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BLMH (Blum Holdings) Degree of Operating Leverage : -3.06 (As of Sep. 2024)


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What is Blum Holdings Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Blum Holdings's Degree of Operating Leverage for the quarter that ended in Sep. 2024 was -3.06. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

BLMH's Degree of Operating Leverage is ranked better than
79.16% of 955 companies
in the Drug Manufacturers industry
Industry Median: 0.88 vs BLMH: -3.06

Blum Holdings Degree of Operating Leverage Historical Data

The historical data trend for Blum 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.

* Premium members only.

Blum Holdings Degree of Operating Leverage Chart

Blum Holdings Annual Data
Trend Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22
Degree of Operating Leverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.34 -0.58 1.29 0.85 17.13

Blum Holdings Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 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 Premium Member Only -13.15 -0.30 1.51 1.29 -3.06

Competitive Comparison of Blum Holdings's Degree of Operating Leverage

For the Drug Manufacturers - Specialty & Generic subindustry, Blum 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.


Blum Holdings's Degree of Operating Leverage Distribution in the Drug Manufacturers Industry

For the Drug Manufacturers industry and Healthcare sector, Blum Holdings's Degree of Operating Leverage distribution charts can be found below:

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



Blum Holdings Degree of Operating Leverage Calculation

Blum Holdings'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
=( 5.613 (Sep. 2024) / 1.987 (Sep. 2023) - 1 )/( 8.159 (Sep. 2024) / 20.189 (Sep. 2023) - 1 )
=1.8249/-0.5959
=-3.06***

* 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.


Blum Holdings  (OTCPK:BLMH) 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.


Blum Holdings Degree of Operating Leverage Related Terms

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Blum Holdings Business Description

Traded in Other Exchanges
N/A
Address
3242 S. Halladay Street, Suite 202, Santa Ana, CA, USA, 92705
Blum Holdings Inc is a cannabis company with operations in retail, production, distribution, and cultivation, with an emphasis on providing the highest quality of medical and adult-use cannabis products. It distributes its own branded products as well as third-party products to its retail dispensaries in California under the Korova brand. The company has two reportable segments; Cannabis Retail which generates key revenue and includes cannabis-focused retail, both physical stores and non-store front delivery, and the Cannabis Distribution segment which includes cannabis distribution operations.
Executives
Patty Chan officer: CHIEF FINANCIAL OFFICER 11516 DOWNEY AVE, DOWNEY CA 90241
Oren Schauble officer: President 3242 S HALLADAY ST., SUITE 202, SANTA ANA CA 92705
Dallas Imbimbo director 1800 NEWPORT CIRCLE, SANTA ANA CA 92705
Eric Baum director 866 BERKSHIRE DRIVE, WESTBURY NY 11590
Tiffany N. Davis director 11852 MANHATTAN CT., RANCHO CUCAMONGA CA 91730
Michael Nahass director 2040 MAIN STREET, SUITE 225, IRVINE CA 92614
Derek Peterson director, officer: President and CEO 2040 MAIN STREET, SUITE 225, IRVINE CA 92614
Alan David Gladstone other: Former Director of Issuer P.O BOX 9699, NEWPORT BEACH CA 92658
Uri Kenig officer: Chief Operating Officer 2040 MAIN ST., SUITE 225, IRVINE CA 92614
Ira E. Ritter director C/O RITTER PHARMACEUTICALS INC., 1801 CENTURY PARK EAST, SUITE 1820, LOS ANGELES CA 90096
Nicholas Kovacevich director 2618 SAN MIGUEL DRIVE, #480, NEWPORT BEACH CA 92660
Knuettel Ii Francis director 205 NEWBURY ST, SUITE 204, FRAMINGHAM MA 01701
Jeffrey Robert Batliner officer: Chief Financial Officer 2040 MAIN STREET, SUITE 225, IRVINE CA 92614
Megan Jimenez officer: Chief Financial Officer 2040 MAIN ST., SUITE 225, IRVINE CA 92614
Matthew Morgan director, officer: Chief Executive Officer 2040 MAIN STREET, SUITE 225, IRVINE CA 92614