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DGII (Digi International) Degree of Operating Leverage : -11.30 (As of Mar. 2025)


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What is Digi International Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Digi International's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was -11.30. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

DGII's Degree of Operating Leverage is ranked better than
88.81% of 2413 companies
in the Hardware industry
Industry Median: 1.02 vs DGII: -11.30

Digi International Degree of Operating Leverage Historical Data

The historical data trend for Digi International'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.

Digi International Degree of Operating Leverage Chart

Digi International Annual Data
Trend Sep15 Sep16 Sep17 Sep18 Sep19 Sep20 Sep21 Sep22 Sep23 Sep24
Degree of Operating Leverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only -0.17 -0.58 10.47 2.09 5.07

Digi International 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 -14.53 18.95 5.07 -4.79 -11.30

Competitive Comparison of Digi International's Degree of Operating Leverage

For the Communication Equipment subindustry, Digi International'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.


Digi International's Degree of Operating Leverage Distribution in the Hardware Industry

For the Hardware industry and Technology sector, Digi International's Degree of Operating Leverage distribution charts can be found below:

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


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Digi International Degree of Operating Leverage Calculation

Digi International'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
=( 54.843 (Mar. 2025) / 36.456 (Mar. 2024) - 1 )/( 418.624 (Mar. 2025) / 438.19 (Mar. 2024) - 1 )
=0.5044/-0.0447
=-11.30***

* 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.


Digi International  (NAS:DGII) 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.


Digi International Degree of Operating Leverage Related Terms

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Digi International Business Description

Traded in Other Exchanges
Address
9350 Excelsior Boulevard, Suite 700, Hopkins, MN, USA, 55343
Digi International Inc is a Minnesota corporation. The company provides business and mission-critical and Internet of Things (IoT) connectivity products and services. It has two segments: IoT Products and Services and IoT Solutions. The IoT Products and Services segment consists of distinct communications products and communication product development services. IoT Solutions segment offers wireless temperature and other environmental condition monitoring services as well as employee task management services. The company generates majority of its revenue from the IoT Products & Services segment. Geographically, the company generates majority of its revenue from its business in the United States and also has its presence in Europe, Middle East and Africa and Rest of the world.
Executives
Terrence G. Schneider officer: VP, Supply Chain 9350 EXCELSIOR BLVD, SUITE 700, HOPKINS MN 55343
Satbir Khanuja director 9350 EXCELSIOR BLVD, HOPKINS MN 55343
David H. Sampsell officer: VP, Corp. Dev, GC & Corp. Sec. 9350 EXCELSIOR BLVD, HOPKINS MN 55343
Hatem H. Naguib director 9350 EXCELSIOR BLVD, SUITE 700, HOPKINS MN 55343
James J. Loch officer: Chief Financial Officer 9350 EXCELSIOR BLVD, SUITE 700, HOPKINS MN 55343
Ronald Konezny director, officer: President and CEO C/O DIGI INTERNATIONAL INC., 9350 EXCELSIOR BLVD, SUITE 700, HOPKINS MN 55343
Radha Chavali officer: VP, Technology Services 9350 EXCELSIOR BLVD, SUITE 700, HOPKINS MN 55343
Tracy L. Roberts officer: VP, Technology Services 9350 EXCELSIOR BLVD, HOPKINS MN 55343
Kevin C. Riley officer: President, Digi SmartSense 9350 EXCELSIOR BLVD, SUITE 700, HOPKINS MN 55343
Michael A. Ueland officer: President of Products 216 BRIDLE CREEK DRIVE, CARY NC 27513
Jon A. Nyland officer: VP, Manufacturing Operations 11001 BREN ROAD EAST, MINNETONKA MN 55343
Brian G. Ballenger officer: VP Fin, Acting PFO & PAO 9350 EXCELSIOR BLVD, SUITE 700, HOPKINS MN 55343
Ahmed Nawaz director 1110 AMERICAN PARKWAY NE, ALLENTOWN PA 18109
Gokul V Hemmady officer: Senior VP/CFO/Treasurer P.O. BOX 1101, MS067, MINNEAPOLIS MN 55440-1101
Christopher Heim director C/O DIGI INTERNATIONAL INC., 9350 EXCELSIOR BLVD, SUITE 700, HOPKINS MN 55343