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CVSI (CV Sciences) Degree of Operating Leverage : 13.98 (As of Mar. 2025)


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What is CV Sciences Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. CV Sciences's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was 13.98. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

CVSI's Degree of Operating Leverage is ranked worse than
89.71% of 952 companies
in the Drug Manufacturers industry
Industry Median: 0.62 vs CVSI: 13.98

CV Sciences Degree of Operating Leverage Historical Data

The historical data trend for CV Sciences'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.

CV Sciences Degree of Operating Leverage Chart

CV Sciences 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 -0.57 1.75 2.91 120.19 88.41

CV Sciences 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 2,660.25 -353.35 76.63 88.41 13.98

Competitive Comparison of CV Sciences's Degree of Operating Leverage

For the Drug Manufacturers - Specialty & Generic subindustry, CV Sciences'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.


CV Sciences's Degree of Operating Leverage Distribution in the Drug Manufacturers Industry

For the Drug Manufacturers industry and Healthcare sector, CV Sciences's Degree of Operating Leverage distribution charts can be found below:

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


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CV Sciences Degree of Operating Leverage Calculation

CV Sciences'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
=( -1.559 (Mar. 2025) / -3.022 (Mar. 2024) - 1 )/( 15.309 (Mar. 2025) / 15.858 (Mar. 2024) - 1 )
=-0.4841/-0.0346
=13.98***

* 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.


CV Sciences  (OTCPK:CVSI) 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.


CV Sciences Degree of Operating Leverage Related Terms

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


CV Sciences Business Description

Traded in Other Exchanges
N/A
Address
9530 Padgett Street, Suite 107, San Diego, CA, USA, 92126
CV Sciences Inc develops, manufactures, markets, and sells herbal supplements and hemp-based cannabidiol. The Company sells its products under tradenames, such as +PlusCBD, PlusCBD Pet, lusHLTH, Cultured Foods, and Lunar Fox. The Company's products are sold in a variety of market sectors, including nutraceutical, beauty care, and specialty foods. The company's hemp-based products are predominantly sold in Europe and in the retail space. The company generates revenue from Retail Sales and E-Commerce sales of its product.
Executives
William Mccorkle director 10070 BARNES CANYON ROAD, SAN DIEGO CA 92121
Corroon James Michael Jr. director 9530 PADGETT STREET, SUITE 107, SAN DIEGO CA 92126
Maroon Joseph C Md director 2688 S. RAINBOW BLVD., SUITE B, LAS VEGAS NV 89146
Mona Michael Joseph Jr director 2688 SOUTH RAINBOW BOULEVARD, SUITE B, LAS VEGAS NV 89146
Paul Blake director 145 BRANDYWINE PKWY, WEST CHESTER PA 19380
Douglas Jesse Mackay officer: Sr VP Scientific/Regulatory 10070 BARNES CANYON ROAD, SAN DIEGO CA 92121
Joseph D Dowling officer: Chief Financial Officer 2688 SOUTH RAINBOW BOULEVARD, SUITE B, LAS VEGAS NV 89146
Joerg Grasser officer: CFO 2688 SOUTH RAINBOW BLVD STE B, LAS VEGAS NV 89146
Elizabeth Ann Altman director 10070 BARNES CANYON ROAD, SAN DIEGO CA 92121
Terri F Graham director C/O JACK IN THE BOX INC, 9330 BALVOA AVE, SAN DIEGO CA 92123
Stephen Martin Schmitz director 2688 SOUTH RAINBOW BOULEVARD, SUITE B, LAS VEGAS NV 89146
Gary Sligar director 2688 SOUTH RAINBOW BOULEVARD, SUITE B, LAS VEGAS NV 89146
James A Mcnulty director C/O CV SCIENCES, INC., 2688 S. RAINBOW BLVD., SUITE B, LAS VEGAS NV 89146
Larry Phillip Raskin director 1630 FUNNY CIDE DRIVE, WAXHAW NC 28173
Mackay Ventures Inc. other: Member 10% holding group 6325 S. JONES BOULEVARD #500, LAS VEGAS NV 89118