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BLND (Blend Labs) Degree of Operating Leverage : -10.10 (As of Mar. 2025)


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What is Blend Labs Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Blend Labs's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was -10.10. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

BLND's Degree of Operating Leverage is ranked better than
88.6% of 2666 companies
in the Software industry
Industry Median: 0.785 vs BLND: -10.10

Blend Labs Degree of Operating Leverage Historical Data

The historical data trend for Blend Labs'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.

Blend Labs Degree of Operating Leverage Chart

Blend Labs Annual Data
Trend Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Degree of Operating Leverage
Get a 7-Day Free Trial -0.09 1.12 919.23 2.40 19.94

Blend Labs 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 2.98 3.31 6.41 19.94 -10.10

Competitive Comparison of Blend Labs's Degree of Operating Leverage

For the Software - Application subindustry, Blend Labs'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.


Blend Labs's Degree of Operating Leverage Distribution in the Software Industry

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

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


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Blend Labs Degree of Operating Leverage Calculation

Blend Labs'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
=( -27.62 (Mar. 2025) / -105.988 (Mar. 2024) - 1 )/( 153.842 (Mar. 2025) / 143.35 (Mar. 2024) - 1 )
=-0.7394/0.0732
=-10.10***

* 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.


Blend Labs  (NYSE:BLND) 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.


Blend Labs Degree of Operating Leverage Related Terms

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


Blend Labs Business Description

Industry
Traded in Other Exchanges
N/A
Address
415 Kearny Street, San Francisco, CA, USA, 94108
Blend Labs Inc is a cloud-based platform software platform that powers the digital interface between financial services firms and consumers. It supports and simplifies applications for mortgages, consumer loans, and deposit accounts. Its operating segments are; Blend Platform segment which comprises a suite of products that power the entire origination process from back-end workflows to consumer experience, and the Title segment enables customers to streamline the title, settlement, and closing process at scale for mortgages, home equity lines of credit, and home equity loans. The majority of the revenue for the company is generated from the Blend Platform segment.
Executives
Winnie Ling officer: Head of Legal 415 KEARNY STREET, SAN FRANCISCO CA 94108
Oxana Tkach officer: Principal Accounting Officer 415 KEARNY STREET, SAN FRANCISCO CA 94108
Timothy J Mayopoulos director, officer: President C/O FANNIE MAE, 1100 15TH STREET, NW, WASHINGTON DC 20005
Amir Jafari officer: Head of Finance and Admin. 415 KEARNY STREET, SAN FRANCISCO CA 94108
Nima Ghamsari director, officer: Chief Executive Officer 415 KEARNY STREET, SAN FRANCISCO CA 94108
Dean Klinger officer: Head of Go-To-Market 415 KEARNY STREET, SAN FRANCISCO CA 94108
Crystal Sumner officer: Head of Legal, Compliance,Risk 415 KEARNY STREET, SAN FRANCISCO CA 94108
Erin N Lantz director 2343 42ND AVE EAST, SEATTLE WA 98112
Marc S. Greenberg officer: Head of Finance 415 KEARNY STREET, SAN FRANCISCO CA 94108
Manish K. Gupta officer: Principal Accounting Officer 415 KEARNY STREET, SAN FRANCISCO CA 94108
Jonathan Y. Chan officer: Principal Accounting Officer 415 KEARNY STREET, SAN FRANCISCO CA 94108
Ciara Burnham director 3110 MAIN STREET, SUITE 400, SANTA MONICA CA 90405
Ossa Investments Pte. Ltd. 10 percent owner 60B ORCHARD ROAD #06-18 TOWER 2, THE ATRIUM@ORCHARD, SINGAPORE U0 238891
Gerald C. Chen director 415 KEARNY STREET, SAN FRANCISCO CA 94108
Erin James Collard director 415 KEARNY STREET, SAN FRANCISCO CA 94108