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KIND (Nextdoor Holdings) Degree of Operating Leverage : -2.69 (As of Mar. 2025)


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What is Nextdoor Holdings Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Nextdoor Holdings's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was -2.69. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

KIND's Degree of Operating Leverage is ranked better than
77.88% of 547 companies
in the Interactive Media industry
Industry Median: 1.03 vs KIND: -2.69

Nextdoor Holdings Degree of Operating Leverage Historical Data

The historical data trend for Nextdoor Holdings'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.

Nextdoor Holdings Degree of Operating Leverage Chart

Nextdoor Holdings Annual Data
Trend Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Degree of Operating Leverage
Get a 7-Day Free Trial 0.03 0.42 4.87 7.47 -2.22

Nextdoor Holdings Quarterly Data
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 2.56 2.25 -0.55 -2.22 -2.69

Competitive Comparison of Nextdoor Holdings's Degree of Operating Leverage

For the Internet Content & Information subindustry, Nextdoor Holdings'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.


Nextdoor Holdings's Degree of Operating Leverage Distribution in the Interactive Media Industry

For the Interactive Media industry and Communication Services sector, Nextdoor Holdings's Degree of Operating Leverage distribution charts can be found below:

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


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Nextdoor Holdings Degree of Operating Leverage Calculation

Nextdoor Holdings'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
=( -113.903 (Mar. 2025) / -168.221 (Mar. 2024) - 1 )/( 248.306 (Mar. 2025) / 221.684 (Mar. 2024) - 1 )
=-0.3229/0.1201
=-2.69***

* 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.


Nextdoor Holdings  (NYSE:KIND) 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.


Nextdoor Holdings Degree of Operating Leverage Related Terms

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


Nextdoor Holdings Business Description

Traded in Other Exchanges
N/A
Address
420 Taylor Street, San Francisco, CA, USA, 94102
Nextdoor Holdings Inc is the platform to connect to the neighborhoods. The purpose is to cultivate a kinder world where everyone has a neighborhood. Neighbors around the world turn to Nextdoor daily to receive trusted information, give and get help, get things done, and build real-world connections with nearby neighbors, businesses, and public services. It offers a comprehensive suite of advertising solutions designed to deliver exceptional value for businesses of all size.
Executives
John Orta officer: Head of Legal and Secretary C/O NEXTDOOR HOLDINGS, INC., 420 TAYLOR STREET, SAN FRANCISCO CA 94012
Dana L Evan director 550 EAST TIMPANOGOS CIRCLE, *, OREM UT 84097
Greylock 16 Gp Llc other: Member of 10% owner group 2550 SAND HILL ROAD, SUITE 200, MENLO PARK CA 94025
David L Sze director GREYLOCK, 880 WINTER STREET SUITE 300, WALTHAM MA 02451
Mary G Meeker director 2750 SAND HILL ROAD, MENLO PARK CA 94025
Jason Pressman director 2440 SAND HILL ROAD, SUITE 300, MENLO PARK CA 94025
Greylock 16 Limited Partnership other: Member of 10% owner group 1600 DISTRICT AVENUE, SUITE 104, BURLINGTON MA 01803
Greylock 16-a Limited Partnership other: Member of 10% owner group 1600 DISTRICT AVENUE, SUITE 104, BURLINGTON MA 01803
Greylock 16 Principals Lp other: Member of 10% owner group 1600 DISTRICT AVENUE, SUITE 104, BURLINGTON MA 01803
Shasta Ventures Ii Gp, Llc 10 percent owner 2440 SAND HILL ROAD, SUITE 300, MENLO PARK CA 94025
Greylock Discovery Fund Llc 10 percent owner 2550 SAND HILL ROAD, SUITE 200, MENLO PARK CA 94025
Sarah Friar director, officer: CEO and President C/O NEXTDOOR HOLDINGS, INC., 420 TAYLOR STREET, SAN FRANCISCO CA 94102
Andrea M Wishom director 651 BRANNAN ST., SAN FRANCISCO CA 94107
Benchmark Capital Management Co. Viii, L.l.c. 10 percent owner 2965 WOODSIDE ROAD, WOODSIDE CA 94062
Benchmark Capital Partners Viii, L.p. 10 percent owner 2965 WOODSIDE ROAD, WOODSIDE CA 94062