OtherLevels Holdings (ASX:OLV) Degree of Operating Leverage : 0.00 (As of Dec. 2019)

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What is OtherLevels Holdings Degree of Operating Leverage?

OtherLevels Holdings ASX:OLV Degree of Operating Leverage is 0.00 as of Dec. 2019. The stock has 4 warning signs investors should review.

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. OtherLevels Holdings's Degree of Operating Leverage for the quarter that ended in Dec. 2019 was 0.00. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

ASX:OLV's Degree of Operating Leverage is not ranked *
in the Software industry.
Industry Median: 0.67
* Ranked among companies with meaningful Degree of Operating Leverage only.

OtherLevels Holdings  (ASX:OLV) 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.


OtherLevels Holdings Degree of Operating Leverage Related Terms


OtherLevels Holdings Degree of Operating Leverage Historical Data

* Premium members only.

The historical data trend for OtherLevels Holdings'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.

OtherLevels Holdings Degree of Operating Leverage Chart

OtherLevels Holdings Annual Data
Trend Jun15 Jun16 Jun17 Jun18 Jun19
Degree of Operating Leverage
- 1.93 8.88 -0.94 5.43

OtherLevels Holdings Semi-Annual Data
Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19
Degree of Operating Leverage Get a 7-Day Free Trial Premium Member Only -3.04 -0.85 -0.27 12.17 4.79

ASX:OLV vs MSFT, ADBE, ORCL: Degree of Operating Leverage Comparison

For the Software - Infrastructure subindustry, OtherLevels Holdings'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.


OtherLevels Holdings Degree of Operating Leverage vs Software Industry

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

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



OtherLevels Holdings Degree of Operating Leverage Calculation

OtherLevels Holdings's Degree of Operating Leverage for the quarter that ended in Dec. 2019 is calculated as:

Degree of Operating Leverage=% Change in EBIT**/% Change in Revenue
=( -3.1184 (Dec. 2019) / -2.7942 (Dec. 2018) - 1 )/( 5.5006 (Dec. 2019) / 5.3706 (Dec. 2018) - 1 )
=0.116/0.0242
=4.79***

* 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.

What does a Degree of Operating Leverage of 0.00 mean?
OtherLevels Holdings (ASX:OLV) has a Degree of Operating Leverage of 0.00 as of Dec. 2019. Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. View historical data for OtherLevels Holdings and its competitors.
Is OtherLevels Holdings' Degree of Operating Leverage too high?
OtherLevels Holdings' current Degree of Operating Leverage is 0.00.
How does OtherLevels Holdings' Degree of Operating Leverage compare to MSFT and ADBE?
OtherLevels Holdings' Degree of Operating Leverage of 0.00 can be compared against companies in the Software industry. The industry median Degree of Operating Leverage is 0.67. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Degree of Operating Leverage for a Software company?
The median Degree of Operating Leverage among Software companies is 0.67, based on 2,708 companies in the industry. Companies in the top quartile (top 25%) have a Degree of Operating Leverage significantly above this median, while those in the bottom quartile fall well below. However, Degree of Operating Leverage should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Degree of Operating Leverage mean?
A high Degree of Operating Leverage can signal that a stock is expensive relative to its fundamentals. Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. View historical data for OtherLevels Holdings and its competitors. For the Software industry, the median Degree of Operating Leverage is 0.67 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. OtherLevels Holdings's current Degree of Operating Leverage is 0.00. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is OtherLevels Holdings stock overvalued right now?
Based on GuruFocus' analysis, OtherLevels Holdings (ASX:OLV) is currently considered Possible Value Trap. The current Degree of Operating Leverage is 0.00. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Degree of Operating Leverage calculated?
Degree of Operating Leverage is calculated from a company's financial statements. For OtherLevels Holdings (ASX:OLV), the current Degree of Operating Leverage is 0.00 as of Dec. 2019. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

OtherLevels Holdings Business Description

Address 235 Edward Street, Level 1, Brisbane, QLD, AUS, 4000
OtherLevels Holdings Ltd provides mobile marketing solutions. It operates a digital marketing Software-as-a-Service business that enables enterprises to communicate with its users on mobile and smart devices. Geographically, it derives a majority of revenue from the United Kingdom and also has a presence in Australia and the United States. The company generates revenue from Licences; Managed Services; Professional Services and Other income. It provides platforms such as Web and App Messaging, Location Messaging, Event Messaging, Intelligent Messaging, and In-Play Messaging.