GURUFOCUS.COM » STOCK LIST » Technology » Hardware » Algorhythm Holdings Inc (NAS:RIME) » Definitions » Degree of Operating Leverage

RIME (Algorhythm Holdings) Degree of Operating Leverage : -9.28 (As of Mar. 2025)


View and export this data going back to 1994. Start your Free Trial

What is Algorhythm Holdings Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Algorhythm Holdings's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was -9.28. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

RIME's Degree of Operating Leverage is ranked better than
87.53% of 2413 companies
in the Hardware industry
Industry Median: 1 vs RIME: -9.28

Algorhythm Holdings Degree of Operating Leverage Historical Data

The historical data trend for Algorhythm Holdings'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.

Algorhythm Holdings Degree of Operating Leverage Chart

Algorhythm Holdings Annual Data
Trend Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Dec24
Degree of Operating Leverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 32.17 -10.20 -19.16 26.61 -7.14

Algorhythm Holdings 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 -8.64 28.20 -7.90 -7.14 -9.28

Competitive Comparison of Algorhythm Holdings's Degree of Operating Leverage

For the Consumer Electronics subindustry, Algorhythm Holdings'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.


Algorhythm Holdings's Degree of Operating Leverage Distribution in the Hardware Industry

For the Hardware industry and Technology sector, Algorhythm Holdings's Degree of Operating Leverage distribution charts can be found below:

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


;
;

Algorhythm Holdings Degree of Operating Leverage Calculation

Algorhythm Holdings'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
=( -29.47 (Mar. 2025) / -8.387 (Mar. 2024) - 1 )/( 23.061 (Mar. 2025) / 31.624 (Mar. 2024) - 1 )
=2.5138/-0.2708
=-9.28***

* 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.


Algorhythm Holdings  (NAS:RIME) 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.


Algorhythm Holdings Degree of Operating Leverage Related Terms

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


Algorhythm Holdings Business Description

Traded in Other Exchanges
N/A
Address
6301 NW 5th Way, Suite 2900, Fort Lauderdale, FL, USA, 33309
Algorhythm Holdings Inc is an AI technology and consumer electronics holding company with two primary business units - SemiCab and Singing Machine. SemiCab is an artificial intelligence (AI) enabled software logistics business operated through its subsidiary, SemiCab Holdings, LLC. Singing Machine is a home karaoke consumer products business that designs and distributes karaoke products globally to retailers and eCommerce partners through its subsidiary, The Singing Machine Company, Inc. It generates the majority of its revenue from the Singing Machine business segment.
Executives
Stingray Group Inc. 10 percent owner 730 WELLINGTON STREET, MONTREAL A8 H3C 1T4
Ault Milton C Iii 10 percent owner 11411 SOUTHERN HIGHLANDS PARKWAY, SUITE 240, LAS VEGAS NV 89141
Jay B Foreman director 6301 NW 5TH WAY,, SUITE 2900, FORT LAUDERDALE FL 33309
Bitnile Holdings, Inc. 10 percent owner 11411 SOUTHERN HIGHLANDS PARKWAY, SUITE 240, LAS VEGAS NV 89141
Henry Carl Nisser director 100 PARK AVENUE, SUITE 1658A, NEW YORK NY 10017
James Michael Turner director 1800 HICKORY RIDGE DRIVE, WAXHAW NC 28173
Kenneth S Cragun director 3775 CHIPPEWA CIRCLE, CORONA CA 92881
Mathieu Peloquin director 730 WELLINGTON STREET, MONTREAL A8 H3C 1T4
Eric Boyko 10 percent owner 730 WELLINGTON STREET, MONTREAL A8 H3C 1T4
Bernardo Melo officer: VP Sales 6601 LYONS ROAD, BUILDING A 7, COCONUT CREEK FL 33073
Joseph Kling director 5846 NW 24TH AVENUE (UNIT #203), BOCA RATON FL 33496
Lau Sak Hong Aka Philip Lau director SHING DAO INDUSTRIAL BUILDING SECURITIES, 232 ABERDEEN MAIN ROAD 5TH FLO K3 00000
Gary Kevin Atkinson officer: Secretary 1266 S MILITARY TRAIL, APT 5314, DEERFIELD BEACH FL 33442
Carol Lau director THE SINGING MACHINE COMPANY INC, 6601 LYONS ROAD BUILDING A 7, COCONUT CREEK FL 33073
Anton Handal officer: CEO 425 TYRONE STREET, EL CAJON CA 92020