GURUFOCUS.COM » STOCK LIST » Healthcare » Biotechnology » ABVC BioPharma Inc (NAS:ABVC) » Definitions » Degree of Operating Leverage

ABVC (ABVC BioPharma) Degree of Operating Leverage : -0.04 (As of Mar. 2025)


View and export this data going back to 2004. Start your Free Trial

What is ABVC BioPharma Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. ABVC BioPharma's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was -0.04. The higher Degree of Operating Leverage, the higher operating risk the company will take.

The industry rank for ABVC BioPharma's Degree of Operating Leverage or its related term are showing as below:

ABVC's Degree of Operating Leverage is ranked better than
51.53% of 883 companies
in the Biotechnology industry
Industry Median: -0.02 vs ABVC: -0.04

ABVC BioPharma Degree of Operating Leverage Historical Data

The historical data trend for ABVC BioPharma's Degree of Operating 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.

* Premium members only.

ABVC BioPharma Degree of Operating Leverage Chart

ABVC BioPharma Annual Data
Trend Sep15 Sep16 Sep17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Degree of Operating Leverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only -6.28 -0.21 0.22 0.66 -0.17

ABVC BioPharma Quarterly Data
Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25
Degree of Operating 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 0.31 0.48 1.73 -0.17 -0.04

Competitive Comparison of ABVC BioPharma's Degree of Operating Leverage

For the Biotechnology subindustry, ABVC BioPharma's Degree of Operating Leverage, along with its competitors' market caps and Degree of Operating 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.


ABVC BioPharma's Degree of Operating Leverage Distribution in the Biotechnology Industry

For the Biotechnology industry and Healthcare sector, ABVC BioPharma's Degree of Operating Leverage distribution charts can be found below:

* The bar in red indicates where ABVC BioPharma's Degree of Operating Leverage falls into.


;
;

ABVC BioPharma Degree of Operating Leverage Calculation

ABVC BioPharma's Degree of Operating Leverage for the quarter that ended in Mar. 2025 is calculated as:

Degree of Operating Leverage=% Change in EBIT**/% Change in Revenue
=( -1.968 (Mar. 2025) / -7.616 (Mar. 2024) - 1 )/( 0.508 (Mar. 2025) / 0.025 (Mar. 2024) - 1 )
=-0.7416/19.32
=-0.04***

* 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 EBIT and Revenue was used to calculate Degree of Operating Leverage.
*** Please be aware that the Degree of Operating 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.


ABVC BioPharma  (NAS:ABVC) Degree of Operating Leverage Explanation

Degree of Operating Leverage (DOL) is a leverage ratio that measures the sensitivity of a company’s operting income, also referred to as Earnings Before Interest and Taxes (EBIT), to fluctuations in its Revenue. DOL is a method used to quantify a company’s operating risk. This risk is related to the company's structure of variable costs and fixed costs. Since the fixed costs do not allow the company to adjust the operating costs, the operating risk rises with a higher fixed-to-variable costs proportion.

A high Degree of Operating Leverage indicates that the company’s fixed costs exceed its variable costs. By increasing the sales, the company can earn more profits. In addition, the company must be able to maintain relatively high sales to cover all fixed costs.

Be Aware

The use of operating leverage varies across different industries and business sectors, and the application of Degree of Operating Leverage (DOL) should be adjusted accordingly.


ABVC BioPharma Degree of Operating Leverage Related Terms

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


ABVC BioPharma Business Description

Traded in Other Exchanges
N/A
Address
44370 Old Warm Springs Boulevard, Fremont, CA, USA, 94538
ABVC BioPharma Inc is a clinical-stage biopharmaceuticals company with an active pipeline of six drugs and one medical device (ABV-1701/Vitargus) under development. Its drug products focus on utilizing its licensed technology to conduct proof-of-concept trials through Phase II of the clinical development process. The firm specializes in botanically based solutions that deliver high efficacy with low toxicity for improved health outcomes.
Executives
Shuling Jiang director, 10 percent owner 44370 OLD WARM SPRINGS BLVD., FREMONT CA 94538
Shih-chen Tseng director 5F., NO. 41-1, LN. 12, SINDONG ST., SONGSHAN DIST, TAIPEI CITY F5 105065
Yoshinobu Odaira director 4823 DUNDAS STREET, THOMDALE, LONDON X0 N6P 1J1
Norimi Sakamoto director 4823 DUNDAS STREET, THRONDALE, LONDON X0 N6P 1J1
Shin-yu Miao director NO. 25-12, AMLIN RD., XITUN DIST., TAICHUNG CITY F5 407676
Tsung Shann Jiang director, officer: CSO and Director 1197 LA PLURISSIMA PL, FREMONT CA 94539
Eugene Jiang director, officer: Chairman of the Board & CBO 1197 LA PLURISSIMA PL, FREMONT CA 94539
Chang-jen Jiang director 1197 LA PLURISSIMA PL, FREMONT CA 94539
Yen-hsin Chou director 13F. NO. 2, MEISHU E. 8TH ST.,, GUSHAN DIST., KAOHSIUNG CITY F5 804413
Chi-hsin Richard King officer: Chief Scientific Officer 11907 GRANT PLACE, SAINT LOUIS MO 63131
Howard Doong officer: Chief Executive Officer 44370 OLD WARM SPRINGS BLVD., FREMONT CA 94538
Chihliang An officer: Chief Financial Officer 32458 JEAN DR, UNION CITY CA 94587
Tsang Ming Jiang director 1197 LA PURISSIMA PL, FREMONT CA 94539
Shulamit Lazar director, 10 percent owner, officer: President,Secretary,Treasurer 8605 SANTA MONICA BOULEVARD, SUITE 41336, LOS ANGELES CA 90069
Kevin Patrick Stolz officer: CFO & Controller 2701 CAMBRIDGE COURT, SUITE 100, AUBURN HILLS MI 48326