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AESI (Atlas Energy Solutions) Degree of Operating Leverage : -0.78 (As of Mar. 2025)


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What is Atlas Energy Solutions Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Atlas Energy Solutions's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was -0.78. The higher Degree of Operating Leverage, the higher operating risk the company will take.

The industry rank for Atlas Energy Solutions's Degree of Operating Leverage or its related term are showing as below:

AESI's Degree of Operating Leverage is ranked better than
71.35% of 904 companies
in the Oil & Gas industry
Industry Median: 0.885 vs AESI: -0.78

Atlas Energy Solutions Degree of Operating Leverage Historical Data

The historical data trend for Atlas Energy Solutions'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.

Atlas Energy Solutions Degree of Operating Leverage Chart

Atlas Energy Solutions Annual Data
Trend Dec20 Dec21 Dec22 Dec23 Dec24
Degree of Operating Leverage
- -71.52 2.20 0.49 -0.79

Atlas Energy Solutions Quarterly Data
Dec20 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 -1.38 -1.28 -1.09 -0.79 -0.78

Competitive Comparison of Atlas Energy Solutions's Degree of Operating Leverage

For the Oil & Gas Equipment & Services subindustry, Atlas Energy Solutions'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.


Atlas Energy Solutions's Degree of Operating Leverage Distribution in the Oil & Gas Industry

For the Oil & Gas industry and Energy sector, Atlas Energy Solutions's Degree of Operating Leverage distribution charts can be found below:

* The bar in red indicates where Atlas Energy Solutions's Degree of Operating Leverage falls into.


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Atlas Energy Solutions Degree of Operating Leverage Calculation

Atlas Energy Solutions'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
=( 90.317 (Mar. 2025) / 231.236 (Mar. 2024) - 1 )/( 1160.881 (Mar. 2025) / 653.209 (Mar. 2024) - 1 )
=-0.6094/0.7772
=-0.78***

* 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.


Atlas Energy Solutions  (NYSE:AESI) 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.


Atlas Energy Solutions Degree of Operating Leverage Related Terms

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


Atlas Energy Solutions Business Description

Traded in Other Exchanges
N/A
Address
5918 West Courtyard Drive, Suite 500, Austin, TX, USA, 78730
Atlas Energy Solutions Inc is a provider of proppant and logistics services to the oil and natural gas industry within the Permian Basin of West Texas and New Mexico, the most active oil and natural gas basin in North America. Proppant is necessary to facilitate the recovery of hydrocarbons from oil and natural gas wells. One hundred percent of its sand reserves are located in Winkler and Ward Counties, Texas, within the Permian Basin, and its operations consist of proppant production and processing facilities, including two facilities near Kermit, Texas, and a third facility near Monahans, Texas.
Executives
Gregory M Shepard director, other: Member of 10% Owner Group 7028 PORTMARNOCK PLACE, LAKEWOOD RANCH FL 34202
Ben M Brigham director, 10 percent owner, officer: See Remarks 6300 BRIDGE POINT PKWY, BLDG 2 STE 500, AUSTIN TX 78730
Stacy Hock director 3331 WESTLAKE DRIVE, AUSTIN TX 78746
Brian Anthony Leveille other: Member of 10% Owner Group 5918 W COURTYARD DRIVE, SUITE 500, AUSTIN TX 78730
Richard W Schmidt other: Member of 10% Owner Group. 5410 BEE CAVE ROAD, AUSTIN TX 78746
Chad M. Mcever other: Member of 10% Owner Group THREE RIVERWAY, SUITE 1350, HOUSTON TX 77056
Kirk Edwards Ginn other: Member of 10% Owner Group 5918 W COURTYARD DRIVE, SUITE 500, AUSTIN TX 78730
Jeffrey L Allison officer: EVP, Sales & Marketing 5918 W. COURTYARD DRIVE, SUITE 500, AUSTIN TX 78730
John Gregory Turner officer: See Remarks 5918 W. COURTYARD DRIVE, SUITE 500, AUSTIN TX 78730
Dathan C Voelter officer: General Counsel and Secretary 5918 W. COURTYARD DRIVE, SUITE 500, AUSTIN TX 78730
Joel Hock other: Member of 10% Owner Group" 3331 WESTLAKE DRIVE, AUSTIN TX 78746
Camcole Consultants, Llc other: Member of 10% Owner Group 2203 GULF AVENUE, MIDLAND TX 79705
Sealy & Smith Foundation 10 percent owner 2200 MARKET STREET, SUITE 500, GALVESTON TX 77550
Douglas G Rogers director 2200 MARKET STREET, SUITE 500, GALVESTON TX 77550
Atlas Sand Management Co Ii, Llc 10 percent owner 5918 W. COURTYARD DRIVE, SUITE 500, AUSTIN TX 78730