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SKWD (Skyward Specialty Insurance Group) Degree of Operating Leverage : 0.47 (As of Mar. 2025)


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What is Skyward Specialty Insurance Group Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Skyward Specialty Insurance Group's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was 0.47. The higher Degree of Operating Leverage, the higher operating risk the company will take.

The industry rank for Skyward Specialty Insurance Group's Degree of Operating Leverage or its related term are showing as below:

SKWD's Degree of Operating Leverage is ranked better than
57.73% of 343 companies
in the Insurance industry
Industry Median: 0.96 vs SKWD: 0.47

Skyward Specialty Insurance Group Degree of Operating Leverage Historical Data

The historical data trend for Skyward Specialty Insurance Group'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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Skyward Specialty Insurance Group Degree of Operating Leverage Chart

Skyward Specialty Insurance Group Annual Data
Trend Dec20 Dec21 Dec22 Dec23 Dec24
Degree of Operating Leverage
- -8.12 0.33 2.80 1.24

Skyward Specialty Insurance Group Quarterly Data
Dec20 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 4.04 3.20 2.23 1.24 0.47

Competitive Comparison of Skyward Specialty Insurance Group's Degree of Operating Leverage

For the Insurance - Property & Casualty subindustry, Skyward Specialty Insurance Group'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.


Skyward Specialty Insurance Group's Degree of Operating Leverage Distribution in the Insurance Industry

For the Insurance industry and Financial Services sector, Skyward Specialty Insurance Group's Degree of Operating Leverage distribution charts can be found below:

* The bar in red indicates where Skyward Specialty Insurance Group's Degree of Operating Leverage falls into.


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Skyward Specialty Insurance Group Degree of Operating Leverage Calculation

Skyward Specialty Insurance Group'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
=( 165.8 (Mar. 2025) / 147.956 (Mar. 2024) - 1 )/( 1214.321 (Mar. 2025) / 964.679 (Mar. 2024) - 1 )
=0.1206/0.2588
=0.47***

* 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.


Skyward Specialty Insurance Group  (NAS:SKWD) 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.


Skyward Specialty Insurance Group Degree of Operating Leverage Related Terms

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


Skyward Specialty Insurance Group Business Description

Traded in Other Exchanges
N/A
Address
800 Gessner Road, Suite 600, Houston, TX, USA, 77024-4284
Skyward Specialty Insurance Group Inc is a specialty insurance company that delivers commercial property and casualty products and solutions on a non-admitted and admitted basis. The firm has one reportable segment through which it offers a broad array of insurance coverages to several market niches. It operates multiple lines of business, including general liability, excess liability, professional liability, commercial auto, group accident, health, property, surety, and workers' compensation.
Executives
Kirby Hill officer: PRESIDENT - INDUSTRY SOLUTIONS 800 GESSNER ROAD, SUITE 600, HOUSTON TX 77024
Mark W Haushill officer: EVP & CFO C/O SKYWARD SPECIALTY INSURANCE GROUP, 800 GESSNER ROAD, STE 600, HOUSTON TX 77024
Andrew S Robinson director, officer: CEO & PRESIDENT C/O SKYWARD SPECIALTY INSURANCE GROUP, 800 GESSNER ROAD, STE. 600, HOUSTON TX 77024
Sean W Duffy officer: EVP & CHIEF CLAIMS OFFICER 800 GESSNER ROAD, SUITE 600, HOUSTON TX 77024
Gena L Ashe director C/O GXO LOGISTICS, INC., TWO AMERICAN LANE, GREENWICH CT 06831
Dan Pk Bodnar officer: CHIEF INFORMATION OFFICER 800 GESSNER ROAD, SUITE 600, HOUSTON TX 77024
Burkhart John A Iii officer: PRESIDENT - SPECIALTY LINES 800 GESSNER ROAD, SUITE 600, HOUSTON TX 77024
Sandip A Kapadia officer: EVP, CHIEF ACTUARY 800 GESSNER ROAD, SUITE 600, HOUSTON TX 77024
Thomas N Schmitt officer: CHIEF PEOPLE & ADMIN. OFFICER 800 GESSNER ROAD, SUITE 600, HOUSTON TX 77024
Leslie Shaunty officer: GENERAL COUNSEL & SECRETARY 800 GESSNER ROAD, SUITE 600, HOUSTON TX 77024
James Charles Hays director 100 S. POINTE DRIVE, UNIT 2605, MIAMI BEACH FL 33139
Katharine Terry director 800 GESSNER ROAD, SUITE 600, HOUSTON TX 77024
Westaim Corp 10 percent owner 212 KING STREET WEST, SUITE 201, TORONTO A6 M5H 1K5
Anthony J Kuczinski director 800 GESSNER ROAD, SUITE 600, HOUSTON TX 77024
Westaim Hiig Limited Partnership 10 percent owner 212 KING STREET WEST, SUITE 201, TORONTO A6 M5H 1K5