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DVNCF (Danavation Technologies) Degree of Operating Leverage : 0.00 (As of Jan. 2024)


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What is Danavation Technologies Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Danavation Technologies's Degree of Operating Leverage for the quarter that ended in Jan. 2024 was 0.00. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

DVNCF's Degree of Operating Leverage is not ranked *
in the Software industry.
Industry Median: 0.785
* Ranked among companies with meaningful Degree of Operating Leverage only.

Danavation Technologies Degree of Operating Leverage Historical Data

The historical data trend for Danavation Technologies'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.

Danavation Technologies Degree of Operating Leverage Chart

Danavation Technologies Annual Data
Trend Dec19 Jul20 Jul21 Jul22 Jul23
Degree of Operating Leverage
- - - 0.28 -0.39

Danavation Technologies Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24
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 -0.08 -0.18 -0.39 -0.73 0.76

Competitive Comparison of Danavation Technologies's Degree of Operating Leverage

For the Software - Application subindustry, Danavation Technologies'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.


Danavation Technologies's Degree of Operating Leverage Distribution in the Software Industry

For the Software industry and Technology sector, Danavation Technologies's Degree of Operating Leverage distribution charts can be found below:

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


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Danavation Technologies Degree of Operating Leverage Calculation

Danavation Technologies's Degree of Operating Leverage for the quarter that ended in Jan. 2024 is calculated as:

Degree of Operating Leverage=% Change in EBIT**/% Change in Revenue
=( -2.596 (Jan. 2024) / -3.115 (Jan. 2023) - 1 )/( 1.139 (Jan. 2024) / 1.439 (Jan. 2023) - 1 )
=-0.1666/-0.2085
=0.80***

* 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.


Danavation Technologies  (OTCPK:DVNCF) 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.


Danavation Technologies Degree of Operating Leverage Related Terms

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Danavation Technologies Business Description

Traded in Other Exchanges
N/A
Address
21 Roybridge Gate, Woodbridge, Vaughan, ON, CAN, L4H 1E6
Danavation Technologies Corp is an internet of things(IoT) technology company, that provides micro e-paper displays to organizations across North America. The company's Digital Smart Labels, powered by IoT automation technology and software Platform-as-a-Service, enables companies across various sectors to automate labelling, price, product, and promotions in real-time, enhancing data accuracy and improving performance by removing high labour costs and low productivity associated with traditional labour-intensive workflows. The primary revenue streams are; Hardware, Installation and configuration and Software agreements.