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MAGN (Magnera) Degree of Operating Leverage : 3.22 (As of Mar. 2025)


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What is Magnera Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Magnera's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was 3.22. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

MAGN's Degree of Operating Leverage is ranked worse than
61.48% of 283 companies
in the Forest Products industry
Industry Median: 1.16 vs MAGN: 3.22

Magnera Degree of Operating Leverage Historical Data

The historical data trend for Magnera'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.

Magnera Degree of Operating Leverage Chart

Magnera Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Degree of Operating Leverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only -28.94 218.97 -1.85 -20.21 13.57

Magnera 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 7.27 9.14 12.38 25.01 3.22

Competitive Comparison of Magnera's Degree of Operating Leverage

For the Paper & Paper Products subindustry, Magnera'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.


Magnera's Degree of Operating Leverage Distribution in the Forest Products Industry

For the Forest Products industry and Basic Materials sector, Magnera's Degree of Operating Leverage distribution charts can be found below:

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


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Magnera Degree of Operating Leverage Calculation

Magnera'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
=( -39.05 (Mar. 2025) / -12.77 (Mar. 2024) - 1 )/( 2187.544 (Mar. 2025) / 1334.564 (Mar. 2024) - 1 )
=2.0579/0.6391
=3.22***

* 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.


Magnera  (NYSE:MAGN) 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.


Magnera Degree of Operating Leverage Related Terms

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


Magnera Business Description

Traded in Other Exchanges
Address
9335 Harris Corners parkway, Suite 300, Charlotte, NC, USA, 28269
Magnera Corp formerly Glatfelter Corporation manufactures and sells a variety of paper and fiber products. The company's reportable segments are; Composite Fibers, Spunlace. and Airlaid Materials. The Airlaid Materials segment which is also its key revenue generating segment, is a supplier of cellulose-based airlaid nonwoven materials used to manufacture consumer products for end-user markets. The Airlaid Materials segment produces materials used in feminine hygiene, specialty wipes, tabletop, home care, and other consumables. Geographically, the company derives majority of its revenue from Americas and rest from Europe, Middle East, Africa and Asia Pacific markets.
Executives
Bruce Brown director ONE PROCTER & GAMBLE PLAZA, CINCINNATI OH 45202
Kevin Michael Fogarty director 30 GRAND GARDEN COURT, THE WOODLANDS TX 77381
Carlson Capital L P 10 percent owner 2100 MCKINNEY AVE, STE 1900, DALLAS TX 75201
Black Diamond Offshore Ltd. 10 percent owner CITCO FUND SERVICES, 89 NEXUS WAY, P.O. BOX 31106, GRAND CAYMAN E9 KY1-1205
Boris Illetschko officer: SVP, Chief Operating Officer GRAFENAUWEG, 8, ZUG V8 6300
David C Elder officer: Corp Controller 96 S. GEORGE STREET, SUITE 400, YORK PA 17401
Wolfgang Laures officer: SVP, Global Supply Chain 96 S. GEORGE ST., SUITE 520, YORK PA 17401
Clint Duane Carlson 10 percent owner 2100 MCKINNEY AVENUE, SUITE 1800, DALLAS TX 75201
Black Diamond Arbitrage Offshore Ltd. 10 percent owner 2100 MCKINNEY AVENUE, SUITE 1800, DALLAS TX 75201
Asgard Investment Corp. Ii 10 percent owner 2100 MCKINNEY AVENUE, SUITE 1800, DALLAS TX 75201
Double Black Diamond Offshore Ltd 10 percent owner CITCO FUND SERVICES, 89 NEXUS WAY, P.O. BOX 31106, CAMANA BAY E9 KY-1205
Delaware Domiciled Single Investor Limited Partnership - 101 10 percent owner 2100 MCKINNEY AVENUE, SUITE 1800, DALLAS TX 75201
Darrel H. Hackett director 4350 CONGRESS STREET, SUITE 600, CHARLOTTE NC 28209
Thomas Fahnemann director, officer: CEO 5664 YARDARM CT., CAPE CORAL FL 33914
J Robert Hall director GLATFELTER, 96 SOUTH GEORGE ST STE 500, YORK PA 17401