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OWPC (One World Products) Degree of Operating Leverage : 0.55 (As of Dec. 2024)


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What is One World Products Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. One World Products's Degree of Operating Leverage for the quarter that ended in Dec. 2024 was 0.55. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

OWPC's Degree of Operating Leverage is ranked better than
51.79% of 948 companies
in the Drug Manufacturers industry
Industry Median: 0.705 vs OWPC: 0.55

One World Products Degree of Operating Leverage Historical Data

The historical data trend for One World Products'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.

One World Products Degree of Operating Leverage Chart

One World Products Annual Data
Trend Sep15 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 - 1.60 -0.11 -0.51 0.55

One World Products 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 -0.51 -0.98 -1.01 -1.05 0.55

Competitive Comparison of One World Products's Degree of Operating Leverage

For the Drug Manufacturers - Specialty & Generic subindustry, One World Products'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.


One World Products's Degree of Operating Leverage Distribution in the Drug Manufacturers Industry

For the Drug Manufacturers industry and Healthcare sector, One World Products's Degree of Operating Leverage distribution charts can be found below:

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


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One World Products Degree of Operating Leverage Calculation

One World Products'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
=( -2.892 (Dec. 2024) / -3.645 (Dec. 2023) - 1 )/( 0.005 (Dec. 2024) / 0.008 (Dec. 2023) - 1 )
=-0.2066/-0.375
=0.55***

* 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.


One World Products  (OTCPK:OWPC) 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.


One World Products Degree of Operating Leverage Related Terms

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


One World Products Business Description

Traded in Other Exchanges
N/A
Address
6605 Grand Montecito Parkway, Suite 100, Las Vegas, NV, USA, 89149
One World Products Inc along with its subsidiaries is engaged in the cultivation, production, and distribution of raw cannabis and hemp plant ingredients for both medical and industrial uses. It focuses on cultivating, processing, and supplying cannabis oil, distillate, and isolate to customer's specifications.
Executives
Sommer Joerg Herman Walter officer: President RHEINSTR. 50, BONN 2M 53179
Terry Lynn Buffalo director 3063 BRIGHTON BLVD, #918, DENVER CO 80216
Timothy Woods officer: Chief Financial Officer 8191 QUINN TERRACE, VIENNA VA 22180
Vahe Gabriel officer: CFO and COO 808 BRICKELL KEY DRIVE, APT. # 1106, MIAMI FL 33131
Isiah Iii Thomas director, officer: CEO and Vice Chairman TWO PENNSYLVANIA PLAZA, NEW YORK NY 10121
Bruce I Raben director 430 VICTORIA TERRACE, RIDGEFIELD NJ 7657
Craig Ellins director, officer: CEO and CFO 3035 EAST PATRICK LANE, SUITE 9, LAS VEGAS NV 89120
Lei Wang director, 10 percent owner, officer: CEO & CFO 2609 MONTE CRESTA DRIVE, BELMONT CA 94002

One World Products Headlines

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