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ARVN (Arvinas) Degree of Operating Leverage : -0.15 (As of Mar. 2025)


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What is Arvinas Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Arvinas's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was -0.15. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

ARVN's Degree of Operating Leverage is ranked better than
55.8% of 880 companies
in the Biotechnology industry
Industry Median: -0.02 vs ARVN: -0.15

Arvinas Degree of Operating Leverage Historical Data

The historical data trend for Arvinas'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.

Arvinas Degree of Operating Leverage Chart

Arvinas Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Degree of Operating Leverage
Get a 7-Day Free Trial Premium Member Only -1.81 0.53 0.27 -1.30 -0.16

Arvinas 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 -0.74 -0.56 13.71 -0.16 -0.15

Competitive Comparison of Arvinas's Degree of Operating Leverage

For the Biotechnology subindustry, Arvinas'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.


Arvinas's Degree of Operating Leverage Distribution in the Biotechnology Industry

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

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


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Arvinas Degree of Operating Leverage Calculation

Arvinas'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
=( -95.6 (Mar. 2025) / -397.1 (Mar. 2024) - 1 )/( 426.9 (Mar. 2025) / 71.3 (Mar. 2024) - 1 )
=-0.7593/4.9874
=-0.15***

* 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.


Arvinas  (NAS:ARVN) 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.


Arvinas Degree of Operating Leverage Related Terms

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


Arvinas Business Description

Industry
Traded in Other Exchanges
N/A
Address
395 Winchester Avenue, 5 Science Park, New Haven, CT, USA, 06511
Arvinas Inc is a United States-based biopharmaceutical company focused on improving the lives of patients suffering from debilitating and life-threatening diseases through the discovery, development and commercialization of therapies that degrade disease-causing proteins.. The company's proprietary Proteolysis-Targeting Chimera (PROTAC), work by inducing the cell's own ubiquitin-proteasome system to target, degrade and remove disease-causing proteins. The group's product candidates are bavdegalutamide, ARV-471 and ARV-766.
Executives
David K Loomis officer: Chief Accounting Officer C/O 5 SCIENCE PARK, 385 WINCHESTER AVENUE, NEW HAVEN CT 06511
Ian Taylor officer: Senior Vice President, Biology C/O ARVINAS, INC., 5 SCIENCE PARK, 395 WINCHESTER AVENUE, NEW HAVEN CT 0651
John G Houston director, officer: President and CEO C/O ARVINAS, INC., 5 SCIENCE PARK, 395 WINCHESTER AVE., NEW HAVEN CT 06511
Sean A Cassidy officer: Chief Financial Officer 322 EAST MAIN STREET, BRANFORD CT 06405
Ronald Peck officer: Chief Medical Officer C/O ARVINAS, INC., 5 SCIENCE PARK, 395 WINCHESTER AVE., NEW HAVEN CT 06511
Sunil Agarwal director 60 LEVERONI COURT, NOVATO CA 94949
Everett Cunningham director C/O QUEST DIAGNOSTICS, 500 PLAZA DRIVE, SECAUCUS NJ 07094
John D Young director C/O CORPORATE SECRETARY, 235 EAST 42ND ST., NEW YORK NY 10017
Briggs Morrison director C/O SYNDAX PHARMACEUTICALS, INC., 400 TOTTEN POND ROAD, SUITE 110, WALTHAM MA 02451
Liam Ratcliffe director, 10 percent owner C/O ACCESS INDUSTRIES, INC, 40 WEST 57TH ST, 28TH FLOOR, NEW YORK NY 10019
Timothy M Shannon director C/O CURAGEN CORP, 555LONG WHARF DR. 11TH FL., NEW HAVEN CT 06511
Bradley Albert Margus director C/O ARVINAS, INC., 5 SCIENCE PARK, 395 WINCHESTER AVE., NEW HAVEN CT 06511
Kennedy Edward Moore Jr. director C/O ARVINAS, INC. 5 SCIENCE PARK, 395 WINCHESTER AVENUE, NEW HAVEN CT 06511
Wendy L Dixon director
Linda Bain director C/O BLUEBIRD BIO, INC., 840 MEMORIAL DRIVE, CAMBRIDGE MA 02139