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Aptiv (APTV) Degree of Operating Leverage : -18.80 (As of Mar. 2025)


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What is Aptiv Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Aptiv's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was -18.80. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

APTV's Degree of Operating Leverage is ranked better than
92.48% of 1290 companies
in the Vehicles & Parts industry
Industry Median: 1 vs APTV: -18.80

Aptiv Degree of Operating Leverage Historical Data

The historical data trend for Aptiv'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.

Aptiv Degree of Operating Leverage Chart

Aptiv Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Degree of Operating Leverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only -7.14 -2.56 1.17 2.33 -31.67

Aptiv 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 2.50 11.08 -187.92 -31.67 -18.80

Competitive Comparison of Aptiv's Degree of Operating Leverage

For the Auto Parts subindustry, Aptiv'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.


Aptiv's Degree of Operating Leverage Distribution in the Vehicles & Parts Industry

For the Vehicles & Parts industry and Consumer Cyclical sector, Aptiv's Degree of Operating Leverage distribution charts can be found below:

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


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Aptiv Degree of Operating Leverage Calculation

Aptiv'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
=( 2502 (Mar. 2025) / 1709 (Mar. 2024) - 1 )/( 19637 (Mar. 2025) / 20134 (Mar. 2024) - 1 )
=0.464/-0.0247
=-18.80***

* 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.


Aptiv  (NYSE:APTV) 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.


Aptiv Degree of Operating Leverage Related Terms

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


Aptiv Business Description

Traded in Other Exchanges
Address
Spitalstrasse 5, 8200 Schaffhausen, Switzerland, SWZ
Aptiv PLC signal and power solutions segment supplies components and systems that make up a vehicle's electrical system, including wiring assemblies and harnesses, connectors, electrical centers, and hybrid electrical systems. The operating segments are grouped on the basis of similar product, market and operating factors: Signal and Power Solutions, which includes complete electrical architecture and component products. advanced Safety and User Experience, which includes vehicle technology and services in advanced safety, user experience, and smart vehicle computing and software, as well as cloud-native software platforms, autonomous driving technologies, and DevOps tools. Eliminations and Other.
Executives
Benjamin Lyon officer: SVP & CTO 1900 SKYHAWK STREET, ALAMEDA CA 94501
Kevin P Clark officer: VP & CFO
Nancy E Cooper director 26 CHERRY TREE LANE, RIVERSIDE CT 06878
William T. Presley officer: SVP & President, S&PS 5725 INNOVATION DRIVE, TROY MI 48098
Joseph R Massaro officer: SVP and CFO 5725 DELPHI DRIVE, TROY MI 48098
Matthew M Cole officer: SVP & President, ASUX ONE VILLAGE CENTER DRIVE, VAN BUREN TOWNSHIP MI 48111
Obed D. Louissaint officer: SVP & Chief People Officer 5725 INNOVATION DRIVE, TROY MI 48098
Sophia Velastegui officer: SVP & Chief Product Officer 21300 VICTORY BLVD., 12TH FLOOR, WOODLAND HILLS CA 91367
Mariya K. Trickett officer: SVP and CHRO 5725 INNOVATION DRIVE, TROY MI 48098
Merit E Janow director C/O TRIMBLE INC., 935 STEWART DRIVE, SUNNYVALE CA 94085
De Vos Glen W. officer: SVP & CTO 5725 INNOVATION DRIVE, TROY MI 48098
Katherine H Ramundo officer: SVP, CLO, CCO & Secretary C/O APTIV, 5725 INNOVATION DRIVE, TROY MI 48098
David M Sherbin officer: VP, GC & Secretary 4181 AO SOUTHMOOR LANE, WEST BLOOMFIELD MI 48323
Richard L Clemmer director P O BOX 34552, LAS VEGAS NV 89129
Joseph L Hooley director STATE STREET CORPORATION, ONE LINCOLN STREET, BOSTON MA 02111