GURUFOCUS.COM » STOCK LIST » Consumer Cyclical » Personal Services » Grey Wolf Animal Health Corp (TSXV:WOLF) » Definitions » Degree of Operating Leverage

Grey Wolf Animal Health (TSXV:WOLF) Degree of Operating Leverage : -13.21 (As of Sep. 2024)


View and export this data going back to 2022. Start your Free Trial

What is Grey Wolf Animal Health Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Grey Wolf Animal Health's Degree of Operating Leverage for the quarter that ended in Sep. 2024 was -13.21. The higher Degree of Operating Leverage, the higher operating risk the company will take.

The industry rank for Grey Wolf Animal Health's Degree of Operating Leverage or its related term are showing as below:

TSXV:WOLF's Degree of Operating Leverage is ranked better than
90.91% of 99 companies
in the Personal Services industry
Industry Median: 0.94 vs TSXV:WOLF: -13.21

Grey Wolf Animal Health Degree of Operating Leverage Historical Data

The historical data trend for Grey Wolf Animal Health'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.

Grey Wolf Animal Health Degree of Operating Leverage Chart

Grey Wolf Animal Health Annual Data
Trend Dec21 Dec22 Dec23
Degree of Operating Leverage
- - -6.51

Grey Wolf Animal Health Quarterly Data
Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
Degree of Operating Leverage Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only -26.58 -6.51 -10.45 -10.59 -13.21

Competitive Comparison of Grey Wolf Animal Health's Degree of Operating Leverage

For the Personal Services subindustry, Grey Wolf Animal Health'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.


Grey Wolf Animal Health's Degree of Operating Leverage Distribution in the Personal Services Industry

For the Personal Services industry and Consumer Cyclical sector, Grey Wolf Animal Health's Degree of Operating Leverage distribution charts can be found below:

* The bar in red indicates where Grey Wolf Animal Health's Degree of Operating Leverage falls into.



Grey Wolf Animal Health Degree of Operating Leverage Calculation

Grey Wolf Animal Health's Degree of Operating Leverage for the quarter that ended in Sep. 2024 is calculated as:

Degree of Operating Leverage=% Change in EBIT**/% Change in Revenue
=( 2.134 (Sep. 2024) / 11.242 (Sep. 2023) - 1 )/( 26.301 (Sep. 2024) / 24.781 (Sep. 2023) - 1 )
=-0.8102/0.0613
=-13.21***

* 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.


Grey Wolf Animal Health  (TSXV:WOLF) 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.


Grey Wolf Animal Health Degree of Operating Leverage Related Terms

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


Grey Wolf Animal Health Business Description

Traded in Other Exchanges
N/A
Address
100 King Street West, Suite 6000, 1 First Canadian Place,, Toronto, ON, CAN, M5X 1E2
Grey Wolf Animal Health Corp operates as an animal health company. It focuses on improving the lives and well-being of vets and pets in Canada. It has two reportable operating segments: the Animal Health business unit selling, marketing, and distributing pharmaceutical, nutraceutical, and consumable products to veterinary clinics across Canada. and the Pharmacy business unit compounds pharmaceuticals, for equine use but also the bio-identical hormone replacement therapy market, all based on prescriptions received from veterinarians, physicians, and patients.
Executives
Angela Cechetto Senior Officer
Diane Bourassa Director
Shawn Douglas Aspden Director
Jill Terilee Angevine Director

Grey Wolf Animal Health Headlines

From GuruFocus