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ETON (Eton Pharmaceuticals) Degree of Operating Leverage : -12.68 (As of Mar. 2025)


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What is Eton Pharmaceuticals Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Eton Pharmaceuticals's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was -12.68. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

ETON's Degree of Operating Leverage is ranked better than
88.01% of 951 companies
in the Drug Manufacturers industry
Industry Median: 0.65 vs ETON: -12.68

Eton Pharmaceuticals Degree of Operating Leverage Historical Data

The historical data trend for Eton Pharmaceuticals'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.

Eton Pharmaceuticals Degree of Operating Leverage Chart

Eton Pharmaceuticals Annual Data
Trend Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Degree of Operating Leverage
Get a 7-Day Free Trial -0.48 - -170.04 -1.75 5.06

Eton Pharmaceuticals 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 -2.69 -287.26 -57.85 5.06 -12.68

Competitive Comparison of Eton Pharmaceuticals's Degree of Operating Leverage

For the Drug Manufacturers - Specialty & Generic subindustry, Eton Pharmaceuticals'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.


Eton Pharmaceuticals's Degree of Operating Leverage Distribution in the Drug Manufacturers Industry

For the Drug Manufacturers industry and Healthcare sector, Eton Pharmaceuticals's Degree of Operating Leverage distribution charts can be found below:

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


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Eton Pharmaceuticals Degree of Operating Leverage Calculation

Eton Pharmaceuticals'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
=( -2.267 (Mar. 2025) / 0.542 (Mar. 2024) - 1 )/( 48.327 (Mar. 2025) / 34.304 (Mar. 2024) - 1 )
=-5.1827/0.4088
=-12.68***

* 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.


Eton Pharmaceuticals  (NAS:ETON) 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.


Eton Pharmaceuticals Degree of Operating Leverage Related Terms

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Eton Pharmaceuticals Business Description

Traded in Other Exchanges
N/A
Address
21925 West Field Parkway, Suite 235, Deer Park, IL, USA, 60010-7278
Eton Pharmaceuticals Inc is a United States based specialty pharmaceutical company. The company is engaged in developing and commercializing pharmaceutical products to fulfill an unmet patient need. It has four commercial rare disease products, Alkindi Sprinkle for the treatment of adrenocortical insufficiency; Carglumic Acid for the treatment of hyperammonemia, Betaine Anhydrous for the treatment of homocystinuria; and Nitisinone for the treatment of hereditary tyrosinemia type 1 (HT-1). The Company has three additional product candidates in late-stage development: ET-400, ET-600, and ZENEO hydrocortisone autoinjector.
Executives
Opaleye Management Inc. 10 percent owner ONE BOSTON PLACE, SUITE 2600, BOSTON MA 02108
David Krempa officer: Chief Business Officer 29125 W FIELD PARKWAY, SUITE 235, DEER PARK IL 60010
Sean Brynjelsen director, officer: President & CEO C/O ETON PHARMACEUTICALS, INC., 21925 W FIELD PKWY #235, DEER PARK IL 60010
James R. Gruber officer: Chief Financial Officer 618 AMES STREET, LIBERTYVILLE IL 60048
William Wilson Troutman officer: CFO, Treasurer & Secretary 21925 W FIELD PARKWAY, SUITE 235, DEER PARK IL 60010
Imprimis Pharmaceuticals, Inc. 10 percent owner 102 WOODMONT BLVD, SUITE 610, NASHVILLE TN 37215
Jennifer Mckie Adams director 5410 TENNESSEE AVE, NASHVILLE TN 37209
Charles J Casamento director 99 BELBROOK WAY, ATHERTON CA 94027
Norbert G Riedel director BAXTER INTERNATIONAL INC, ONE BAXTER PKWY DF2-1W, DEERFIELD IL 60015
Mark L Baum director C/O IMPRIMIS PHARMACEUTICALS, INC, 12264 EL CAMINO REAL, SUITE 350, SAN DIEGO CA 92130
Paul V Maier director 3595 JOHN HOPKINS COURT, SAN DIEGO CA 92121