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IOT (Samsara) Degree of Operating Leverage : -1.15 (As of Apr. 2025)


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What is Samsara Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Samsara's Degree of Operating Leverage for the quarter that ended in Apr. 2025 was -1.15. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

IOT's Degree of Operating Leverage is ranked better than
71.67% of 2665 companies
in the Software industry
Industry Median: 0.79 vs IOT: -1.15

Samsara Degree of Operating Leverage Historical Data

The historical data trend for Samsara'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.

Samsara Degree of Operating Leverage Chart

Samsara Annual Data
Trend Jan20 Jan21 Jan22 Jan23 Jan24 Jan25
Degree of Operating Leverage
Get a 7-Day Free Trial -0.07 0.95 -0.52 -0.08 -0.78

Samsara Quarterly Data
Jan20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24 Apr24 Jul24 Oct24 Jan25 Apr25
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 -0.22 -0.37 -0.33 -0.78 -1.15

Competitive Comparison of Samsara's Degree of Operating Leverage

For the Software - Infrastructure subindustry, Samsara'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.


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

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

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


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Samsara Degree of Operating Leverage Calculation

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

Degree of Operating Leverage=% Change in EBIT**/% Change in Revenue
=( -152.353 (Apr. 2025) / -240.093 (Apr. 2024) - 1 )/( 1335.357 (Apr. 2025) / 1013.791 (Apr. 2024) - 1 )
=-0.3654/0.3172
=-1.15***

* 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.


Samsara  (NYSE:IOT) 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.


Samsara Degree of Operating Leverage Related Terms

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


Samsara Business Description

Industry
Traded in Other Exchanges
Address
1 De Haro Street, San Francisco, CA, USA, 94107
Samsara Inc provides an end-to-end solution for operations. The company's Connected Operations Platform consolidates data from its IoT devices and a growing ecosystem of connected assets and third-party systems, and makes it easy for organizations to access, analyze, and act on data insights using its cloud dashboard, custom alerts and reports, mobile apps, and workflows.. The company derives almost all of its revenue from subscription services. Geographically, it derives a majority of its revenue from the United States. The company's customers ranges from small and medium-sized businesses to state and local governments.
Executives
Sanjit Biswas director, 10 percent owner, officer: Chief Executive Officer 350 RHODE ISLAND STREET, 4TH FLOOR, SOUTH BUILDING, SAN FRANSCISO CA 94103
John Bicket director, 10 percent owner, officer: See remarks 350 RHODE ISLAND STREET, 4TH FLOOR, SOUTH BUILDING, SAN FRANCISCO CA 94103
Dominic Phillips officer: See remarks 350 RHODE ISLAND STREET, 4TH FLOOR, SOUTH BUILDING, SAN FRANCISCO CA 94103
Adam Eltoukhy officer: See remarks 350 RHODE ISLAND STREET, 4TH FLOOR, SOUTH BUILDING, SAN FRANCISCO CA 94103
James Andrew Munk officer: Chief Accounting Officer 3401 HILLVIEW AVENUE, PALO ALTO CA 94304
Jonathan Chadwick director 3401 HILLVIEW AVENUE, PALO ALTO CA 94304
Marc L Andreessen director, 10 percent owner C/O ARNOLD & PORTER LLP, 3 EMBARCADERO CENTER 7TH FLOOR, SAN FRANCISCO CA 94111
Andreessen Horowitz Lsv Fund I-b, L.p. 10 percent owner 2865 SAND HILL ROAD, SUITE 101, MENLO PARK CA 94025
Ah Parallel Fund Iv-a, L.p. 10 percent owner 2865 SAND HILL ROAD, SUITE 101, MENLO PARK CA 94025
Andreessen Horowitz Lsv Fund Iii-b, L.p. 10 percent owner 2865 SAND HILL ROAD, SUITE 101, MENLO PARK CA 94025
Lara Caimi officer: President, Worldwide Field Ops C/O CONFLUENT, INC., 899 W EVELYN AVENUE, MOUNTAIN VIEW CA 94041
Gc Venture Viii-b, Llc 10 percent owner 20 UNIVERSITY ROAD, 4TH FLOOR, CAMBRIDGE MA 02138
Hemant Taneja director, 10 percent owner C/O GENERAL CATALYST, 20 UNIVERSITY ROAD, 4TH FLOOR, CAMBRIDGE MA 02138
Susan L Bostrom director
Andreessen Horowitz Fund Iv-a, L.p. 10 percent owner 2865 SAND HILL ROAD, SUITE 101, MENLO PARK CA 94025