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Clip Money (TSXV:CLIP) Degree of Operating Leverage : -0.04 (As of Mar. 2025)


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What is Clip Money Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Clip Money's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was -0.04. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

TSXV:CLIP's Degree of Operating Leverage is ranked better than
61.73% of 2665 companies
in the Software industry
Industry Median: 0.79 vs TSXV:CLIP: -0.04

Clip Money Degree of Operating Leverage Historical Data

The historical data trend for Clip Money'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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Clip Money Degree of Operating Leverage Chart

Clip Money Annual Data
Trend Dec21 Dec22 Dec23 Dec24
Degree of Operating Leverage
- 0.17 -0.01 -0.04

Clip Money Quarterly Data
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 -0.02 -0.02 -0.04 -0.04 -0.04

Competitive Comparison of Clip Money's Degree of Operating Leverage

For the Software - Infrastructure subindustry, Clip Money'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.


Clip Money's Degree of Operating Leverage Distribution in the Software Industry

For the Software industry and Technology sector, Clip Money's Degree of Operating Leverage distribution charts can be found below:

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


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Clip Money Degree of Operating Leverage Calculation

Clip Money'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
=( -9.788 (Mar. 2025) / -10.849 (Mar. 2024) - 1 )/( 4.276 (Mar. 2025) / 1.141 (Mar. 2024) - 1 )
=-0.0978/2.7476
=-0.04***

* 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.


Clip Money  (TSXV:CLIP) 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.


Clip Money Degree of Operating Leverage Related Terms

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


Clip Money Business Description

Industry
Traded in Other Exchanges
Address
96 Riverdale Avenue, Ottawa, ON, CAN, K1S 1R2
Clip Money Inc is a Canadian-based company principally in the business of providing a proprietary deposit network to businesses and financial institutions located across North America. A network of ClipDrop safes located in malls, box stores, and grocery chains, Clip improves the business deposit experience through transformational digital and mobile-enabled services. The company has one operating segment, which is providing a proprietary deposit network to businesses located across North America. The company combines functional hardware, an intuitive mobile app, and a cloud-based transaction engine that maximizes business banking transactions. It also facilitates mobile change orders, which are fully insured and shipped within one to two business days.
Executives
Andrew Tussing Senior Officer
Daren Trousdell 10% Security Holder
Koat Holdings Llc 10% Security Holder
Joseph James Abou-arrage 10% Security Holder, Senior Officer
John Jeffrey Gibson 10% Security Holder, Director

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