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Marr SpA (MIL:MARR) Degree of Operating Leverage : -4.13 (As of Dec. 2024)


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What is Marr SpA Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Marr SpA's Degree of Operating Leverage for the quarter that ended in Dec. 2024 was -4.13. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

MIL:MARR's Degree of Operating Leverage is ranked better than
84.26% of 305 companies
in the Retail - Defensive industry
Industry Median: 1.04 vs MIL:MARR: -4.13

Marr SpA Degree of Operating Leverage Historical Data

The historical data trend for Marr SpA'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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Marr SpA Degree of Operating Leverage Chart

Marr SpA Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Degree of Operating Leverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 2.64 51.96 -0.66 10.64 -4.13

Marr SpA Quarterly Data
Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24
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 10.64 26.66 88.94 39.14 -4.13

Competitive Comparison of Marr SpA's Degree of Operating Leverage

For the Food Distribution subindustry, Marr SpA'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.


Marr SpA's Degree of Operating Leverage Distribution in the Retail - Defensive Industry

For the Retail - Defensive industry and Consumer Defensive sector, Marr SpA's Degree of Operating Leverage distribution charts can be found below:

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


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Marr SpA Degree of Operating Leverage Calculation

Marr SpA's Degree of Operating Leverage for the quarter that ended in Dec. 2024 is calculated as:

Degree of Operating Leverage=% Change in EBIT**/% Change in Revenue
=( 84.836 (Dec. 2024) / 86.827 (Dec. 2023) - 1 )/( 2048.206 (Dec. 2024) / 2036.91 (Dec. 2023) - 1 )
=-0.0229/0.0055
=-4.13***

* 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.


Marr SpA  (MIL:MARR) 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.


Marr SpA Degree of Operating Leverage Related Terms

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Marr SpA Business Description

Traded in Other Exchanges
Address
Street Spagna, 20, Rimini, ITA, 47921
Marr SpA is an Italian distributor of frozen and fresh products to the non-domestic catering sector. The company's products consist of seafood, meat, grocery, fruits and vegetables, and kitchen equipment, as well as private label products. Marr operates through a network of sales agents, distribution centers, stocking platforms, and logistics. The group categorizes the customers as the street market, which includes restaurants and hotels not belonging to groups or chains; the national account, which contains operators of chains and groups and canteens, and the wholesale category. Marr generates more than half of its revenue from street market customers.

Marr SpA Headlines

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