SUITE 100, BOCA RATON FL 33487
Adam Schoenfeld director, 10 percent owner, officer: Chief Strategy Officer 1095 BROKEN SOUND PARKWAY, SUITE 300, BOCA RATON FL 33487
Darsh Dahya officer: Chief Accounting Officer C/O GREENLANE HOLDINGS, INC., 1095 BROKEN SOUND PARKWAY, SUITE 300, BOCA RATON FL 33487
Renah Persofsky director 55 PRINCE ARTHUR AVENUE, #604, TORONTO A6 M5R 1B3
Mote William E. Jr officer: Chief Financal Officer C/O GREENLANE HOLDINGS, INC., 1095 BROKEN SOUND PARKWAY, SUITE 300, BOCA RATON FL 33487
Aaron Locascio director, 10 percent owner, officer: Chief Executive Officer 1095 BROKEN SOUND PARKWAY, SUITE 300, BOCA RATON FL 33487
Nicholas Kovacevich director, officer: Chief Executive Officer 2618 SAN MIGUEL DRIVE, #480, NEWPORT BEACH CA 92660
Oliveira Rodrigo De officer: Chief Operating Officer C/O KUSHCO HOLDINGS, INC., 11958 MONARCH STREET, GARDEN GROVE CA 92841
Dallas Imbimbo director 1800 NEWPORT CIRCLE, SANTA ANA CA 92705
Donald H Hunter director C/O HARBOR GLOBAL CO LTD, ONE FANEUIL HALL MARKET PLACE, BOSTON MA 02109
Michael Cellucci officer: See remarks. C/O GREENLANE HOLDINGS, INC., 1095 BROKEN SOUND PARKWAY, SUITE 300, BOCA RATON FL 33487
William J. Bine officer: Chief Operating Officer C/O GREENLANE HOLDINGS, INC., 1095 BROKEN SOUND PARKWAY, SUITE 300, BOCA RATON FL 33487