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PANC (Panacos Pharmaceuticals) Degree of Operating Leverage : 0.00 (As of Sep. 2008)


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What is Panacos Pharmaceuticals Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Panacos Pharmaceuticals's Degree of Operating Leverage for the quarter that ended in Sep. 2008 was 0.00. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

PANC's Degree of Operating Leverage is not ranked *
in the Biotechnology industry.
Industry Median: -0.02
* Ranked among companies with meaningful Degree of Operating Leverage only.

Panacos Pharmaceuticals Degree of Operating Leverage Historical Data

The historical data trend for Panacos Pharmaceuticals'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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Panacos Pharmaceuticals Degree of Operating Leverage Chart

Panacos Pharmaceuticals Annual Data
Trend Dec98 Dec99 Dec00 Dec01 Dec02 Dec03 Dec04 Dec05 Dec06 Dec07
Degree of Operating Leverage
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Panacos Pharmaceuticals Quarterly Data
Dec03 Mar04 Jun04 Sep04 Dec04 Mar05 Jun05 Sep05 Dec05 Mar06 Jun06 Sep06 Dec06 Mar07 Jun07 Sep07 Dec07 Mar08 Jun08 Sep08
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Competitive Comparison of Panacos Pharmaceuticals's Degree of Operating Leverage

For the Biotechnology subindustry, Panacos Pharmaceuticals'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.


Panacos Pharmaceuticals's Degree of Operating Leverage Distribution in the Biotechnology Industry

For the Biotechnology industry and Healthcare sector, Panacos Pharmaceuticals's Degree of Operating Leverage distribution charts can be found below:

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


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Panacos Pharmaceuticals Degree of Operating Leverage Calculation

Panacos Pharmaceuticals's Degree of Operating Leverage for the quarter that ended in Sep. 2008 is calculated as:

Degree of Operating Leverage=% Change in EBIT**/% Change in Revenue
=( -34.223 (Sep. 2008) / -39.278 (Sep. 2007) - 1 )/( 0.099 (Sep. 2008) / 0.183 (Sep. 2007) - 1 )
=-0.1287/-0.459
=0.28***

* 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.


Panacos Pharmaceuticals  (OTCPK:PANC) 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.


Panacos Pharmaceuticals Degree of Operating Leverage Related Terms

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Panacos Pharmaceuticals Business Description

Traded in Other Exchanges
N/A
Address
134 Coolidge Avenue, Watertown, MA, USA, 02472
Panacos Pharmaceuticals Inc is a biotechnology company that seeks to develop next generation anti-infective products through the discovery and development of small-molecule oral drugs designed to treat HIV and other human viral diseases.

Panacos Pharmaceuticals Headlines

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