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GTLB (GitLab) Degree of Operating Leverage : -0.77 (As of Jan. 2025)


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What is GitLab Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. GitLab's Degree of Operating Leverage for the quarter that ended in Jan. 2025 was -0.77. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

GTLB's Degree of Operating Leverage is ranked better than
69.66% of 2660 companies
in the Software industry
Industry Median: 0.78 vs GTLB: -0.77

GitLab Degree of Operating Leverage Historical Data

The historical data trend for GitLab'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.

GitLab Degree of Operating Leverage Chart

GitLab Annual Data
Trend Jan20 Jan21 Jan22 Jan23 Jan24 Jan25
Degree of Operating Leverage
Get a 7-Day Free Trial 0.76 -0.60 0.94 -0.31 -0.77

GitLab Quarterly Data
Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24 Apr24 Jul24 Oct24 Jan25
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 -0.31 -0.57 -0.65 -0.64 -0.77

Competitive Comparison of GitLab's Degree of Operating Leverage

For the Software - Infrastructure subindustry, GitLab'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.


GitLab's Degree of Operating Leverage Distribution in the Software Industry

For the Software industry and Technology sector, GitLab's Degree of Operating Leverage distribution charts can be found below:

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


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GitLab Degree of Operating Leverage Calculation

GitLab's Degree of Operating Leverage for the quarter that ended in Jan. 2025 is calculated as:

Degree of Operating Leverage=% Change in EBIT**/% Change in Revenue
=( -142.715 (Jan. 2025) / -187.44 (Jan. 2024) - 1 )/( 759.249 (Jan. 2025) / 579.906 (Jan. 2024) - 1 )
=-0.2386/0.3093
=-0.77***

* 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.


GitLab  (NAS:GTLB) 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.


GitLab Degree of Operating Leverage Related Terms

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


GitLab Business Description

Industry
Traded in Other Exchanges
Address
268 Bush Street, Suite 350, San Francisco, CA, USA, 94104-3503
GitLab Inc operates on an all-remote model. GitLab, a complete DevSecOps platform delivered as a single application. It operates in two competitive landscapes: DevOps point solutions and DevOps platforms. In terms of point solutions that are stitched together, GitLab's offering is substantially different in that it is one platform, one codebase, one interface, and a unified data model that spans the entire DevSecOps lifecycle. DevOps platforms, the principal competitor is Microsoft Corporation following their acquisition of GitHub. GitLab is offered on both self-managed and software-as-a-service (SaaS) models. It is located in the United States, Europe, and Asia Pacific. It focused on accelerating innovation and broadening the distribution of its platform to companies across the world.
Executives
Karen Blasing director 4420 ROSEWOOD DRIVE, SUITE 500, PLEASANTON CA 94588
Sytse Sijbrandij director, officer: Chief Executive Officer C/O GITLAB, INC., 268 BUSH STREET, #350, SAN FRANCISCO CA 94104
Brian G Robins officer: Chief Financial Officer 21355 RIDGETOP CIRCLE, ATTN: GENERAL COUNSEL, DULLES VA 20166
Matthew Jacobson director, 10 percent owner C/O DATADOG, INC., 45TH FLOOR, NEW YORK NY 10001
Susan L Bostrom director
Robin Schulman officer: Chief Legal Officer & Corp Sec C/O NEW RELIC, INC., 188 SPEAR STREET, STE. 1200, SAN FRANCISCO CA 94105
Erin Mannix officer: Chief Accounting Officer 801 LAKEVIEW DRIVE, BLUE BELL PA 19422
Merline Saintil director 10 SOUTH FIRST AVENUE, WALLA WALLA WA 99362
Sundeep Bedi director C/O GITLAB, INC., 268 BUSH STREET, #350, SAN FRANCISCO CA 94104
Mark Porter director C/O MONGODB, INC., 1633 BROADWAY, 38TH FLOOR, NEW YORK NY 10019
Iconiq Strategic Partners Iv, L.p. 10 percent owner 394 PACIFIC AVENUE, SECOND FLOOR, SAN FRANCISCO CA 94111
Iconiq Strategic Partners Iii, L.p. 10 percent owner 394 PACIFIC AVENUE, 2ND FLOOR, SAN FRANCISCO CA 94111
Christopher Lee Weber officer: Chief Revenue Officer C/O UIPATH, INC., 452 5TH AVENUE, 22ND FLOOR, NEW YORK NY 10018
Michael Eugene Mcbride officer: Chief Revenue Officer C/O GITLAB, INC., 268 BUSH STREET, #350, SAN FRANCISCO CA 94104
Dale R Brown officer: Principal Accounting Officer 1060 E ARQUES AVE, SUNNYVALE CA 94085