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ESTA (Establishment Labs Holdings) Degree of Operating Leverage : -0.14 (As of Mar. 2025)


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What is Establishment Labs Holdings Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Establishment Labs Holdings's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was -0.14. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

ESTA's Degree of Operating Leverage is ranked better than
61.45% of 799 companies
in the Medical Devices & Instruments industry
Industry Median: 0.59 vs ESTA: -0.14

Establishment Labs Holdings Degree of Operating Leverage Historical Data

The historical data trend for Establishment Labs Holdings'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.

Establishment Labs Holdings Degree of Operating Leverage Chart

Establishment Labs Holdings Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Degree of Operating Leverage
Get a 7-Day Free Trial Premium Member Only 0.11 0.14 3.59 1.63 1.82

Establishment Labs Holdings 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 -0.38 -3.47 0.33 1.82 -0.14

Competitive Comparison of Establishment Labs Holdings's Degree of Operating Leverage

For the Medical Devices subindustry, Establishment Labs Holdings'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.


Establishment Labs Holdings's Degree of Operating Leverage Distribution in the Medical Devices & Instruments Industry

For the Medical Devices & Instruments industry and Healthcare sector, Establishment Labs Holdings's Degree of Operating Leverage distribution charts can be found below:

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


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Establishment Labs Holdings Degree of Operating Leverage Calculation

Establishment Labs Holdings'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
=( -66.359 (Mar. 2025) / -67.217 (Mar. 2024) - 1 )/( 170.235 (Mar. 2025) / 155.794 (Mar. 2024) - 1 )
=-0.0128/0.0927
=-0.14***

* 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.


Establishment Labs Holdings  (NAS:ESTA) 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.


Establishment Labs Holdings Degree of Operating Leverage Related Terms

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


Establishment Labs Holdings Business Description

Traded in Other Exchanges
Address
Coyol Free Zone, Building B15 and 25, Alajuela, CRI
Establishment Labs Holdings Inc is a medical technology company engaged in offering medical devices and aesthetic products. It is involved in the designing, manufacturing, and marketing of silicone-filled breast and body-shaping implants. The company markets its products under Motiva implants Brand. It distributes its products to medical distributors; and physicians, hospitals, and clinics in the form of direct sales. Its geographical segments are Europe, Latin America, Asia-Pacific/Middle East, and Others.
Executives
Jw Asset Management, Llc 10 percent owner, other: See Footnote(1) 1051 N VENETIAN DRIVE, MIAMI BEACH FL 33139
Chacon Quiros Juan Jose director, officer: Chief Executive Officer C/O MOTIVA USA LLC, 16192 COASTAL HIGHWAY, LEWES DE 19958
Nicholas Sheridan Lewin director, 10 percent owner 3 WEST 57TH ST., 8TH FLOOR, NEW YORK NY 10019
Raj Denhoy officer: Chief Financial Officer C/O MOTIVA USA, LLC, 16192 COASTAL HIGHWAY, LEWES DE 19958
Dennis E Condon director 811 ALSTON RD, SANTA BARBARA CA 93108
Leslie Gillin director C/O MOTIVA USA, LLC, 16192 COASTAL HIGHWAY, LEWES DE 19958
Paul D. Rodio officer: Chief Operating Officer C/O MOTIVA USA LLC, 16192 COASTAL HIGHWAY, LEWES DE 19958
Samuel Ross Mansbach other: GC & Chief Compliance Officer C/O MOTIVA USA LLC, 16192 COASTAL HIGHWAY, LEWES DE 19958
Bryan Slotkin director C/O MOTIVA USA,.LLC, 16192 COASTAL HIGHWAY, LEWES DE 19958
Ann Custin director C/O MOTIVA USA, LLC, 16192 COASTAL HIGHWAY, LEWES DE 19958
Edward J Schutter director C/O FIRST HORIZON PHARMACEUTICAL CORP, 6195 SHILOH ROAD, ALPHARETTA GA 30005
Lisa Gersh director C/O HASBRO, INC., 1011 NEWPORT AVENUE, PAWTUCKET RI 02861
Mezerville Roberto De officer: Chief Technology Officer C/O MOTIVA USA LLC, 16192 COASTAL HIGHWAY, LEWES DE 19958
Renee Gaeta officer: Chief Financial Officer C/O MOTIVA USA LLC, 16192 COASTAL HIGHWAY, LEWES DE 19958
Pratip Dastidar officer: Head of Global Operations 150 PEABODY PLACE, MEMPHIS TN 38103