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Ennis (EBF) Degree of Operating Leverage : 1.34 (As of Feb. 2025)


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What is Ennis Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Ennis's Degree of Operating Leverage for the quarter that ended in Feb. 2025 was 1.34. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

EBF's Degree of Operating Leverage is ranked worse than
53.74% of 2925 companies
in the Industrial Products industry
Industry Median: 1.1 vs EBF: 1.34

Ennis Degree of Operating Leverage Historical Data

The historical data trend for Ennis'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.

Ennis Degree of Operating Leverage Chart

Ennis Annual Data
Trend Feb16 Feb17 Feb18 Feb19 Feb20 Feb21 Feb22 Feb23 Feb24 Feb25
Degree of Operating Leverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1.95 2.21 5.48 2.29 1.34

Ennis Quarterly Data
May20 Aug20 Nov20 Feb21 May21 Aug21 Nov21 Feb22 May22 Aug22 Nov22 Feb23 May23 Aug23 Nov23 Feb24 May24 Aug24 Nov24 Feb25
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 2.29 1.58 1.16 0.38 1.34

Competitive Comparison of Ennis's Degree of Operating Leverage

For the Business Equipment & Supplies subindustry, Ennis'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.


Ennis's Degree of Operating Leverage Distribution in the Industrial Products Industry

For the Industrial Products industry and Industrials sector, Ennis's Degree of Operating Leverage distribution charts can be found below:

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


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Ennis Degree of Operating Leverage Calculation

Ennis's Degree of Operating Leverage for the quarter that ended in Feb. 2025 is calculated as:

Degree of Operating Leverage=% Change in EBIT**/% Change in Revenue
=( 51.916 (Feb. 2025) / 56.512 (Feb. 2024) - 1 )/( 394.618 (Feb. 2025) / 420.109 (Feb. 2024) - 1 )
=-0.0813/-0.0607
=1.34***

* 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.


Ennis  (NYSE:EBF) 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.


Ennis Degree of Operating Leverage Related Terms

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


Ennis Business Description

Industry
Traded in Other Exchanges
N/A
Address
2441 Presidential Parkway, Midlothian, TX, USA, 76065
Ennis Inc is a manufacturer and supplier of print products for the wholesale trade. The company's products include advertising specialities, business forms and supplies, commercial printing, eCommerce solutions, envelopes, labels and tags, and folders and packaging. Its products include snap sets, continuous forms, laser cut sheets, tags, labels, envelopes, integrated products, jumbo rolls, and pressure-sensitive products in short, medium and long runs under the following labels: Ennis, Royal Business Forms, Block Graphics, 360º Custom LabelsSM, ColorWorx, Enfusion, among others.
Executives
Vera Burnett officer: Interim CFO 2441 PRESIDENTIAL PARKWAY, MIDLOTHIAN TX 76065
Michael J Schaefer director 611 MEADOWVIEW LANE, COPPELL TX 75019
Alejandro Quiroz director 18943 DE ENCLAVE, SAN ANTONIO TX 78258
Daniel Gus officer: General Counsel & Asst. Secy. 2441 PRESIDENTIAL PARKWAY, MIDLOTHIAN TX 76065
Robert T Pennington officer: Chief Revenue Officer 2441 PRESIDENTIAL PARKWAY, MIDLOTHIAN TX 76065
Boyne Wade Brewer officer: Chief Operating Officer 2441 PRESIDENTIAL PARKWAY, MIDLOTHIAN TX 76065
Margaret A Walters director 2441 PRESIDENTIAL PARKWAY, MIDLOTHIAN TX 76065
Barbara T Clemens director 12024 BEAUTYBRUSH, BEE CAVE TX 78738
Aaron Carter director 2502 GARRETT COURT, CEDAR HILL TX 75104
Michael D Magill officer: Exec VP and Treasurer 2441 PRESIDENTIAL PARKWAY, MIDLOTHIAN TX 76065
Gary S Mozina director 27300 HIDDEN RIVER COURT, BONITA SPRINGS FL 34134
Troy L Priddy director 2206 SHANE DRIVE, MIDLOTHIAN TX 76065
John R Blind director 316 LAKE STILLWATER DRIVE, SAINT SIMONS ISLAND GA 31522
Kenneth G Pritchett director 4470 E. HIGHWAY 287, SUITE 800, MIDLOTHIAN TX 76065
Keith S Walters director, officer: Chairman, President and CEO 2441 PRESIDENTIAL PARKWAY, MIDLOTHIAN TX 76065