GURUFOCUS.COM » STOCK LIST » Consumer Cyclical » Manufacturing - Apparel & Accessories » Designer Brands Inc (NYSE:DBI) » Definitions » Degree of Operating Leverage

DBI (Designer Brands) Degree of Operating Leverage : 16.49 (As of Apr. 2025)


View and export this data going back to 2005. Start your Free Trial

What is Designer Brands Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Designer Brands's Degree of Operating Leverage for the quarter that ended in Apr. 2025 was 16.49. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

DBI's Degree of Operating Leverage is ranked worse than
93.39% of 1013 companies
in the Manufacturing - Apparel & Accessories industry
Industry Median: 1.08 vs DBI: 16.49

Designer Brands Degree of Operating Leverage Historical Data

The historical data trend for Designer Brands'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.

Designer Brands Degree of Operating Leverage Chart

Designer Brands Annual Data
Trend Jan16 Jan17 Jan18 Jan19 Jan20 Jan21 Jan22 Jan23 Jan24 Jan25
Degree of Operating Leverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 15.55 -3.14 -4.00 8.01 23.96

Designer Brands Quarterly Data
Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24 Apr24 Jul24 Oct24 Jan25 Apr25
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 12.88 24.91 76.66 23.96 16.49

Competitive Comparison of Designer Brands's Degree of Operating Leverage

For the Footwear & Accessories subindustry, Designer Brands'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.


Designer Brands's Degree of Operating Leverage Distribution in the Manufacturing - Apparel & Accessories Industry

For the Manufacturing - Apparel & Accessories industry and Consumer Cyclical sector, Designer Brands's Degree of Operating Leverage distribution charts can be found below:

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


;
;

Designer Brands Degree of Operating Leverage Calculation

Designer Brands's Degree of Operating Leverage for the quarter that ended in Apr. 2025 is calculated as:

Degree of Operating Leverage=% Change in EBIT**/% Change in Revenue
=( 19.216 (Apr. 2025) / 63.153 (Apr. 2024) - 1 )/( 2949.575 (Apr. 2025) / 3079.49 (Apr. 2024) - 1 )
=-0.6957/-0.0422
=16.49***

* 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.


Designer Brands  (NYSE:DBI) 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.


Designer Brands Degree of Operating Leverage Related Terms

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


Designer Brands Business Description

Traded in Other Exchanges
Address
810 DSW Drive, Columbus, OH, USA, 43219
Designer Brands Inc is a designer, producer, and retailer of footwear and accessories. The company operates in three reportable segments: the U.S. Retail segment, the Canada Retail segment and the Brand Portfolio segment. The U.S. Retail segment operates the DSW Designer Shoe Warehouse banner through its direct-to-consumer U.S. stores and e-commerce site. The Canada Retail segment operates The Shoe Company and DSW banners through its direct-to-consumer Canada stores and e-commerce sites. The Brand Portfolio segment earns revenue from the sale of wholesale products to retailers, commissions for serving retailers as the design and buying agent for products under private labels, and the sale of branded products through its direct-to-consumer e-commerce sites.
Executives
Mary Turner officer: EVP; President, Shoe Company 810 DSW DRIVE, COLUMBUS OH 43219
Mark Haley officer: SVP, Controller & PAO 4055 TECHNOLOGY FOREST BLVD., STE. 210, THE WOODLANDS TX 77381
Harvey L Sonnenberg other: Director Nominee 399 THORNALL STREET, EDISON NJ 08837
Jared A. Poff officer: SVP, Finance & Interim CFO DSW INC., 810 DSW DRIVE, COLUMBUS OH 43219
Deborah L Ferree officer: Pres. & Chief Mdsing Officer 4150 EAST FIFTH AVE., COLUMBUS OH 43219
William L Jordan officer: SVP, General Counsel 810 DSW DRIVE, COLUMBUS OH 43219
James S. Weinberg officer: EVP; Chief Merchandising Ofcr 810 DSW DR,, COLUMBUS OH 43219
Laura Denk officer: EVP;Pres DSW Designer ShoeWhse 810 DSW DRIVE, COLUMBUS OH 43219
Tami Fersko director 810 DSW DRIVE, COLUMBUS OH 43219
Richard A. Paul director 80 PINE STREET, SUITE 3202, NEW YORK NY 10005
Joanne Zaiac director DSW INC., 810 DSW DRIVE, COLUMBUS OH 43219
Joanna T Lau director 30 MONUMENT SQUARE, SUITE 220, CONCORD MA 01742
Douglas M. Howe officer: EVP, President of DSW N56 W17000 RIDGEWOOD DRIVE, MENOMONEE FALLS WI 53051-5660
Jay L Schottenstein director, 10 percent owner, officer: Chairman and CEO 1800 MOLER ROAD, COLUMBUS OH 43207
Joseph A. Schottenstein director 4300 EAST FIFTH AVENUE, COLUMBUS OH 43219