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GORO (Gold Resource) Degree of Operating Leverage : -1.33 (As of Mar. 2025)


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What is Gold Resource Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Gold Resource's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was -1.33. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

GORO's Degree of Operating Leverage is ranked better than
76.5% of 732 companies
in the Metals & Mining industry
Industry Median: 0.955 vs GORO: -1.33

Gold Resource Degree of Operating Leverage Historical Data

The historical data trend for Gold Resource'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.

Gold Resource Degree of Operating Leverage Chart

Gold Resource 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 4.19 -98.84 -7.61 24.97 -2.15

Gold Resource 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 -7.18 -0.93 -1.44 -2.15 -1.33

Competitive Comparison of Gold Resource's Degree of Operating Leverage

For the Gold subindustry, Gold Resource'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.


Gold Resource's Degree of Operating Leverage Distribution in the Metals & Mining Industry

For the Metals & Mining industry and Basic Materials sector, Gold Resource's Degree of Operating Leverage distribution charts can be found below:

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


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Gold Resource Degree of Operating Leverage Calculation

Gold Resource'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
=( -33.467 (Mar. 2025) / -23.853 (Mar. 2024) - 1 )/( 59.378 (Mar. 2025) / 85.202 (Mar. 2024) - 1 )
=0.4031/-0.3031
=-1.33***

* 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.


Gold Resource  (AMEX:GORO) 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.


Gold Resource Degree of Operating Leverage Related Terms

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


Gold Resource Business Description

Traded in Other Exchanges
Address
7900 East Union Avenue, Suite 320, Denver, CO, USA, 80237
Gold Resource Corp is a producer of metal concentrates that contain gold, silver, copper, lead, and zinc in Oaxaca, Mexico. . It targets low capital expenditure projects with the potential for generating high returns on capital. The company's two pipeline projects are; Don David Gold at Oaxaca, Mexico, and Back Forty at Michigan, United States of America. The Company has two reporting segments, based on geographic regions. Oaxaca, Mexico represents the Company's only operating segment with a production stage property. The Company's other reporting segment is Michigan, U.S.A., with an exploration stage property.
Executives
Chet Holyoak officer: Interim CFO 7900 E UNION AVENUE, SUITE 320, DENVER CO 80237
Allen J Palmiere director, officer: CEO, President 2000 S. COLORADO BLVD., SUITE 10200, DENVER CO 80222
Joseph Martin Driscoll director 2000 S. COLORADO BLVD, SUITE 10200, DENVER CO 80222
Kimberly C Perry officer: Chief Financial Officer 2886 CARRIAGE MANOR POINT, COLORADO SPRINGS CO 80906
Alberto Reyes officer: Chief Operating Officer 53 RIVER VALLEY DRIVE, KITCHENER A6 N2C 2V5
Lila A Murphy director 2000 S. COLORADO BLVD., SUITE 10200, DENVER CO 80222
Ronald Little director 2234 OLD LILAC LANE, OTTAWA A6 K1H 6H7
Richard M Irvine director LAS ROSAS #339, COLONIA REFORMA, OAXACA O5 68050
Alex G Morrison director 1658 COLE BLVD., BLDG. 6, SUITE 210, LAKEWOOD CO 80401
Elizabeth Ann Wilkinson officer: See Remarks 45 GLENADEN AVENUE E, TORONTO A6 M8Y 2L4
Bill M Conrad director 2886 CARRIAGE MANOR POINT, COLO SPGS CO 80906
Gregory A Patterson officer: VP Corporate Development 2886 CARRIAGE MANOR POINT, COLORADO SPRINGS CO 80906
Barry D Devlin officer: VP Exploration 7338 YELLOW FIN COURT, BLAINE WA 98230
John A Labate officer: Chief Financial Officer
Jessica M Browne officer: VP, General Counsel, Secretary 2886 CARRIAGE MANOR POINT, COLORADO SPRINGS CO 80906

Gold Resource Headlines