GURUFOCUS.COM » STOCK LIST » Healthcare » Medical Diagnostics & Research » Inotiv Inc (NAS:NOTV) » Definitions » Degree of Operating Leverage

NOTV (Inotiv) Degree of Operating Leverage : -2.49 (As of Mar. 2025)


View and export this data going back to 1997. Start your Free Trial

What is Inotiv Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Inotiv's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was -2.49. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

NOTV's Degree of Operating Leverage is ranked better than
78.74% of 207 companies
in the Medical Diagnostics & Research industry
Industry Median: 0.45 vs NOTV: -2.49

Inotiv Degree of Operating Leverage Historical Data

The historical data trend for Inotiv'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.

Inotiv Degree of Operating Leverage Chart

Inotiv Annual Data
Trend Sep15 Sep16 Sep17 Sep18 Sep19 Sep20 Sep21 Sep22 Sep23 Sep24
Degree of Operating Leverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 52.19 -7.39 -8.29 -16.55 -0.23

Inotiv 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 11.84 5.70 -0.23 154.50 -2.49

Competitive Comparison of Inotiv's Degree of Operating Leverage

For the Diagnostics & Research subindustry, Inotiv'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.


Inotiv's Degree of Operating Leverage Distribution in the Medical Diagnostics & Research Industry

For the Medical Diagnostics & Research industry and Healthcare sector, Inotiv's Degree of Operating Leverage distribution charts can be found below:

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


;
;

Inotiv Degree of Operating Leverage Calculation

Inotiv'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
=( -51.063 (Mar. 2025) / -38.5 (Mar. 2024) - 1 )/( 480.402 (Mar. 2025) / 552.744 (Mar. 2024) - 1 )
=0.3263/-0.1309
=-2.49***

* 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.


Inotiv  (NAS:NOTV) 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.


Inotiv Degree of Operating Leverage Related Terms

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


Inotiv Business Description

Traded in Other Exchanges
N/A
Address
2701 Kent Avenue, West Lafayette, IN, USA, 47906
Inotiv Inc is a pharmaceutical development company specializing in nonclinical and analytical drug discovery, development services to the pharmaceutical, chemical, and medical device industries. It operates in two segments; Discovery and Safety Assessment (DSA) and Research Models and Services (RMS). Through the DSA segment, the company supports the discovery, nonclinical development, and clinical development needs of researchers and clinicians for small molecule drug candidates, biotherapeutics, and biomedical devices. Through the RMS segment, the company offers access to a wide range of small and large research models for basic research, drug discovery, development, and specialized models for specific diseases and therapeutic areas. The company earns maximum revenue from RMS Segment.
Executives
Mary Theresa Coelho director 52 SUNRISE PARK ROAD, NEW HAMPTON NY 43017
John E Sagartz director, officer: Chief Strategy Officer 19 WORTHINGTON ACCESS DRIVE, MARYLAND HEIGHTS MO 63043
Robert Jr. Leasure director, officer: President and CEO C/O BIOANALYTICAL SYSTEMS, INC., 2701 KENT AVENUE, WEST LAFAYETTE IN 47906-1382
Beth Taylor officer: Chief Financial Officer 3000 KENT AVENUE, SUITE A1-100, WEST LAFAYETTE IN 47906
Jeffrey Brennan Freeman officer: VP-Finance & Corp. Controller 2701 KENT AVENUE, WEST LAFAYETTE IN 47906-1382
David Landman director 2701 KENT AVENUE, WEST LAFAYETTE IN 47906-1382
John Gregory Beattie officer: Chief Operating Officer C/O BIOANALYTICAL SYSTEMS, INC., 2701 KENT AVENUE, WEST LAFAYETTE IN 47906
Nigel Brown director 250 PEHLE AVENUE, SUITE 600, SADDLE BROOK NJ 07663
Michael Garrett officer: Chief Commercial Officer 250 PEHLE DRIVE, SUITE 601, SADDLE BROOK NJ 07663
Andrea Castetter officer: SVP, Gen. Counsel & Secretary 2701 KENT AVENUE, WEST LAFAYETTE IN 47906-1382
Jeffrey Arthur Krupp officer: Chief Human Resources Officer 2701 KENT AVENUE, WEST LAFAYETTE IN 47906-1382
William D Pitchford officer: Chief Human Resources Officer 1000 SAGAMORE PARKWAY SOUTH, LAFAYETTE IN 47905
R Matthew Neff director 535 N. COLLEGE DRIVE, CARMEL IN 46032
Scott Cragg director 660 MADISON AVENUE, NEW YORK NY 10065
Richard Allen Johnson director 2701 KENT AVE, WEST LAFAYETTE MI 47906