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DERM (Journey Medical) Degree of Operating Leverage : -2.31 (As of Sep. 2024)


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What is Journey Medical Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Journey Medical's Degree of Operating Leverage for the quarter that ended in Sep. 2024 was -2.31. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

DERM's Degree of Operating Leverage is ranked better than
76.46% of 956 companies
in the Drug Manufacturers industry
Industry Median: 0.875 vs DERM: -2.31

Journey Medical Degree of Operating Leverage Historical Data

The historical data trend for Journey Medical'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.

Journey Medical Degree of Operating Leverage Chart

Journey Medical Annual Data
Trend Dec19 Dec20 Dec21 Dec22 Dec23
Degree of Operating Leverage
- - -8.04 -1.32 -12.43

Journey Medical Quarterly Data
Dec19 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
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 -10.14 -12.43 -3.36 -4.05 -2.31

Competitive Comparison of Journey Medical's Degree of Operating Leverage

For the Drug Manufacturers - Specialty & Generic subindustry, Journey Medical'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.


Journey Medical's Degree of Operating Leverage Distribution in the Drug Manufacturers Industry

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

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



Journey Medical Degree of Operating Leverage Calculation

Journey Medical's Degree of Operating Leverage for the quarter that ended in Sep. 2024 is calculated as:

Degree of Operating Leverage=% Change in EBIT**/% Change in Revenue
=( -16.317 (Sep. 2024) / -9.953 (Sep. 2023) - 1 )/( 57.771 (Sep. 2024) / 79.89 (Sep. 2023) - 1 )
=0.6394/-0.2769
=-2.31***

* 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.


Journey Medical  (NAS:DERM) 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.


Journey Medical Degree of Operating Leverage Related Terms

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Journey Medical Business Description

Traded in Other Exchanges
N/A
Address
9237 E Via de Ventura Boulevard, Suite 105, Scottsdale, AZ, USA, 85258
Journey Medical Corp is a commercial stage pharmaceutical company focused on the development and commercialization of pharmaceutical products for the treatment of dermatological conditions. The company's portfolio includes eight branded and three authorized generic prescription drugs for dermatological conditions that are marketed in the United States. Some of the group's products are Qbrexza, Accutane, Amzeeq, Exelderm and others.
Executives
Joseph Benesch officer: Interim CFO C/O TELIGENT, 105 LINCOLN AVENUE, BUENA NJ 08310
Rosenwald Lindsay A Md director 375 PARK AVE, NEW YORK NY 10152
Claude Maraoui director, officer: President & CEO C/O JOURNEY MEDICAL CORPORATION, 9237 E VIA DE VENTURA BLVD., SUITE 105, SCOTTSDALE AZ 85258
Justin Adam Smith director C/O JOURNEY MEDICAL CORPORATION, 9237 E VIA DE VENTURA BLVD., SUITE 105, SCOTTSDALE AZ 85258
Jeffrey Paley director C/O RETROPHIN INC., 777 THIRD AVENUE, 22ND FLOOR, NEW YORK NY 10017
De Paolantonio Ernest Robert officer: Chief Financial Officer 4131 PARKLAKE AVENUE SUITE 225, RALEIGH NC 27612
Neil Herskowitz director 2109 BROADWAY, SUITE 206, NEW YORK NY 10023
Miranda Jayne Toledano director C/O COMPASS THERAPEUTICS, INC., 80 GUEST STREET, SUITE 601, BOSTON MA 02135