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SHEN (Shenandoah Telecommunications Co) Degree of Operating Leverage : -36.67 (As of Mar. 2025)


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What is Shenandoah Telecommunications Co Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Shenandoah Telecommunications Co's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was -36.67. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

SHEN's Degree of Operating Leverage is ranked better than
93.17% of 366 companies
in the Telecommunication Services industry
Industry Median: 1.44 vs SHEN: -36.67

Shenandoah Telecommunications Co Degree of Operating Leverage Historical Data

The historical data trend for Shenandoah Telecommunications Co'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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Shenandoah Telecommunications Co Degree of Operating Leverage Chart

Shenandoah Telecommunications Co 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 2.20 -27.01 -292.45 -16.34 -22.21

Shenandoah Telecommunications Co 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 -15.29 -1.55 0.95 -22.21 -36.67

Competitive Comparison of Shenandoah Telecommunications Co's Degree of Operating Leverage

For the Telecom Services subindustry, Shenandoah Telecommunications Co'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.


Shenandoah Telecommunications Co's Degree of Operating Leverage Distribution in the Telecommunication Services Industry

For the Telecommunication Services industry and Communication Services sector, Shenandoah Telecommunications Co's Degree of Operating Leverage distribution charts can be found below:

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


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Shenandoah Telecommunications Co Degree of Operating Leverage Calculation

Shenandoah Telecommunications Co'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
=( -26.449 (Mar. 2025) / 2.873 (Mar. 2024) - 1 )/( 346.708 (Mar. 2025) / 271.214 (Mar. 2024) - 1 )
=-10.2061/0.2784
=-36.67***

* 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.


Shenandoah Telecommunications Co  (NAS:SHEN) 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.


Shenandoah Telecommunications Co Degree of Operating Leverage Related Terms

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Shenandoah Telecommunications Co Business Description

Traded in Other Exchanges
N/A
Address
500 Shentel Way, Edinburg, VA, USA, 22824
Shenandoah Telecommunications Company, with its subsidiaries, provides various broadband communication products and services via its wireless, cable, fiber optic, and fixed wireless networks to customers in the Mid-Atlantic United States. The company operates through one business unit: Broadband. The broadband segment provides broadband Internet, video, and voice services to residential and commercial customers. The broadband segment generates the vast majority of the company's revenue, with the bulk of sales flowing from residential and small, and medium businesses within the broadband unit.
Executives
Christopher E French officer: President & CEO PO BOX 459, EDINBURG VA 22824
Edward H Mckay officer: VP-Information Technology PO BOX 459, EDINBURG VA 22824
Koontz Richard L Jr director PO BOX 459, EDINBURG VA 22824
Kenneth L Quaglio director PO BOX 459, EDINBURG VA 22824
W Flora John director PO BOX 459, 500 SHENTEL WAY, EDINBURG VA 22824
James J Volk officer: SR VP FINANCE & CFO
Heather K Banks officer: VP & Chief HRO PO BOX 459, EDINBURG VA 22824
Tracy Fitzsimmons director PO BOX 459, EDINBURG VA 22824
Derek Rieger officer: VP-Legal/Gen Counsel & Sec PO BOX 459, EDINBURG VA 22824
Mason Richard W Jr officer: SR VP & Head of Bus Dev PO BOX 459, EDINBURG VA 22824
Leigh Ann Schultz director PO BOX 459, EDINBURG VA 22824
Thomas Beckett director 111 W. CONGRESS STREET, CHARLES TOWN WV 25414
Victor Christopher Barnes director PO BOX 459, EDINBURG VA 22824
Dara Leslie officer: SVP Sales & Marketing PO BOX 459, EDINBURG VA 22824
Dennis Romps officer: VP & Chief Accounting Officer 12018 SUNRISE VALLEY DRIVE, SUITE 600, RESTON VA 20191