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Team (TISI) Degree of Operating Leverage : 98.30 (As of Mar. 2025)


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What is Team Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Team's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was 98.30. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

TISI's Degree of Operating Leverage is ranked worse than
97% of 1001 companies
in the Business Services industry
Industry Median: 0.99 vs TISI: 98.30

Team Degree of Operating Leverage Historical Data

The historical data trend for Team'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.

Team Degree of Operating Leverage Chart

Team Annual Data
Trend May15 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 -261.03 20.55 -74.72 -27.80 150.37

Team 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 -94.71 32.74 116.08 150.37 98.30

Competitive Comparison of Team's Degree of Operating Leverage

For the Specialty Business Services subindustry, Team'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.


Team's Degree of Operating Leverage Distribution in the Business Services Industry

For the Business Services industry and Industrials sector, Team's Degree of Operating Leverage distribution charts can be found below:

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


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Team Degree of Operating Leverage Calculation

Team'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
=( -0.218 (Mar. 2025) / -13.876 (Mar. 2024) - 1 )/( 851.327 (Mar. 2025) / 859.938 (Mar. 2024) - 1 )
=-0.9843/-0.01
=98.30***

* 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.


Team  (NYSE:TISI) 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.


Team Degree of Operating Leverage Related Terms

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


Team Business Description

Industry
Traded in Other Exchanges
N/A
Address
13131 Dairy Ashford, Suite 600, Sugar Land, TX, USA, 77478
Team Inc provides specialty industrial services, including inspection, engineering assessment, and mechanical repair and remediation required in maintaining high-temperature and high-pressure piping systems and vessels utilized in refining, petrochemicals, and others. The company operates in two segments, Inspection and Heat Treating and Mechanical Services. The Inspection and Heat Treating segment, which generates maximum revenue, provides conventional and non-destructive testing services for the process, pipeline, and power sectors, pipeline integrity management services, and field heat treating services, as well as associated engineering and condition assessment services. Geographically, the company derives its key revenue from the United States, followed by other countries, and Canada.
Executives
Anthony R Horton director 12377 MERIT DRIVE, SUITE 1700, DALLAS TX 75251
Corre Horizon Fund, Lp 10 percent owner CONYERS TRUST COMPANY (CAYMAN) LTD, CRICKET SQUARE, HUTCHINS DR, BOX 2681, GRAND CAYMAN E9 KY1-1111
Corre Opportunities Qualified Master Fund, Lp 10 percent owner 12 EAST 49TH STREET, 40TH FLOOR, NEW YORK NY 10017
Michael J Caliel director 1800 WEST LOOP SOUTH, SUITE 500, HOUSTON TX 77027
Edward J. Stenger director C/O MOTORS LIQUIDATION COMPANY, 300 RENAISSANCE DRIVE, DETROIT MI 48625
Evan S. Lederman director C/O FIR TREE PARTNERS, 55 WEST 46TH STREET, 29TH FLOOR, NEW YORK NY 10036
J Michael Anderson director
Nelson M Haight officer: Chief Financial Officer 110 B JACKSON BLVD, HOUSTON TX 77006
Jeffery Gerald Davis director PO BOX 336, BURTON TX 77835
Corre Horizon Ii Fund, Lp 10 percent owner 12 EAST 49TH STREET, 40TH FLOOR, NEW YORK NY 10017
Corre Partners Management, Llc 10 percent owner 12 EAST 49TH STREET, SUITE 4003, NEW YORK NY 10017
Matthew E Acosta officer: VP & Chief Accounting Officer 13131 DAIRY ASHFORD, SUITE 600, SUGAR LAND TX 77478
Candice Koederitz director 937 TAHOE BOULEVARD, INCLINE VILLAGE NV 89451
Young Robert James Iii officer: President, AID 13131 DAIRY ASHFORD, SUITE 600, SUGAR LAND TX 77478
James Chadwick Murray officer: President, MOS 13131 DAIRY ASHFORD, SUITE 600, SUGAR LAND TX 77478