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CMLS (Cumulus Media) Degree of Operating Leverage : -249.04 (As of Mar. 2025)


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What is Cumulus Media Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Cumulus Media's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was -249.04. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

CMLS's Degree of Operating Leverage is ranked better than
98.7% of 999 companies
in the Media - Diversified industry
Industry Median: 1.15 vs CMLS: -249.04

Cumulus Media Degree of Operating Leverage Historical Data

The historical data trend for Cumulus Media'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.

Cumulus Media Degree of Operating Leverage Chart

Cumulus Media 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 4.09 -55.34 -1.08 12.18 -290.50

Cumulus Media 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 14.97 26.26 47.82 -290.50 -249.04

Competitive Comparison of Cumulus Media's Degree of Operating Leverage

For the Broadcasting subindustry, Cumulus Media'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.


Cumulus Media's Degree of Operating Leverage Distribution in the Media - Diversified Industry

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

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


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Cumulus Media Degree of Operating Leverage Calculation

Cumulus Media'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
=( -239.763 (Mar. 2025) / -28.943 (Mar. 2024) - 1 )/( 814.372 (Mar. 2025) / 838.909 (Mar. 2024) - 1 )
=7.284/-0.0292
=-249.04***

* 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.


Cumulus Media  (OTCPK:CMLS) 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.


Cumulus Media Degree of Operating Leverage Related Terms

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


Cumulus Media Business Description

Traded in Other Exchanges
Address
780 Johnson Ferry Road North East, Suite 500, Atlanta, GA, USA, 30342
Cumulus Media Inc is an audio-first media company delivering content to over a quarter billion people monthly whenever required. It is a radio broadcasting company combining high-quality local programming with iconic, nationally syndicated media, sports, and entertainment brands to deliver premium content choices to its customers and radio stations affiliated with the Westwood One network and numerous digital channels. The company's revenue is derived from Broadcast radio revenue, Digital revenue, and Other revenue.
Executives
Deborah A Farrington director STARVEST PARTNERS, L.P., 750 LEXINGTON AVENUE, 15TH FLOOR, NEW YORK NY 10022
David Edward Milner officer: EVP - Operations 3280 PEACHTREE ROAD, N.W., SUITE 2200, ATLANTA GA 30305
Richard Denning officer: EVP, GEN COUNSEL & SECRETARY 3280 PEACHTREE ROAD NW SUITE 2300, ATLANTA GA 30305
Brigade Capital Management, Lp 10 percent owner 399 PARK AVENUE, 16TH FLOOR, NEW YORK NY 10022
Francisco J Lopez-balboa officer: EVP and CFO 3280 PEACHTREE ROAD, N.W., ATLANTA GA 30305
Sallie Kimbrough officer: See Remarks 3280 PEACHTREE ROAD, N.W., SUITE 2200, ATLANTA GA 30305
Robert J Walker officer: EVP - Operations 3280 PEACHTREE ROAD, N.W., SUITE 2200, ATLANTA GA 30305
Mary G. Berner director, officer: PRESIDENT & CEO C/O CUMULUS MEDIA, INC., 3280 PEACHTREE ROAD, NW, ATLANTA GA 30305
Suzanne M Grimes officer: EVP Corporate Marketing 200 EAST BASSE ROAD, SAN ANTONIO TX 78209
John Abbot officer: EVP, TREASURER & CFO
Sp Signal Manager, Llc 10 percent owner 2 GREENWICH PLAZA, FIRST FLOOR, GREENWICH CT 06830
Nimbus Atlas Llc 10 percent owner 399 PARK AVENUE, 16TH FLOOR, NEW YORK NY 10022
Thomas H Castro director C/O TIME WARNER CABLE INC., 60 COLUMBUS CIRCLE, 16TH FLOOR, NEW YORK NY 10023
Matthew Blank director TWO PENNSYLVANIA PLAZA, NEW YORK NY 10121
David M Baum director 784 MORRIS TURNPIKE #367, SHORT HILLS NJ 07078