GURUFOCUS.COM » STOCK LIST » Technology » Hardware » Jabil Inc (NYSE:JBL) » Definitions » Degree of Operating Leverage

Jabil (JBL) Degree of Operating Leverage : 3.95 (As of Feb. 2025)


View and export this data going back to 1993. Start your Free Trial

What is Jabil Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Jabil's Degree of Operating Leverage for the quarter that ended in Feb. 2025 was 3.95. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

JBL's Degree of Operating Leverage is ranked worse than
75.39% of 2414 companies
in the Hardware industry
Industry Median: 1 vs JBL: 3.95

Jabil Degree of Operating Leverage Historical Data

The historical data trend for Jabil'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.

Jabil Degree of Operating Leverage Chart

Jabil Annual Data
Trend Aug15 Aug16 Aug17 Aug18 Aug19 Aug20 Aug21 Aug22 Aug23 Aug24
Degree of Operating Leverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only -4.07 19.65 2.02 1.81 -1.85

Jabil Quarterly Data
May20 Aug20 Nov20 Feb21 May21 Aug21 Nov21 Feb22 May22 Aug22 Nov22 Feb23 May23 Aug23 Nov23 Feb24 May24 Aug24 Nov24 Feb25
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 -6.37 -3.07 -1.85 -1.66 3.95

Competitive Comparison of Jabil's Degree of Operating Leverage

For the Electronic Components subindustry, Jabil'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.


Jabil's Degree of Operating Leverage Distribution in the Hardware Industry

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

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


;
;

Jabil Degree of Operating Leverage Calculation

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

Degree of Operating Leverage=% Change in EBIT**/% Change in Revenue
=( 931 (Feb. 2025) / 2170 (Feb. 2024) - 1 )/( 27451 (Feb. 2025) / 32087 (Feb. 2024) - 1 )
=-0.571/-0.1445
=3.95***

* 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.


Jabil  (NYSE:JBL) 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.


Jabil Degree of Operating Leverage Related Terms

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


Jabil Business Description

Industry
Traded in Other Exchanges
Address
10800 Roosevelt Boulevard North, Saint Petersburg, FL, USA, 33716
Jabil Inc is a United States-based company engaged in providing manufacturing services and solutions. It provides comprehensive electronics design, production and product management services to companies in various industries and end markets.The Company derives its revenue from providing comprehensive electronics design, production and product management services. It operates in two segments. The Electronics Manufacturing Services (EMS) segment, which is the key revenue driver, is focused on leveraging IT, supply chain design and engineering, technologies largely centered on core electronics. The Diversified Manufacturing Services (DMS) segment is focused on providing engineering solutions, with an emphasis on material sciences, technologies, and healthcare.
Executives
Michael Dastoor officer: Controller C/O JABIL CIRCUIT, INC., 10560 DR. MARTIN LUTHER KING, JR. ST. N., ST. PETERSBURG FL 33716-3718
Mark T Mondello officer: Chief Operating Officer 10560 DR. MARTIN LUTHER KING JR. ST N, ST PETERSBURG FL 33716-3718
Christopher S Holland director ARAMARK CORP, 1101 MARKET ST 29TH FLOOR, PHILADELPHIA PA 19107
John C Plant director C/O MASCO CORPORATION, 17450 COLLEGE PARKWAY, LIVONIA MI 48152
Steven A Raymund director C/O TECH DATA CORP, 5350 TECH DATA DRIVE, CLEARWATER FL 33760
Anousheh Ansari director 10560 DR. MARTIN LUTHER KING JR. ST. N., ST. PETERSBURG, FL FL 33716
May Yee Yap officer: SVP, Chief Information Officer 10800 ROOSEVELT BLVD. N., ST PETERSBURG FL 33716
Frederic E. Mccoy officer: SVP, Global Business Units 10800 ROOSEVELT BLVD. N., ST. PETERSBURG FL 33716
Steven D Borges officer: EVP, CEO, Healthcare 10560 DR. MARTIN LUTHER KING JR. ST. N., ST. PETERSBURG FL 33716
Francis Mckay officer: SVP, Chief Procurement Officer 10800 ROOSEVELT BLVD., ST. PETERSBURG FL 33716
Kristine Melachrino officer: SVP, General Counsel 10800 ROOSEVELT BLVD. N., ST. PETERSBURG FL 33716
Kenneth S Wilson officer: EVP, CEO, Green Point C/O JABIL INC., 10560 MARTIN LUTHER KING JR. ST. N., ST. PETERSBURG FL 33716
Gerald Creadon officer: SVP, Operations 10800 ROOSEVELT BLVD. N., ST. PETERSBURG FL 33716
David M Stout director 10560 DR. MARTIN LUTHER KING JR. ST. N., ST. PETERSBURG FL 33716
Roberto Ferri officer: SVP, Global Sales 10800 ROOSEVELT BLVD. N., ST. PETERSBURG FL 33716