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MSGE (Madison Square Garden Entertainment) Degree of Operating Leverage : 3.61 (As of Mar. 2025)


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What is Madison Square Garden Entertainment Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Madison Square Garden Entertainment's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was 3.61. The higher Degree of Operating Leverage, the higher operating risk the company will take.

The industry rank for Madison Square Garden Entertainment's Degree of Operating Leverage or its related term are showing as below:

MSGE's Degree of Operating Leverage is ranked worse than
70.42% of 808 companies
in the Travel & Leisure industry
Industry Median: 1.25 vs MSGE: 3.61

Madison Square Garden Entertainment Degree of Operating Leverage Historical Data

The historical data trend for Madison Square Garden Entertainment'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.

Madison Square Garden Entertainment Degree of Operating Leverage Chart

Madison Square Garden Entertainment Annual Data
Trend Jun20 Jun21 Jun22 Jun23 Jun24
Degree of Operating Leverage
- 1.94 -0.08 -2.73 -1.18

Madison Square Garden Entertainment Quarterly Data
Jun21 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 9.36 -1.18 2.07 -0.46 3.61

Competitive Comparison of Madison Square Garden Entertainment's Degree of Operating Leverage

For the Leisure subindustry, Madison Square Garden Entertainment'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.


Madison Square Garden Entertainment's Degree of Operating Leverage Distribution in the Travel & Leisure Industry

For the Travel & Leisure industry and Consumer Cyclical sector, Madison Square Garden Entertainment's Degree of Operating Leverage distribution charts can be found below:

* The bar in red indicates where Madison Square Garden Entertainment's Degree of Operating Leverage falls into.


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Madison Square Garden Entertainment Degree of Operating Leverage Calculation

Madison Square Garden Entertainment'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
=( 135.244 (Mar. 2025) / 111.786 (Mar. 2024) - 1 )/( 974.67 (Mar. 2025) / 921.126 (Mar. 2024) - 1 )
=0.2098/0.0581
=3.61***

* 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.


Madison Square Garden Entertainment  (NYSE:MSGE) 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.


Madison Square Garden Entertainment Degree of Operating Leverage Related Terms

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Madison Square Garden Entertainment Business Description

Traded in Other Exchanges
N/A
Address
Two Penn Plaza, New York, NY, USA, 10121
Madison Square Garden Entertainment Corp provides live entertainment, delivering unforgettable experiences while forging deep connections with diverse and passionate audiences. The company's portfolio includes a collection of world-renowned venues - New York's Madison Square Garden, The Theater at Madison Square Garden, Radio City Music Hall, and Beacon Theatre; and The Chicago Theatre - that showcase a broad array of sporting events, concerts, family shows, and special events for millions of guests annually. In addition, the company features the original production, the Christmas Spectacular Starring the Radio City Rockettes, which has been a holiday tradition for 89 years.
Executives
Philip Gerard D'ambrosio officer: SVP and Treasurer TWO PENNSYLVANIA PLAZA, NEW YORK NY 10121
Frederic V Salerno director TWO PENNSYLVANIA PLAZA, NEW YORK NY 10121
James Lawrence Dolan director, officer: Executive Chairman / CEO, other: Member of 13(d) Group BAKER BOTTS L.L.P., 30 ROCKEFELLER PLAZA, NEW YORK NY 10112
Madison Square Garden Entertainment Corp. 10 percent owner, other: See Remarks TWO PENNSYLVANIA PLAZA, NEW YORK NY 10121
Thomas Charles Dolan other: Member of 13(d) Group BAKER BOTTS L.L.P., 30 ROCKEFELLER PLAZA, NEW YORK NY 10112
Donna Coleman director 2 PENNSYLVANIA PLAZA, NEW YORK NY 10121
Martin Bandier director TWO PENNSYLVANIA PLAZA, NEW YORK NY 10121
Quentin F Dolan director 11 PENNSYLVANIA PLAZA, NEW YORK NY 10001
Charles P Dolan director 2 PENN PLAZA, NEW YORK NY 10121
Ryan Thomas Dolan director TWO PENNSYLVANIA PLAZA, NEW YORK NY 10121
Ryan Dolan 1989 Trust other: Member of 13(d) Group BAKER BOTTS L.L.P., 30 ROCKEFELLER PLAZA, NEW YORK NY 10112
Mary S Dolan other: Trustee of 13(d) Group Member BAKER BOTTS L.L.P., 30 ROCKEFELLER PLAZA, NEW YORK NY 10112
Tara Dolan 1989 Trust other: Member of 13(d) Group BAKER BOTTS L.L.P., 30 ROCKEFELLER PLAZA, NEW YORK NY 10112
Charles F. Dolan Children Trust Fbo Kathleen M. Dolan other: Member of 13(d) Group BAKER BOTTS L.L.P., 30 ROCKEFELLER PLAZA, NEW YORK NY 10112
Charles F. Dolan Children Trust Fbo Deborah Dolan-sweeney other: Member of 13(d) Group BAKER BOTTS L.L.P., 30 ROCKEFELLER PLAZA, NEW YORK NY 10112