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LNZA (LanzaTech Global) Degree of Operating Leverage : -0.61 (As of Mar. 2025)


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What is LanzaTech Global Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. LanzaTech Global's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was -0.61. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

LNZA's Degree of Operating Leverage is ranked better than
69.66% of 234 companies
in the Waste Management industry
Industry Median: 0.59 vs LNZA: -0.61

LanzaTech Global Degree of Operating Leverage Historical Data

The historical data trend for LanzaTech Global'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.

LanzaTech Global Degree of Operating Leverage Chart

LanzaTech Global Annual Data
Trend Dec20 Dec21 Dec22 Dec23 Dec24
Degree of Operating Leverage
- 0.59 1.19 0.60 -0.12

LanzaTech Global Quarterly Data
Dec20 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 0.15 -0.18 -0.77 -0.12 -0.61

Competitive Comparison of LanzaTech Global's Degree of Operating Leverage

For the Waste Management subindustry, LanzaTech Global'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.


LanzaTech Global's Degree of Operating Leverage Distribution in the Waste Management Industry

For the Waste Management industry and Industrials sector, LanzaTech Global's Degree of Operating Leverage distribution charts can be found below:

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


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LanzaTech Global Degree of Operating Leverage Calculation

LanzaTech Global'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
=( -113.832 (Mar. 2025) / -100.012 (Mar. 2024) - 1 )/( 48.831 (Mar. 2025) / 63.229 (Mar. 2024) - 1 )
=0.1382/-0.2277
=-0.61***

* 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.


LanzaTech Global  (NAS:LNZA) 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.


LanzaTech Global Degree of Operating Leverage Related Terms

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


LanzaTech Global Business Description

Traded in Other Exchanges
N/A
Address
8045 Lamon Avenue, Suite 400, Skokie, IL, USA, 60077
LanzaTech Global Inc is a carbon management company transforming waste carbon into sustainable fuels, fabrics, packaging, and nutrition. Its goal is to advance a circular economy where carbon is reused rather than wasted, reducing reliance on virgin fossil resources and supporting supply chain resilience. The company operates in North America, Europe, Middle East, Africa (EMEA), Asia, and Australia.
Executives
Freya Burton officer: Chief Sustainability Officer 8045 LAMON AVENUE, SUITE 400, SKOKIE IL 60077
Chad Thompson officer: Chief People Officer LANZATECH GLOBAL, INC., 8045 LAMON AVENUE SUITE 400, SKOKIE IL 60077
Zarath Summers officer: Chief Science Officer LANZATECH GLOBAL, INC., 8045 LAMON AVENUE SUITE 400, SKOKIE IL 60077
Michael Kopke officer: Chief Innovation Officer LANZATECH GLOBAL, INC., 8045 LAMON AVENUE SUITE 400, SKOKIE IL 60077
Cuellar Calad Aura Maria officer: EVP, Growth & Strategy LANZATECH GLOBAL, INC., 8045 LAMON AVENUE SUITE 400, SKOKIE IL 60077
Khosla Ventures Iii, L.p. 10 percent owner 2128 SAND HILL ROAD, MENLO PARK CA 94025
Vk Services, Llc 10 percent owner 2128 SAND HILL ROAD, MENLO PARK CA 94025
Khosla Ventures Associates Iii, Llc 10 percent owner 2128 SAND HILL ROAD, MENLO PARK CA 94025
Vinod Khosla 10 percent owner 2128 SAND HILL RD, MENLO PARK CA 94025
James A Messina director 8045 LAMON AVENUE, SUITE 400, SKOKIE IL 60077
Barbara M Byrne director C/O CBS CORPORATION, 51 WEST 52ND STREET, NEW YORK NY 10019
Geoffrey Trukenbrod officer: Chief Financial Officer 8045 LAMON AVENUE, SUITE 400, SKOKIE IL 60077
Johanna Haggstrom officer: VP, Chemicals & HC Fuels Tech. 8045 LAMON AVENUE, SUITE 400, SKOKIE IL 60077
Julie Zarraga officer: EVP, Engineering 8045 LAMON AVENUE, SUITE 400, SKOKIE IL 60077
Steven F Stanley officer: Chief Commercial Officer 8045 LAMON AVENUE, SUITE 400, SKOKIE IL 60077