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IIIV (i3 Verticals) Degree of Operating Leverage : 44.19 (As of Mar. 2025)


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What is i3 Verticals Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. i3 Verticals's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was 44.19. The higher Degree of Operating Leverage, the higher operating risk the company will take.

The industry rank for i3 Verticals's Degree of Operating Leverage or its related term are showing as below:

IIIV's Degree of Operating Leverage is ranked worse than
95.35% of 2666 companies
in the Software industry
Industry Median: 0.785 vs IIIV: 44.19

i3 Verticals Degree of Operating Leverage Historical Data

The historical data trend for i3 Verticals'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.

i3 Verticals Degree of Operating Leverage Chart

i3 Verticals Annual Data
Trend Sep16 Sep17 Sep18 Sep19 Sep20 Sep21 Sep22 Sep23 Sep24
Degree of Operating Leverage
Get a 7-Day Free Trial Premium Member Only 0.32 -1.01 63.73 -2.40 -0.52

i3 Verticals 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 -27.10 -11.00 -0.52 -18.43 44.19

Competitive Comparison of i3 Verticals's Degree of Operating Leverage

For the Software - Infrastructure subindustry, i3 Verticals'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.


i3 Verticals's Degree of Operating Leverage Distribution in the Software Industry

For the Software industry and Technology sector, i3 Verticals's Degree of Operating Leverage distribution charts can be found below:

* The bar in red indicates where i3 Verticals's Degree of Operating Leverage falls into.


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i3 Verticals Degree of Operating Leverage Calculation

i3 Verticals'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
=( 13.25 (Mar. 2025) / 3.82 (Mar. 2024) - 1 )/( 241.651 (Mar. 2025) / 228.866 (Mar. 2024) - 1 )
=2.4686/0.0559
=44.19***

* 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.


i3 Verticals  (NAS:IIIV) 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.


i3 Verticals Degree of Operating Leverage Related Terms

Thank you for viewing the detailed overview of i3 Verticals's Degree of Operating Leverage provided by GuruFocus.com. Please click on the following links to see related term pages.


i3 Verticals Business Description

Industry
Traded in Other Exchanges
N/A
Address
40 Burton Hills Boulevard, Suite 415, Nashville, TN, USA, 37215
i3 Verticals Inc offers integrated payment and software solutions to small and medium-sized businesses and organizations in strategic vertical markets. Its operating segment includes Public Sector and Healthcare. The company generates maximum revenue from the Public Sector segment.
Executives
Geoffrey C. Smith officer: VP of Finance 40 BURTON HILLS BLVD., SUITE 415, NASHVILLE TN 37215
John C. Harrison director 40 BURTON HILLS BOULEVARD, SUITE 415, NASHVILLE TN 37215
Robert Burton Harvey director 40 BURTON HILLS BOULEVARD, SUITE 415, NASHVILLE TN 37215
David M Wilds director, 10 percent owner 40 BURTON HILLS BOULEVARD, SUITE 415, NASHVILLE TN 37215
Frederick Stanford officer: President 40 BURTON HILLS BOULEVARD, SUITE 415, NASHVILLE TN 37215
Gregory S Daily director, 10 percent owner, officer: Chief Executive Officer 40 BURTON HILLS BOULEVARD, SUITE 415, NASHVILLE TN 37215
Timothy Mckenna director 40 BURTON HILLS BOULEVARD, SUITE 415, NASHVILLE TN 37215
David K. Morgan director 40 BURTON HILLS BOULEVARD, SUITE 415, NASHVILLE TN 37215
Paul Christians officer: Chief Operating Officer 40 BURTON HILLS BLVD., SUITE 415, NASHVILLE TN 37215
Christopher Laisure officer: President - Public Sector 40 BURTON HILLS BLVD., SUITE 415, NASHVILLE TN 37215
Pete Panagakis officer: Chief Technology Officer 40 BURTON HILLS BLVD., SUITE 415, NASHVILLE TN 37215
Robert Bertke officer: Chief Technology Officer 40 BURTON HILLS BOULEVARD, SUITE 415, NASHVILLE TN 37215
Decosta Jenkins director 150 THIRD AVENUE SOUTH STE 900, NASHVILLE TN 37201
David Scott Meriwether officer: SVP - Finance 40 BURTON HILLS BOULEVARD, SUITE 415, NASHVILLE TN 37215
First Avenue Partners Ii Lp 10 percent owner C/O I3 VERTICALS, INC., 40 BURTON HILLS BLVD., SUITE 415, NASHVILLE TN 37215