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ERNA (Ernexa Therapeutics) Degree of Operating Leverage : 0.18 (As of Mar. 2025)


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What is Ernexa Therapeutics Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Ernexa Therapeutics's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was 0.18. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

ERNA's Degree of Operating Leverage is ranked worse than
55.34% of 880 companies
in the Biotechnology industry
Industry Median: -0.02 vs ERNA: 0.18

Ernexa Therapeutics Degree of Operating Leverage Historical Data

The historical data trend for Ernexa Therapeutics'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.

Ernexa Therapeutics Degree of Operating Leverage Chart

Ernexa Therapeutics Annual Data
Trend Dec20 Dec21 Dec22 Dec23 Dec24
Degree of Operating Leverage
- - - - 0.11

Ernexa Therapeutics 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 - - 0.10 0.11 0.18

Competitive Comparison of Ernexa Therapeutics's Degree of Operating Leverage

For the Biotechnology subindustry, Ernexa Therapeutics'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.


Ernexa Therapeutics's Degree of Operating Leverage Distribution in the Biotechnology Industry

For the Biotechnology industry and Healthcare sector, Ernexa Therapeutics's Degree of Operating Leverage distribution charts can be found below:

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


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Ernexa Therapeutics Degree of Operating Leverage Calculation

Ernexa Therapeutics'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
=( -34.63 (Mar. 2025) / -20.993 (Mar. 2024) - 1 )/( 0.535 (Mar. 2025) / 0.115 (Mar. 2024) - 1 )
=0.6496/3.6522
=0.18***

* 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.


Ernexa Therapeutics  (NAS:ERNA) 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.


Ernexa Therapeutics Degree of Operating Leverage Related Terms

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Ernexa Therapeutics Business Description

Traded in Other Exchanges
N/A
Address
1035 Cambridge Street, Suite 18A, Cambridge, MA, USA, 02141
Ernexa Therapeutics Inc is a biotechnology company. The company develops transformational new medicines using various cell engineering technologies for cancer and autoimmune diseases. The proprietary technology of the company transforms induced pluripotent stem cells (iPSCs) into induced mesenchymal stem cells (iMSCs), offering potential off-the-shelf treatment solutions without the need for patient-specific cell harvesting.
Executives
Charles Cherington 10 percent owner ONE BOW STREET, CAMBRIDGE MA 02138
Dorothy J Clarke director C/O ETERNA THERAPEUTICS INC., 1035 CAMBRIDGE STREET, STE. 18A, CAMBRIDGE MA 02141
Brant Binder director C/O TRUST CO OF THE SWEST, 200 PARK AVE SUITE 220, NEW YORK NY 01066
Richard W Wagner director C/O PRAECIS PHARMACEUTICALS INC, 830 WINTER ST, WALTHAM MA 02451
Curtis W Huft 10 percent owner 4510 LAMESA HWY, SNYDER TX 79549
Freebird Partners Lp 10 percent owner 2800 POST OAK BLVD., SUITE 2000, HOUSTON TX 77056
Freebird Investments Llc 10 percent owner 2800 POST OAK BLVD., SUITE 2000, HOUSTON TX 77056
John D Halpern 10 percent owner
Nicholas Jason Singer director 1395 BRICKELL AVENUE, SUITE 800, MIAMI FL 33131
William A. Wexler director 12 GILL STREET, SUITE 4650, WOBURN MA 01801
Gregory Fiore director 10355 SCIENCE CENTER DRIVE, SUITE 150, SAN DIEGO CA 92121
Andrew C. Jackson officer: Chief Financial Officer 11988 EL CAMINO REAL STE. 650, SAN DIEGO CA 92130
Matthew Angel officer: Interim President and CEO 10531 4S COMMONS DRIVE, SUITE 160-550, SAN DIEGO CA 92127
Heather B Redman director TWO NORTH NINTH STREET, ALLENTOWN PA 18101
Erin S. Enright director 666 PLAINSBORO ROAD, PLAINSBORO NJ 08536