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BROS (Dutch Bros) Degree of Operating Leverage : 1.32 (As of Mar. 2025)


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What is Dutch Bros Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Dutch Bros's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was 1.32. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

BROS's Degree of Operating Leverage is ranked worse than
51.59% of 345 companies
in the Restaurants industry
Industry Median: 1.28 vs BROS: 1.32

Dutch Bros Degree of Operating Leverage Historical Data

The historical data trend for Dutch Bros'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.

Dutch Bros Degree of Operating Leverage Chart

Dutch Bros Annual Data
Trend Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Degree of Operating Leverage
Get a 7-Day Free Trial -1.75 -22.23 -2.09 114.39 3.90

Dutch Bros Quarterly Data
Dec19 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 11.60 5.25 2.65 3.90 1.32

Competitive Comparison of Dutch Bros's Degree of Operating Leverage

For the Restaurants subindustry, Dutch Bros'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.


Dutch Bros's Degree of Operating Leverage Distribution in the Restaurants Industry

For the Restaurants industry and Consumer Cyclical sector, Dutch Bros's Degree of Operating Leverage distribution charts can be found below:

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


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Dutch Bros Degree of Operating Leverage Calculation

Dutch Bros'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
=( 111.579 (Mar. 2025) / 79.545 (Mar. 2024) - 1 )/( 1361.068 (Mar. 2025) / 1043.608 (Mar. 2024) - 1 )
=0.4027/0.3042
=1.32***

* 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.


Dutch Bros  (NYSE:BROS) 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.


Dutch Bros Degree of Operating Leverage Related Terms

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


Dutch Bros Business Description

Traded in Other Exchanges
N/A
Address
300 N Valley Drive, Grants Pass, OR, USA, 97526
Dutch Bros Inc is an operator and franchisor of drive-thru coffee shops that are focused on serving hand-crafted beverages. The company's hand-crafted beverage-focused lineup features hot and cold espresso-based beverages, cold brew coffee products, proprietary energy drinks, tea, lemonade, smoothies and other beverages. The company has two reportable operating segments Company-operated shops and Franchising. It derives maximum revenue from Company operated shops.
Executives
Travis Boersma director, 10 percent owner, officer: Executive Chairman of Board C/O DUTCH BROS INC., PO BOX 1929, GRANTS PASS OR 97528
Dm Trust Aggregator, Llc 10 percent owner PO BOX 398, GRANTS PASS OR 97528
Dm Individual Aggregator, Llc 10 percent owner PO BOX 398, GRANTS PASS OR 97528
Tsg7 A Management Llc 10 percent owner C/O TSG CONSUMER PARTNERS, 1100 LARKSPUR LANDING CIRCLE, SUITE 360, LARKSPUR CA 94939
Brian Maxwell officer: Chief Operating Officer C/O DUTCH BROS INC., PO BOX 1929, GRANTS PASS OR 97528
Charles Jemley officer: Chief Financial Officer C/O FOUR CORNERS PROPERTY TRUST, INC., 591 REDWOOD HIGHWAY, SUITE 1150, MILL VALLEY CA 94941
C. David Cone director 4900 N. SCOTTSDALE ROAD, SUITE 2000, SCOTTSDALE AZ 85251
Sullivan Sean B.a. director 1201 DOWDELL LANE, SAINT HELENA CA 94574
Victoria J Tullett officer: Chief Legal Officer C/O DUTCH BROS INC., 110 SW 4TH STREET, GRANTS PASS OR 97526
Joth Ricci officer: CEO and President C/O DUTCH BROS INC., PO BOX 1929, GRANTS PASS OR 97528
Tana Davila officer: Chief Marketing Officer 110 SW 4TH STREET, GRANTS PASS OR 97526
Christine Barone officer: President C/O YELP INC., 350 MISSION STREET, 10TH FLOOR, SAN FRANCISCO CA 94105
John Patrick Graham officer: Chief Marketing Officer C/O ALIGN TECHNOLOGY INC., 2820 ORCHARD PARKWAY, SAN JOSE CA 94131
Ann M Miller director ONE BOWERMAN DRIVE, BEAVERTON OR 97005
Stephen Gillett director 2401 UTAH AVE S, SEATTLE WA 98134