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CLH (Clean Harbors) Degree of Operating Leverage : 0.86 (As of Mar. 2025)


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What is Clean Harbors Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Clean Harbors's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was 0.86. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

CLH's Degree of Operating Leverage is ranked worse than
55.27% of 237 companies
in the Waste Management industry
Industry Median: 0.58 vs CLH: 0.86

Clean Harbors Degree of Operating Leverage Historical Data

The historical data trend for Clean Harbors'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.

Clean Harbors Degree of Operating Leverage Chart

Clean Harbors 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 -1.10 1.86 2.40 -0.87 1.15

Clean Harbors 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 -2.40 0.19 1.96 1.15 0.86

Competitive Comparison of Clean Harbors's Degree of Operating Leverage

For the Waste Management subindustry, Clean Harbors'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.


Clean Harbors's Degree of Operating Leverage Distribution in the Waste Management Industry

For the Waste Management industry and Industrials sector, Clean Harbors's Degree of Operating Leverage distribution charts can be found below:

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


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Clean Harbors Degree of Operating Leverage Calculation

Clean Harbors'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
=( 676.311 (Mar. 2025) / 629.988 (Mar. 2024) - 1 )/( 5945.207 (Mar. 2025) / 5478.46 (Mar. 2024) - 1 )
=0.0735/0.0852
=0.86***

* 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.


Clean Harbors  (NYSE:CLH) 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.


Clean Harbors Degree of Operating Leverage Related Terms

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


Clean Harbors Business Description

Traded in Other Exchanges
Address
42 Longwater Drive, Norwell, MA, USA, 02061-9149
Clean Harbors Inc is an environmental and industrial services provider. It provides parts cleaning and related environmental services to commercial, industrial, and automotive customers. Its business segments are Environmental Services and Safety-Kleen Sustainability Solutions. The company generates the majority of its revenues from the Environmental Services segment.
Executives
John R. Welch director 84 SUMMER STREET, WESTON MA 02493
Robert Speights officer: EVP (CHESI) C/O CLEAN HARBORS ENVIRONMENTAL SERVICES, 42 LONGWATER DRIVE, NORWELL MA 02061
Lauren States director 16 WILMONT AVENUE, WHITE PLAINS NY 10605
Eric J. Dugas officer: VP, Corp. Contr and CAO C/O CLEAN HARBORS, INC., 42 LONGWATER DRIVE, NORWELL MA 02061
Alan S Mckim director, officer: Chrmn. of Bd., Pres.and CEO
Brian P Weber officer: EVP (CHESI) 88 PINE STREET, WALPOLE MA 02081
Eric W Gerstenberg officer: Chief Operating Officer 24 MACFARLANE DRIVE, KINGSTON MA 02364
Michael Louis Battles officer: SVP & CAO 45 WILLIAM STREET, WELLESLEY MA 02481
Andrea Robertson director 129 SHELTER ROCK ROAD, STAMFORD CT 06903
John T Preston director C/O MOLTEN METAL TECHNOLOTY INC, 400-2 TOTTEN POND ROAD, WALTHAM MA 02154
Robert W. Harrison officer: EVP, EHS 42 LONGWATER DRIVE, NORWELL MA 02061
George L Curtis officer: Exec. Vice President (CHESI)
Loan Nguyen Mansy officer: President Env Sales & Service C/O HUDSON TECHNOLOGIES, INC., 300 TICE BOULEVARD, SUITE 290, WOODCLIFF LAKE NJ 07677
Rebecca Underwood officer: President & EVP Facilities 42 LONGWATER DRIVE, NORWELL MA 02061
Sharon M. Gabriel officer: EVP/CIO (CHESI) 42 LONGWATER DRIVE, NORWELL MA 02061