GURUFOCUS.COM » STOCK LIST » Technology » Hardware » LSI Industries Inc (NAS:LYTS) » Definitions » Degree of Operating Leverage

LYTS (LSI Industries) Degree of Operating Leverage : -0.65 (As of Mar. 2025)


View and export this data going back to 1985. Start your Free Trial

What is LSI Industries Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. LSI Industries's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was -0.65. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

LYTS's Degree of Operating Leverage is ranked better than
66.94% of 2414 companies
in the Hardware industry
Industry Median: 1 vs LYTS: -0.65

LSI Industries Degree of Operating Leverage Historical Data

The historical data trend for LSI Industries'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.

LSI Industries Degree of Operating Leverage Chart

LSI Industries Annual Data
Trend Jun15 Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23 Jun24
Degree of Operating Leverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 22.99 -10.55 3.54 8.24 0.86

LSI Industries Quarterly Data
Jun20 Sep20 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 Premium Member Only Premium Member Only -1.18 0.86 6.60 -0.82 -0.65

Competitive Comparison of LSI Industries's Degree of Operating Leverage

For the Electronic Components subindustry, LSI Industries'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.


LSI Industries's Degree of Operating Leverage Distribution in the Hardware Industry

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

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


;
;

LSI Industries Degree of Operating Leverage Calculation

LSI Industries'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
=( 32.416 (Mar. 2025) / 36.673 (Mar. 2024) - 1 )/( 547.316 (Mar. 2025) / 464.268 (Mar. 2024) - 1 )
=-0.1161/0.1789
=-0.65***

* 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.


LSI Industries  (NAS:LYTS) 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.


LSI Industries Degree of Operating Leverage Related Terms

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


LSI Industries Business Description

Industry
Traded in Other Exchanges
Address
10000 Alliance Road, Cincinnati, OH, USA, 45242
LSI Industries Inc provides corporate visual image solutions to the petroleum and convenience store industry. The company's operating segments include Lighting and Display Solutions. It generates maximum revenue from the Lighting segment. Lighting Segment manufactures and markets outdoor and indoor lighting and lighting controls for the commercial, industrial, and multi-site retail markets including the petroleum/convenience store, quick-service, and automotive markets. The Display Solutions Segment manufactures, sells and installs exterior and interior visual image and display elements, including printed graphics, structural graphics, digital signage, menu board systems, display fixtures, refrigerated displays and custom display elements.
Executives
James Anthony Clark officer: CEO and President 10000 ALLIANCE ROAD, CINCINNATI OH 45242
James E Galeese officer: Executive VP; CFO LSI INDUSTRIES INC., 10000 ALLIANCE RD, CINCINNATI OH 45242
Thomas A Caneris officer: Sr. VP, HR and General Counsel 1901 CAMPUS PLACE, LOUISVILLE KY 40299
Jeffery S. Bastian officer: Chief Accounting Officer C/O LSI INDUSTRIES, 10000 ALLIANCE RD., CINCINNATI OH 45242
Michael A. Prachar officer: Chief Marketing Officer 10000 ALLIANCE ROAD, CINCINNATI OH 45242
Ronald D Brown director 2090 FLORENCE AVENUE, CINCINNATI OH 45206
Amy Hanson director C/O MACY'S, INC., 7 WEST SEVENTH STREET, CINCINNATI OH 45202
Chantel E Lenard director 1665 SCENIC AVENUE, SUITE 250, COSTA MESA CA 92626
Robert P. Beech director 9938 ZIG ZAG ROAD, CINCINNATI OH 45242
Marshall Ernest W Jr director 1000 EATON BLVD, CLEVELAND OH 44122
Steve A. Brunker officer: CIO 10000 ALLIANCE ROAD, CINCINNATI OH 45242
Sylvia M. Astrop officer: SVP Global Sourcing 10000 ALLIANCE ROAD, CINCINNATI OH 45242
John K Morgan director 1310 SEABOARD INDUSTRIAL BLVD, ATLANTA GA 30318
Michael C Beck officer: Sr Vice President - Operations 10000 ALLIANCE ROAD, CINCINNATI OH 45242
Crawford C. Lipsey officer: Interim President and COO 10000 ALLIANCE ROAD, CINCINNATI OH 45242