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CTOS (Custom Truck One Source) Degree of Operating Leverage : 37.04 (As of Mar. 2025)


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What is Custom Truck One Source Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Custom Truck One Source's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was 37.04. The higher Degree of Operating Leverage, the higher operating risk the company will take.

The industry rank for Custom Truck One Source's Degree of Operating Leverage or its related term are showing as below:

CTOS's Degree of Operating Leverage is ranked worse than
94.31% of 1002 companies
in the Business Services industry
Industry Median: 0.955 vs CTOS: 37.04

Custom Truck One Source Degree of Operating Leverage Historical Data

The historical data trend for Custom Truck One Source'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.

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Custom Truck One Source Degree of Operating Leverage Chart

Custom Truck One Source Annual Data
Trend Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Degree of Operating Leverage
Get a 7-Day Free Trial 0.12 -3.44 -6.61 2.13 8.07

Custom Truck One Source 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 0.41 -7.71 23.22 8.07 37.04

Competitive Comparison of Custom Truck One Source's Degree of Operating Leverage

For the Rental & Leasing Services subindustry, Custom Truck One Source'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.


Custom Truck One Source's Degree of Operating Leverage Distribution in the Business Services Industry

For the Business Services industry and Industrials sector, Custom Truck One Source's Degree of Operating Leverage distribution charts can be found below:

* The bar in red indicates where Custom Truck One Source's Degree of Operating Leverage falls into.


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Custom Truck One Source Degree of Operating Leverage Calculation

Custom Truck One Source'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
=( 129.707 (Mar. 2025) / 167.184 (Mar. 2024) - 1 )/( 1813.205 (Mar. 2025) / 1824.244 (Mar. 2024) - 1 )
=-0.2242/-0.0061
=37.04***

* 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.


Custom Truck One Source  (NYSE:CTOS) 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.


Custom Truck One Source Degree of Operating Leverage Related Terms

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


Custom Truck One Source Business Description

Traded in Other Exchanges
N/A
Address
7701 Independence Avenue, Kansas, MO, USA, 64125
Custom Truck One Source Inc is a one-stop-shop provider of specialty equipment in the electric utility transmission and distribution, forestry, telecom, waste management, rail, and infrastructure end-markets in North America. The company's segment includes Equipment Rental Solutions (ERS), Truck and Equipment Sales (TES), and Aftermarket Parts and Services (APS). It generates maximum revenue from the TES segment. Geographically, it derives a majority revenue from the United States.
Executives
Platinum Equity Llc 10 percent owner 360 NORTH CRESCENT DRIVE, BEVERLY HILLS CA 90210
Pe One Source Holdings, Llc 10 percent owner 360 N. CRESCENT DRIVE, SOUTH BUILDING, BEVERLY HILLS CA 09210
Nesco Holdings, Lp 10 percent owner 51 JOHN F. KENNEDY PARKWAY, SUITE 200, SHORT HILLS NJ 07078
Ecp Controlco, Llc 10 percent owner 40 BEECHWOOD ROAD, SUMMIT NJ 07901
Energy Capital Partners Management, Lp 10 percent owner 51 JOHN F. KENNEDY PARKWAY, SUITE 200, SHORT HILLS NJ 07078
Joe P. Ross officer: President - Sales C/O NESCO HOLDINGS, INC., 6714 POINTE INVERNESS WAY, SUITE 220, FORT WAYNE IN 46804
Thomas R. Rich officer: EVP - Rentals C/O NESCO HOLDINGS, INC., 6714 POINTE INVERNESS WAY, SUITE 220, FORT WAYNE IN 46804
Marshall Heinberg director 1 CORPORATE AVENUE, ROWVILLE C3 3178
Georgia R Nelson director C/O TOWER AUTOMOTIVE INC, 27175 HAGGERTY ROAD, NOVI MI 48377-3626
Ryan Mcmonagle officer: President, COO C/O NESCO HOLDINGS, INC., 6714 POINTE INVERNESS WAY, SUITE 220, FORT WAYNE IN 46804
Raymond Todd Barrett officer: Chief Accounting Officer 6714 POINT INVERNESS WAY, STE 220, FORT WAYNE IN 46804
Christopher J Eperjesy officer: Chief Financial Officer 505 HIGHWAY 169 NORTH, PLYMOUTH MN 55441
Mark Ein director, 10 percent owner, officer: Chairman and CEO
Paul M Jolas officer: EVP, General Counsel & Sec 331 N. MAIN ST., EULESS TX 76039
Mary M. Jackson director 7799 LEESBURG PIKE, SUITE 300 NORTH, FALLS CHURCH VA 22043