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LAC (Lithium Americas) Degree of Operating Leverage : 0.00 (As of Mar. 2025)


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What is Lithium Americas Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Lithium Americas does not have enough data to calculate Degree of Operating Leverage.


Lithium Americas Degree of Operating Leverage Historical Data

The historical data trend for Lithium Americas'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.

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Lithium Americas Degree of Operating Leverage Chart

Lithium Americas Annual Data
Trend Dec20 Dec21 Dec22 Dec23 Dec24
Degree of Operating Leverage
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Lithium Americas Quarterly Data
Dec21 Mar22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25
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Competitive Comparison of Lithium Americas's Degree of Operating Leverage

For the Other Industrial Metals & Mining subindustry, Lithium Americas'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.


Lithium Americas's Degree of Operating Leverage Distribution in the Metals & Mining Industry

For the Metals & Mining industry and Basic Materials sector, Lithium Americas's Degree of Operating Leverage distribution charts can be found below:

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


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Lithium Americas Degree of Operating Leverage Calculation

Lithium Americas'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
=( -48.15 (Mar. 2025) / -25.581 (Mar. 2024) - 1 )/( 0 (Mar. 2025) / 0 (Mar. 2024) - 1 )
=0.8823/
=N/A***

* 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.


Lithium Americas  (NYSE:LAC) 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.


Lithium Americas Degree of Operating Leverage Related Terms

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Lithium Americas Business Description

Traded in Other Exchanges
Address
666 Burrard Street, Suite 3260, Vancouver, BC, CAN, V6C 2X8
Lithium Americas is a pure-play lithium producer. The firm owns 62% of one resource, Thacker Pass, that is located in northwest Nevada, with automaker General Motors owning the remaining 38%. Thacker Pass recently began construction and is expected to begin production in the late 2020s. Thacker Pass is one of the largest known lithium resources in the world. The project would be the first clay-based asset to enter production, and we estimate it will be in bottom half of the global cost curve. Management plans to develop Thacker Pass into a fully integrated lithium production site, with downstream refining capabilities on site, and will sell into the lithium chemical market.