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AMPL (Amplitude) Degree of Operating Leverage : -0.63 (As of Sep. 2024)


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What is Amplitude Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Amplitude's Degree of Operating Leverage for the quarter that ended in Sep. 2024 was -0.63. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

AMPL's Degree of Operating Leverage is ranked better than
65.62% of 2647 companies
in the Software industry
Industry Median: 0.68 vs AMPL: -0.63

Amplitude Degree of Operating Leverage Historical Data

The historical data trend for Amplitude'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.

Amplitude Degree of Operating Leverage Chart

Amplitude Annual Data
Trend Dec19 Dec20 Dec21 Dec22 Dec23
Degree of Operating Leverage
- - 4.53 0.71 -0.14

Amplitude Quarterly Data
Dec19 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
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 0.32 -0.14 -1.08 -0.71 -0.63

Competitive Comparison of Amplitude's Degree of Operating Leverage

For the Software - Application subindustry, Amplitude'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.


Amplitude's Degree of Operating Leverage Distribution in the Software Industry

For the Software industry and Technology sector, Amplitude's Degree of Operating Leverage distribution charts can be found below:

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



Amplitude Degree of Operating Leverage Calculation

Amplitude's Degree of Operating Leverage for the quarter that ended in Sep. 2024 is calculated as:

Degree of Operating Leverage=% Change in EBIT**/% Change in Revenue
=( -93.467 (Sep. 2024) / -98.587 (Sep. 2023) - 1 )/( 292.544 (Sep. 2024) / 270.139 (Sep. 2023) - 1 )
=-0.0519/0.0829
=-0.63***

* 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.


Amplitude  (NAS:AMPL) 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.


Amplitude Degree of Operating Leverage Related Terms

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


Amplitude Business Description

Industry
Traded in Other Exchanges
N/A
Address
201 Third Street, Suite 200, San Francisco, CA, USA, 94103
Amplitude Inc is a Software company that provides a Digital Analytics Platform that helps companies analyze their customer behavior within digital products. The Company delivers its application over the Internet as a subscription service using a software-as-a-service (SaaS) model and also it offers customer support related to initial implementation setup, ongoing support services, and application training. The company generates revenue primarily through selling subscriptions to the platform. The company derives a majority of its revenue from the United States.
Executives
Catherine Wong director C/O DOMO, INC., 772 EAST UTAH VALLEY DRIVE, AMERICAN FORK UT 84003
Eric Vishria director, 10 percent owner 2965 WOODSIDE ROAD, WOODSIDE CA 94062
Battery Partners Select Fund I, L.p. 10 percent owner ONE MARINA PARK DRIVE, SUITE 1100, BOSTON MA 02210
Neeraj Agrawal director, 10 percent owner ONE MARINA PARK DRIVE, SUITE 1100, BOSTON MA 02210
Dharmesh Thakker 10 percent owner ONE MARINA PARK DRIVE, SUITE 1100, BOSTON MA 02210
Patrick W Grady director, 10 percent owner C/O OKTA, INC., 301 BRANNAN STREET 1ST FLOOR, SAN FRANCISCO CA 94107
Sc Us (ttgp), Ltd. 10 percent owner 2800 SAND HILL RD, SUITE 101, MENLO PARK CA 94025
Christopher Harms officer: Chief Financial Officer C/O FORESCOUT TECHNOLOGIES INC, 190 WEST TASMAN DRIVE, SAN JOSE CA 95134
Thomas Neergaard Hansen officer: President C/O UIPATH, INC., 452 FIFTH AVENUE, 22ND FLOOR, NEW YORK NY 10018
Ninos Sarkis officer: Chief Accounting Officer C/O AMPLITUDE, INC., 201 THIRD STREET, SUITE 200, SAN FRANCISCO CA 94103
Mitchell Lasky 10 percent owner 2480 SAND HILL ROAD, STE 200, MENLO PARK CA 94025
Chetan Puttagunta 10 percent owner 2855 SAND HILL ROAD, MENLO PARK CA 94025
Sarah E Tavel 10 percent owner 2965 WOODSIDE ROAD, WOODSIDE CA 94062
An-yen Hu 10 percent owner 2965 WOODSIDE ROAD, WOODSIDE CA 94062
J William Gurley 10 percent owner 2480 SAND HILL ROAD, SUITE 200, MENLO PARK CA 94025