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RDW (Redwire) Degree of Operating Leverage : 336.78 (As of Mar. 2025)


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What is Redwire Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Redwire's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was 336.78. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

RDW's Degree of Operating Leverage is ranked worse than
99.68% of 310 companies
in the Aerospace & Defense industry
Industry Median: 1.03 vs RDW: 336.78

Redwire Degree of Operating Leverage Historical Data

The historical data trend for Redwire'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.

Redwire Degree of Operating Leverage Chart

Redwire Annual Data
Trend Dec20 Dec21 Dec22 Dec23 Dec24
Degree of Operating Leverage
- - 5.79 -1.68 20.34

Redwire Quarterly Data
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 -1.78 -0.73 0.80 20.34 336.78

Competitive Comparison of Redwire's Degree of Operating Leverage

For the Aerospace & Defense subindustry, Redwire'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.


Redwire's Degree of Operating Leverage Distribution in the Aerospace & Defense Industry

For the Aerospace & Defense industry and Industrials sector, Redwire's Degree of Operating Leverage distribution charts can be found below:

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


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Redwire Degree of Operating Leverage Calculation

Redwire'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
=( -97.315 (Mar. 2025) / -17.475 (Mar. 2024) - 1 )/( 277.704 (Mar. 2025) / 273.987 (Mar. 2024) - 1 )
=4.5688/0.0136
=336.78***

* 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.


Redwire  (NYSE:RDW) 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.


Redwire Degree of Operating Leverage Related Terms

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


Redwire Business Description

Traded in Other Exchanges
N/A
Address
8226 Philips Highway, Suite 101, Jacksonville, FL, USA, 32256
Redwire Corp is engaged in mission-critical space solutions and reliable components for the next-generation space economy. It assists its customers in solving the complex challenges of future space missions and industries. The company's space infrastructure offerings include a broad array of modern products and services, which have been enabling space missions. The company's plan enables it to combine decades of flight heritage with a culture creating new technologies that are the building blocks of space infrastructure for government and commercial customers.
Executives
Jonathan Baliff director, officer: President and CFO 211 CARNEGIE CENTER, PRINCETON NJ 08540
Joanne O'rourke Isham director 1140 E. ARQUES AVENUE, SUNNYVALE CA 94805
Cannito Peter Anthony Jr director, officer: Chairman and CEO REDWIRE CORPORATION, 8226 PHILIPS HIGHWAY, SUITE 101, JACKSONVILLE FL 32256
Genesis Park Ii Lp director, 10 percent owner 2000 EDWARDS STREET, SUITE B, HOUSTON TX 77007
Ae Industrial Partners Fund Ii Gp, Lp 10 percent owner 2500 N. MILITARY TRAIL, SUITE 470, BOCA RATON FL 33431
Chris Edmunds officer: Chief Accounting Officer C/O REDWIRE CORPORATION, 8226 PHILIPS HIGHWAY, SUITE 101, JACKSONVILLE FL 32256
M. David Kornblatt director 1214 ROUND HILL ROAD, BRYN MAWR PA 19010
Leslie B Daniels director 540 MADISON, 22ND FLOOR, NEW YORK NY 10022
John S Bolton director GENESIS PARK HOLDINGS, 2000 EDWARDS STREET, SUITE B, HOUSTON TX 77007
Michael J Bevacqua director SANKATY ADVISORS, LLC, JOHN HANCOCK TOWER, 200 CLARENDON STREET, BOSTON MA 02116
Bain Capital Credit Member, Llc 10 percent owner 200 CLARENDON STREET, BOSTON MA 02116
Bcc Redwire Aggregator, L.p. 10 percent owner 200 CLARENDON STREET, BOSTON MA 02116
Ae Industrial Partners Structured Solutions I Gp, Lp director, 10 percent owner 2500 N. MILITARY TRAIL, SUITE 470, BOCA RATON FL 33431
Ae Industrial Partners Structured Solutions I, Lp director, 10 percent owner 2500 N. MILITARY TRAIL, SUITE 470, BOCA RATON FL 33431
Michael Robert Greene 10 percent owner 2500 N. MILITARY TRAIL, SUITE 470, BOCA RATON FL 33431