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JTAI (Jet AI) Degree of Operating Leverage : 0.72 (As of Mar. 2025)


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What is Jet AI Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Jet AI's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was 0.72. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

JTAI's Degree of Operating Leverage is ranked better than
50.99% of 2665 companies
in the Software industry
Industry Median: 0.79 vs JTAI: 0.72

Jet AI Degree of Operating Leverage Historical Data

The historical data trend for Jet AI'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.

Jet AI Degree of Operating Leverage Chart

Jet AI Annual Data
Trend Dec21 Dec22 Dec23 Dec24
Degree of Operating Leverage
- -0.03 -4.60 0.03

Jet AI Quarterly Data
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 -5.99 -1.57 - 0.03 0.72

Competitive Comparison of Jet AI's Degree of Operating Leverage

For the Software - Application subindustry, Jet AI'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.


Jet AI's Degree of Operating Leverage Distribution in the Software Industry

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

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


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Jet AI Degree of Operating Leverage Calculation

Jet AI'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
=( -12.587 (Mar. 2025) / -12.941 (Mar. 2024) - 1 )/( 13.649 (Mar. 2025) / 14.188 (Mar. 2024) - 1 )
=-0.0274/-0.038
=0.72***

* 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.


Jet AI  (NAS:JTAI) 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.


Jet AI Degree of Operating Leverage Related Terms

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


Jet AI Business Description

Industry
Traded in Other Exchanges
N/A
Address
10845 Griffith Peak Drive, Suite 200, Las Vegas, NV, USA, 89135
Jet AI Inc is principally involved in the sale of jet cards, which enable holders to use certain aircraft owned, leased by, arranged, and/or managed by Jet Token and others at agreed-upon rates, as well as the sale of fractional interests in aircraft; and the operation of a proprietary booking platform, which functions as a prospecting and quoting platform to arrange private jet travel with third party carriers as well as through Jet Token's leased and managed aircraft.
Executives
Patrick Mcnulty officer: Chief Operating Officer 10845 GRIFFITH PEAK DRIVE, SUITE 200, LAS VEGAS NV 89135
George Iii Murnane director, officer: INTERIM CFO 1945 AIRPORT ROAD SUIRE 200, ATLANTA GA 30341
Ehud Talmor director 10845 GRIFFITH PEAK DRIVE, SUITE 200, LAS VEGAS NV 89135
Ran David director 10845 GRIFFITH PEAK DRIVE, SUITE 200, LAS VEGAS NV 89135
Michael D. Winston director, officer: EXEC. CHAIRMAN & INTERIM CEO 10845 GRIFFITH PEAK DRIVE, SUITE 200, LAS VEGAS NV 89135
Donald Jeffrey Woods director 10845 GRIFFITH PEAK DRIVE, SUITE 200, LAS VEGAS NV 89135
Jeffrey A Altman 10 percent owner 640 FIFTH AVENUE, 20TH FLOOR, NEW YORK NY 10019
Owl Creek Asset Management, L.p. 10 percent owner 640 FIFTH AVENUE, 20TH FLOOR, NEW YORK NY 10019
William L Yankus director 10 PHEASANT HILL, FARMINGTON CT 06032
Allan S. Martin director 401 EAST JACKSON STREET, SUITE 2370, TAMPA FL 33601
Sanjay Madhu director, officer: CEO, President and Chairman 425 EAST DAVIS BLVD., TAMPA FL 33606
Wrendon Timothy director, officer: CFO, Treas., Sec'y & Director P.O. BOX 469, CAMANA BAY E9 KY1-9006
Oac Sponsor Ltd. 10 percent owner SUITE 201, 42 EDWARD STREET, GEORGE TOWN, GRAND CAYMAN E9 KY1-9006
Jason Tk Butcher director SUITE 201, 42 EDWARD STREET, GEORGE TOWN, GRAND CAYMAN E9 KY1-9006