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HALO (Halozyme Therapeutics) Degree of Operating Leverage : 2.01 (As of Mar. 2025)


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What is Halozyme Therapeutics Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Halozyme Therapeutics's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was 2.01. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

HALO's Degree of Operating Leverage is ranked worse than
77.04% of 884 companies
in the Biotechnology industry
Industry Median: -0.03 vs HALO: 2.01

Halozyme Therapeutics Degree of Operating Leverage Historical Data

The historical data trend for Halozyme Therapeutics'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.

Halozyme Therapeutics Degree of Operating Leverage Chart

Halozyme Therapeutics 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 -9.50 1.08 0.08 1.49 2.53

Halozyme Therapeutics 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 2.98 3.11 2.27 2.53 2.01

Competitive Comparison of Halozyme Therapeutics's Degree of Operating Leverage

For the Biotechnology subindustry, Halozyme Therapeutics'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.


Halozyme Therapeutics's Degree of Operating Leverage Distribution in the Biotechnology Industry

For the Biotechnology industry and Healthcare sector, Halozyme Therapeutics's Degree of Operating Leverage distribution charts can be found below:

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


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Halozyme Therapeutics Degree of Operating Leverage Calculation

Halozyme Therapeutics'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
=( 623.045 (Mar. 2025) / 410.845 (Mar. 2024) - 1 )/( 1084.306 (Mar. 2025) / 862.989 (Mar. 2024) - 1 )
=0.5165/0.2565
=2.01***

* 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.


Halozyme Therapeutics  (NAS:HALO) 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.


Halozyme Therapeutics Degree of Operating Leverage Related Terms

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


Halozyme Therapeutics Business Description

Address
12390 El Camino Real, San Diego, CA, USA, 92130
Halozyme Therapeutics Inc is a biotechnology company focused on developing and commercializing novel oncology therapies. The company seeks to create therapies focused on human enzymes that alter tumors. Halozyme focuses on developing its proprietary products in therapeutic areas with a focus on oncology, and licensing its technology to biopharmaceutical companies to collaboratively develop products. The company's operations are based in the United States, with minimal long-lived assets located internationally.
Executives
Jeffrey William Henderson director 7000 CARDINAL PLACE, DUBLIN OH 43017
Michael J. Labarre officer: SVP, Chief Technical Officer 11388 SORRENTO VALLEY ROAD, SAN DIEGO CA 92121
Helen Torley director, officer: President and CEO C/O ONYX PHARMACEUTICALS, INC., 249 EAST GRAND AVE., SOUTH SAN FRANCISCO CA 94080
Matthew L. Posard director 11099 N. TORREY PINES ROAD, SUITE 100, LA JOLLA CA 92037
Nicole Labrosse officer: SVP, Chief Financial Officer 11388 SORRENTO VALLEY ROAD, SAN DIEGO CA 92121
James M Daly director INCYTE CORPORATION EXPERIMENTAL STATION, RTE 141 & HENRY CLAY RD. BLDG E336, WILMINGTON DE 19880
Barbara Gayle Duncan director C/O INTERCEPT PHARMACEUTICALS, INC., 18 DESBROSSES STREET, NEW YORK NY 10013
Akiko Moni Miyashita director 20725 S. WESTERN AVENUE, SUITE 136, TORRANCE CA 90501
Mark Howard Snyder officer: SVP, General Counsel 11388 SORRENTO VALLEY ROAD, SAN DIEGO CA 92121
Matsui Connie director 3030 CALLAN RD, SAN DIEGO CA 92121
Jean-pierre Bizzari director 235 LAUREL LN, HAVERFOLD PA 19041
Kenneth J Kelley director 1331 HILLVIEW DRIVE, MENLO PARK CA 94025
Elaine D Sun officer: SVP, Chief Financial Officer 11388 SORRENTO VALLEY ROAD, SAN DIEGO CA 92121
Masaru Matsuda officer: SVP, General Counsel 11388 SORRENTO VALLEY ROAD, SAN DIEGO CA 92121
Benjamin Hickey officer: SVP, Chief Commerical Officer C/O MIRATI THERAPEUTICS, 9393 TOWNE CENTRE DRIVE SUITE 200, SAN DIEGO CA 92121