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CCO (Clear Channel Outdoor Holdings) Degree of Operating Leverage : 7.24 (As of Mar. 2025)


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What is Clear Channel Outdoor Holdings Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Clear Channel Outdoor Holdings's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was 7.24. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

CCO's Degree of Operating Leverage is ranked worse than
78.66% of 984 companies
in the Media - Diversified industry
Industry Median: 1.22 vs CCO: 7.24

Clear Channel Outdoor Holdings Degree of Operating Leverage Historical Data

The historical data trend for Clear Channel Outdoor 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.

Clear Channel Outdoor Holdings Degree of Operating Leverage Chart

Clear Channel Outdoor Holdings 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 10.66 18.30 65.43 0.83 -5.32

Clear Channel Outdoor Holdings 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 -0.12 2.56 1.54 -5.32 7.24

Competitive Comparison of Clear Channel Outdoor Holdings's Degree of Operating Leverage

For the Advertising Agencies subindustry, Clear Channel Outdoor 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.


Clear Channel Outdoor Holdings's Degree of Operating Leverage Distribution in the Media - Diversified Industry

For the Media - Diversified industry and Communication Services sector, Clear Channel Outdoor Holdings's Degree of Operating Leverage distribution charts can be found below:

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


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Clear Channel Outdoor Holdings Degree of Operating Leverage Calculation

Clear Channel Outdoor Holdings'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
=( 294.392 (Mar. 2025) / 248.176 (Mar. 2024) - 1 )/( 1357.658 (Mar. 2025) / 1323.606 (Mar. 2024) - 1 )
=0.1862/0.0257
=7.24***

* 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.


Clear Channel Outdoor Holdings  (NYSE:CCO) 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.


Clear Channel Outdoor Holdings Degree of Operating Leverage Related Terms

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


Clear Channel Outdoor Holdings Business Description

Traded in Other Exchanges
Address
4830 North Loop 1604 West, Suite 111, San Antonio, TX, USA, 78249
Clear Channel Outdoor Holdings Inc is a provider of out-of-home advertising solutions. The company offers advertisers an opportunity to reach mass audiences across various high-traffic public spaces, by using its diverse portfolio of assets including roadside billboards, street furniture, and airport displays. Its reportable segments are; America (U.S. operations excluding airports), Airports (U.S. and Caribbean airport operations), and Other. A majority of its revenue is generated from the America segment which generates revenue from the sale of advertising on printed and digital out-of-home advertising displays such as bulletins, posters, street furniture, and others. Geographically, the company generates maximum revenue from the United States followed by Singapore.
Executives
Scott Wells officer: See Remarks C/O CLEAR CHANNEL OUTDOOR HOLDINGS, INC., 4830 NORTH LOOP 1604W, SUITE 111, SAN ANTONIO TX 78249
W Benjamin Moreland director C/O CLEAR CHANNEL OUTDOOR HOLDINGS, INC., 4830 NORTH LOOP 1604W, SUITE 111, SAN ANTONIO TX 78249
Pacific Investment Management Co Llc 10 percent owner 650 NEWPORT CENTER DRIVE, NEWPORT BEACH CA 92660
Ares Management Llc 10 percent owner 2000 AVENUE OF THE STARS, 12TH FLOOR, LOS ANGELES CA 90067
Asof Ii A (de) Holdings I, L.p. 10 percent owner 2000 AVENUE OF THE STARS, 12TH FLOOR, LOS ANGELES CA 90067
Asof Ii Holdings I, L.p. 10 percent owner 2000 AVENUE OF THE STARS, 12TH FLOOR, LOS ANGELES CA 90067
Justin Cochrane officer: CEO, UK & Europe 4830 NORTH LOOP 1604W, SUITE 111, SAN ANTONIO TX 78249
Assf Iv Aiv B Holdings Iii, L.p. 10 percent owner 2000 AVE OF THE STARS, 12TH FLOOR, C/O ARES MANAGEMENT, LOS ANGELES CA 90067
Assf Iv Aiv B, L.p. 10 percent owner 2000 AVENUE OF THE STARS, 12TH FLOOR, LOS ANGELES CA 90067
Acof Vi Holdings, L.p. 10 percent owner C/O ARES MANAGEMENT LLC, 2000 AVENUE OF THE STARS, 12TH FLOOR, LOS ANGELES CA 90067
Ares Management Corp 10 percent owner 2000 AVE OF THE STARS, 12TH FLOOR, LOS ANGELES CA 90067
Ares Management Holdings L.p. 10 percent owner 2000 AVENUE OF THE STARS, 12TH FL, LOS ANGELES CA 90067
Ares Partners Holdco Llc 10 percent owner 2000 AVENUE OF THE STARS, 12TH FLOOR, LOS ANGELES CA 90067
Ares Management Gp Llc 10 percent owner 2000 AVENUE OF THE STARS, 12TH FLOOR, LOS ANGELES CA 90067
Ares Holdco Llc 10 percent owner 2000 AVENUE OF THE STARS, 12TH FLOOR, LOS ANGELES CA 90067

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