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Bouvet ASA (OSTO:BOUVETO) Degree of Operating Leverage : 2.26 (As of Mar. 2025)


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What is Bouvet ASA Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Bouvet ASA's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was 2.26. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

OSTO:BOUVETO's Degree of Operating Leverage is ranked worse than
68.96% of 2664 companies
in the Software industry
Industry Median: 0.78 vs OSTO:BOUVETO: 2.26

Bouvet ASA Degree of Operating Leverage Historical Data

The historical data trend for Bouvet ASA'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.

Bouvet ASA Degree of Operating Leverage Chart

Bouvet ASA 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 2.83 0.60 1.37 0.33 1.83

Bouvet ASA 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 0.26 1.06 1.28 1.83 2.26

Competitive Comparison of Bouvet ASA's Degree of Operating Leverage

For the Information Technology Services subindustry, Bouvet ASA'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.


Bouvet ASA's Degree of Operating Leverage Distribution in the Software Industry

For the Software industry and Technology sector, Bouvet ASA's Degree of Operating Leverage distribution charts can be found below:

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


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Bouvet ASA Degree of Operating Leverage Calculation

Bouvet ASA'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
=( 536.77 (Mar. 2025) / 432.587 (Mar. 2024) - 1 )/( 3980.427 (Mar. 2025) / 3596.36 (Mar. 2024) - 1 )
=0.2408/0.1068
=2.26***

* 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.


Bouvet ASA  (OSTO:BOUVETO) 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.


Bouvet ASA Degree of Operating Leverage Related Terms

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Bouvet ASA Business Description

Industry
Traded in Other Exchanges
Address
Sorkedalsveien 8, Oslo, NOR, 0369
Bouvet ASA is a consultancy company that provides advice in the field of information technology and digital communication. It helps enterprises shape digital solutions that create efficiency and new business opportunities. The company caters to both private and public-sector players. Some of the business sectors that it caters to include Power supply, Industry, Oil and gas, Public admin, Transportation, Retail, Information and communication, Service industry, and Health. Its geographical segments are Norway, Sweden, and other countries, of which the vast majority of its revenue comes from Norway.

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