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FPI (Farmland Partners) Degree of Operating Leverage : -87.65 (As of Mar. 2025)


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What is Farmland Partners Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Farmland Partners's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was -87.65. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

FPI's Degree of Operating Leverage is ranked better than
95.37% of 734 companies
in the REITs industry
Industry Median: 1.205 vs FPI: -87.65

Farmland Partners Degree of Operating Leverage Historical Data

The historical data trend for Farmland Partners'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.

Farmland Partners Degree of Operating Leverage Chart

Farmland Partners 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 4.99 1.87 0.45 -14.91 36.40

Farmland Partners 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 -14.94 -4.05 -3.81 36.40 -87.65

Competitive Comparison of Farmland Partners's Degree of Operating Leverage

For the REIT - Specialty subindustry, Farmland Partners'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.


Farmland Partners's Degree of Operating Leverage Distribution in the REITs Industry

For the REITs industry and Real Estate sector, Farmland Partners's Degree of Operating Leverage distribution charts can be found below:

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


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Farmland Partners Degree of Operating Leverage Calculation

Farmland Partners'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
=( 78.573 (Mar. 2025) / 53.989 (Mar. 2024) - 1 )/( 56.488 (Mar. 2025) / 56.783 (Mar. 2024) - 1 )
=0.4554/-0.0052
=-87.65***

* 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.


Farmland Partners  (NYSE:FPI) 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.


Farmland Partners Degree of Operating Leverage Related Terms

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


Farmland Partners Business Description

Industry
Traded in Other Exchanges
Address
4600 South Syracuse Street, Suite 1450, Denver, CO, USA, 80237
Farmland Partners Inc owns and seeks to acquire high-quality farmland throughout North America. The company is an internally managed real estate company which owns and contracts farmland and storage facilities located across the United States. Majority of the properties in its portfolio are used to grow primary crops, such as corn, soybeans, wheat, rice and cotton, and rest to produce specialty crops, such as almonds, pictachios, citrus, avacados, strawberies, and edible beans. The company generates its revenues through the rent it receives from its tenants.
Executives
John A Good director C/O JERNIGAN CAPITAL, INC., 1395 BRICKELL AVENUE, MIAMI FL 33131
Luca Fabbri officer: CFO, Secretary and Treasurer C/O FARMLAND PARTNERS INC., 8670 WOLFF COURT, SUITE 240, WESTMINSTER CO 80031
Paul A Pittman director, officer: President and CEO 4910 BIRCH ST., SUITE 102, NEWPORT BEACH CA 92660
Jennifer S Grafton director 9540 SOUTH MAROON CIRCLE, SUITE 200, ENGLEWOOD CO 80112
Murray R Wise director 2407 S NEIL PO BOX 3009, CHAMPAIGN IL 61826
Christine M. Garrison officer: General Counsel and Secretary C/O FARMLAND PARTNERS INC., 4600 S. SYRACUSE STREET, SUITE 1450, DENVER CO 80237
Danny D. Moore director C/O FARMLAND PARTNERS INC., 4600 S. SYRACUSE STREET, SUITE 1450, DENVER CO 80237
James Gilligan officer: Chief Financial Officer C/O FARMLAND PARTNERS INC., 4600 S. SYRACUSE STREET, SUITE 1450, DENVER CO 80237
Thomas Heneghan director C/O MANUFACTURED HOME COMMUNITIES INC, 2 N RIVER PLAZA #800, CHICAGO IL 60606
Toby Orourke director FARMLAND PARTNERS INC., 4600 S. SYRACUSE STREET, SUITE 1450, DENVER CO 80237
Erica Borenstein officer: General Counsel and Secretary C/O FARMLAND PARTNERS INC., 8670 WOLFF COURT, SUITE 240, WESTMINSTER CO 80031
Chris A Downey director C/O FARMLAND PARTNERS INC., : 8670 WOLFF COURT, SUITE 240, WESTMINSTER CO 80031
Jay Bartels director C/O FARMLAND PARTNERS INC., 8670 WOLFF COURT, SUITE 240, WESTMINSTER CO 80031
Joseph W Glauber director FARMLAND PARTNERS INC., 8670 WOLFF COURT, SUITE 240, WESTMINSTER CO 80031
Dennie Dixon Boardman director C/O OPTIMA FUND MANAGEMENT LLC, 10 EAST 53RD STREET, NEW YORK NY 10022