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ATRC (AtriCure) Degree of Operating Leverage : 0.30 (As of Mar. 2025)


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What is AtriCure Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. AtriCure's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was 0.30. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

ATRC's Degree of Operating Leverage is ranked better than
54.64% of 798 companies
in the Medical Devices & Instruments industry
Industry Median: 0.64 vs ATRC: 0.30

AtriCure Degree of Operating Leverage Historical Data

The historical data trend for AtriCure'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.

AtriCure Degree of Operating Leverage Chart

AtriCure 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 -3.78 -6.95 -8.54 -2.13 3.78

AtriCure 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 -0.38 2.90 4.24 3.78 0.30

Competitive Comparison of AtriCure's Degree of Operating Leverage

For the Medical Instruments & Supplies subindustry, AtriCure'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.


AtriCure's Degree of Operating Leverage Distribution in the Medical Devices & Instruments Industry

For the Medical Devices & Instruments industry and Healthcare sector, AtriCure's Degree of Operating Leverage distribution charts can be found below:

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


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AtriCure Degree of Operating Leverage Calculation

AtriCure'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
=( -30.95 (Mar. 2025) / -29.569 (Mar. 2024) - 1 )/( 480.076 (Mar. 2025) / 414.602 (Mar. 2024) - 1 )
=0.0467/0.1579
=0.30***

* 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.


AtriCure  (NAS:ATRC) 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.


AtriCure Degree of Operating Leverage Related Terms

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


AtriCure Business Description

Traded in Other Exchanges
N/A
Address
7555 Innovation Way, Mason, OH, USA, 45040
AtriCure Inc is an innovator in surgical treatments and therapies for atrial fibrillation (Afib), left atrial appendage (LAA) management, and post-operative pain management and sells its products to medical centers through its direct sales force and distributors. Its product line includes Cryo, Soft Tissue Dissection, RF Ablation Pacing and Sensing, and others. Geographically, it generates a majority of its revenue from the United States. Cardiac ablation and left atrial appendage management (LAAM) products are used by physicians during open-heart and minimally invasive surgical procedures. Pain management solutions are used by physicians to freeze nerves during cardiothoracic or thoracic surgical procedures.
Executives
Karen Prange director 1108 S RIO VISTA BLVD, FORT LAUDERDALE FL 33316
Maggie Yuen director ONE PENUMBRA PLACE, ALAMEDA CA 94502
Salvatore Privitera officer: VP; Product Development 7555 INNOVATION WAY, MASON OH 45040
Justin J Noznesky officer: SVP, Mktg & Business Develop 7555 INNOVATION WAY, MASON OH 45040
Karl S. Dahlquist officer: Chief Legal Officer 7555 INNOVATION WAY, MASON OH 45040
Vinayak Doraiswamy officer: Chief Scientific Officer 7555 INNOVATION WAY, MASON OH 45040
Deborah Lee Yount officer: Chief Human Resources Officer 7555 INNOVATION WAY, MASON OH 45040
Tonya Austin officer: Chief Human Resources Officer 7555 INNOVATION WAY, MASON OH 45040
Mark A Collar director 382 BISHOPBRIDGE DR, CINCINNATI OH 45255
Angela L Wirick officer: Chief Financial Officer 7555 INNOVATION WAY, MASON OH 45040
Regina E Groves director 5751 COPLEY DRIVE, SAN DIEGO CA 92111
Douglas J Seith officer: SVP of Sales and Marketing 7555 INNOVATION WAY, MASON OH 45040
Deborah H Telman director 2000 GALLOPING HILL ROAD, KENILWORTH NJ 07033
Scott William Drake director 9965 FEDERAL DRIVE, COLORADO SPRINGS CO 80921
Sven Wehrwein director