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CSX (CSX) Degree of Operating Leverage : 3.42 (As of Mar. 2025)


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What is CSX Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. CSX's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was 3.42. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

CSX's Degree of Operating Leverage is ranked worse than
78.57% of 966 companies
in the Transportation industry
Industry Median: 0.885 vs CSX: 3.42

CSX Degree of Operating Leverage Historical Data

The historical data trend for CSX'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.

CSX Degree of Operating Leverage Chart

CSX 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 1.17 1.61 0.39 5.38 5.94

CSX 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 3.55 3.42 14.68 5.94 3.42

Competitive Comparison of CSX's Degree of Operating Leverage

For the Railroads subindustry, CSX'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.


CSX's Degree of Operating Leverage Distribution in the Transportation Industry

For the Transportation industry and Industrials sector, CSX's Degree of Operating Leverage distribution charts can be found below:

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


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CSX Degree of Operating Leverage Calculation

CSX'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
=( 5076 (Mar. 2025) / 5528 (Mar. 2024) - 1 )/( 14282 (Mar. 2025) / 14632 (Mar. 2024) - 1 )
=-0.0818/-0.0239
=3.42***

* 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.


CSX  (NAS:CSX) 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.


CSX Degree of Operating Leverage Related Terms

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


CSX Business Description

Industry
Address
500 Water Street, 15th Floor, Jacksonville, FL, USA, 32202
Operating in the Eastern United States, Class I railroad CSX generated revenue near $14.5 billion in 2024. On its more than 21,000 miles of track, CSX hauls shipments of coal (16% of consolidated revenue), chemicals (17%), intermodal containers (16%), automotive cargo (7%), and a diverse mix of other bulk and industrial merchandise.
Executives
Stephen Fortune officer: EVP - CD&TO 500 WATER STREET, JACKSONVILLE FL 32202
Nathan D Goldman officer: EVP & CLO 500 WATER STREET, JACKSONVILLE FL 32202
Diana B Sorfleet officer: EVP & CAO 500 WATER STREET, JACKSONVILLE FL 32202
Kevin S. Boone officer: VP & Interim CFO 500 WATER STREET, JACKSONVILLE FL 32202
Michael A. Cory officer: EVP & COO 500 WATER STREET, JACKSONVILLE FL 32202
Joseph R Hinrichs director, officer: President & CEO FORD MOTOR COMPANY, ONE AMERICAN ROAD, DEARBORN MI 48126
John J Zillmer director ARAMARK CORP, 1101 MARKET ST, PHILADELPHIA PA 19107
James L Wainscott director C/O AK STEEL HOLDING CORP, 9227 CENTRE POINTE DRIVE, WEST CHESTER OH 45069
Angela C Williams officer: VP & Controller 500 WATER STREET, JACKSONVILLE FL 32202
Mark Kenneth Wallace officer: EVP - Corporate Affairs 7550 OGDEN DALE ROAD S.E., CALGARY A0 T2C 4X9
Sean R. Pelkey officer: VP & Acting CFO 500 WATER STREET, JACKSONVILLE FL 32202
David M Moffett director C/O PAYPAL HOLDINGS INC., 2211 NORTH FIRST STREET, SAN JOSE CA 95131
Thomas Bostick director 20374 SENECA MEADOWS PARKWAY, GERMANTOWN MD 20876
James M Foote officer: EVP & COO GATX CORP, 500 WEST MONROE STREET, CHICAGO IL 60661
Paul C Hilal director MANTLE RIDGE, L.P., 712 FIFTH AVENUE, SUITE 17F, NEW YORK NY 10019