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HHS (Harte-Hanks) Degree of Operating Leverage : 5.43 (As of Mar. 2025)


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What is Harte-Hanks Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Harte-Hanks's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was 5.43. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

HHS's Degree of Operating Leverage is ranked worse than
77.51% of 547 companies
in the Conglomerates industry
Industry Median: 1.12 vs HHS: 5.43

Harte-Hanks Degree of Operating Leverage Historical Data

The historical data trend for Harte-Hanks'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.

Harte-Hanks Degree of Operating Leverage Chart

Harte-Hanks 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 -4.00 -20.00 -2.03 5.58 9.63

Harte-Hanks 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 5.14 1.11 -31.65 9.63 5.43

Competitive Comparison of Harte-Hanks's Degree of Operating Leverage

For the Conglomerates subindustry, Harte-Hanks'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.


Harte-Hanks's Degree of Operating Leverage Distribution in the Conglomerates Industry

For the Conglomerates industry and Industrials sector, Harte-Hanks's Degree of Operating Leverage distribution charts can be found below:

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


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Harte-Hanks Degree of Operating Leverage Calculation

Harte-Hanks'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
=( 5.881 (Mar. 2025) / 7.762 (Mar. 2024) - 1 )/( 181.355 (Mar. 2025) / 189.82 (Mar. 2024) - 1 )
=-0.2423/-0.0446
=5.43***

* 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.


Harte-Hanks  (NAS:HHS) 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.


Harte-Hanks Degree of Operating Leverage Related Terms

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


Harte-Hanks Business Description

Industry
Traded in Other Exchanges
Address
1 Executive Drive, Chelmsford, MA, USA, 01824
Harte-Hanks Inc is a customer experience company. The Company operates three business segments: Marketing Services; Customer Care; and Fulfillment & Logistics Services. The company has a geographic presence in the United States and Other countries. The majority of the revenue is earned from the United States.
Executives
Bradley Louis Radoff director 2727 KIRBY DRIVE, UNIT 29L, HOUSTON TX 77098
Kirk A Davis director, officer: Chief Executive Officer C/O NEWM, 1345 AVENUE OF THE AMERICAS, NEW YORK NY 10105
Griffin John H Jr director
Brian Linscott officer: Chief Operating Officer 864 N BEVERLY LANE, ARLINGTON HEIGHTS IL 60004
Laurilee Kearnes officer: Chief Financial Officer 9601 MCALLISTER FREEWAY, SUITE 610, SAN ANTONIO TX 78216
Robert T. Wyman officer: General Counsel 2 EAST MAIN STREET, GEORGETOWN MA 01833
David L Copeland director PO BOX 2791, ABILENE TX 79604
Andrew B Benett officer: Chief Executive Officer 1850 N CENTRAL AVENUE, SUITE 1900, PHOENIX AZ 85004-4565
Genevieve Claire Combes director 2000 POWELL STREET, SUITE 300, EMERYVILLE CA 94608
Tobia Alfred Victor Jr. director 767 3RD AVENUE, SUITE 602, NEW YORK NY 10017
Maureen Oconnell director
Evan Behrens director C/O SEACOR HOLDINGS INC., 2200 ELLER DRIVE, P.O. BOX 13038, FORT LAUDERDALE FL 33316
Priore Mark Del officer: Chief Financial Officer C/O SITO MOBILE, LTD., 100 TOWN SQUARE PLACE, SUITE 204, JERSEY CITY NJ 07310
Martin F Reidy director DIGITAS INC., 800 BOYLSTON STREET, BOSTON MA 02199
Timothy E. Breen director 9601 MCALLISTER FREEWAY, SUITE 610, SAN ANTONIO TX 78216