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DXYN (The Dixie Group) Degree of Operating Leverage : 50.95 (As of Mar. 2025)


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What is The Dixie Group Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. The Dixie Group's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was 50.95. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

DXYN's Degree of Operating Leverage is ranked worse than
95.44% of 1009 companies
in the Manufacturing - Apparel & Accessories industry
Industry Median: 1.04 vs DXYN: 50.95

The Dixie Group Degree of Operating Leverage Historical Data

The historical data trend for The Dixie Group'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.

The Dixie Group Degree of Operating Leverage Chart

The Dixie Group 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 5.17 -17.12 34.56 13.32 50.53

The Dixie Group 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 18.43 29.36 28.05 50.53 50.95

Competitive Comparison of The Dixie Group's Degree of Operating Leverage

For the Textile Manufacturing subindustry, The Dixie Group'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.


The Dixie Group's Degree of Operating Leverage Distribution in the Manufacturing - Apparel & Accessories Industry

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

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


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The Dixie Group Degree of Operating Leverage Calculation

The Dixie Group'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
=( -5.073 (Mar. 2025) / 4.296 (Mar. 2024) - 1 )/( 262.762 (Mar. 2025) / 274.513 (Mar. 2024) - 1 )
=-2.1809/-0.0428
=50.95***

* 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.


The Dixie Group  (OTCPK:DXYN) 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.


The Dixie Group Degree of Operating Leverage Related Terms

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


The Dixie Group Business Description

Traded in Other Exchanges
N/A
Address
475 Reed Road, Dalton, GA, USA, 30720
The Dixie Group Inc is a carpet and rug mills company. Its businesses consist principally of marketing, manufacturing, and selling finished carpets, rugs, and luxury vinyl tile in the domestic floor covering market. The company has one reportable segment, Floor covering. The company sells floor covering products in both residential applications. Its business is concentrated in areas of the soft floor covering market segment. The company provides its products under the brands of Fabrica, Masland Residential, Dixie Home, Atlas Carpet Mills, and Masland Contract. The company generates revenue from Residential floor covering products and Other services.
Executives
Lowry F Kline director PO BOX 2007, DALTON GA 30722
Allen L Danzey officer: Chief Financial Officer PO BOX 2007, DALTON GA 30722-2007
Frierson Daniel K Jr officer: President, Masland Residential PO BOX 2007, DALTON GA 30722
Jon A Faulkner officer: VP Planning & Development PO BOX 2007, DALTON GA 30722
Daniel K Frierson director, 10 percent owner, officer: Chairman of the Board & CEO PO BOX 2007, DALTON GA 30722
W Derek Davis officer: VP - Human Resources PO BOX 2007, DALTON GA 30722
Murrey John W Iii director 4100 COCA-COLA PLAZA, CHARLOTTE NC 28211
Thomas Martin Nuckols officer: Executive Vice President 475 REED ROAD, DALTON GA 30720
Blue William F Jr director PO BOX 2007, DALTON GA 30722
David E Hobbs officer: VP - Pres Masland Contract 716 BILL MYLES DRIVE, SARALAND AL 36571
Paul B Comiskey officer: Vice Pres/President Dixie Home PO BOX 2007, DALTON GA 30722
D Eugene Lasater officer: Controller 2208 S. HAMILTON STREET, DALTON GA 30721
Starr T Klein officer: Secretary PO BOX 25107, CHATTANOOGA TN 37422-5107
Michael L. Owens director PO BOX 2007, DALTON GA 30722
Vinson Lee Martin officer: VP-President Masland Contract 716 BILL MYLES DRIVE, SARALAND AL 36571

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