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TTEC (TTEC Holdings) Degree of Operating Leverage : 21.99 (As of Dec. 2024)


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What is TTEC Holdings Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. TTEC Holdings's Degree of Operating Leverage for the quarter that ended in Dec. 2024 was 21.99. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

TTEC's Degree of Operating Leverage is ranked worse than
92.58% of 2669 companies
in the Software industry
Industry Median: 0.79 vs TTEC: 21.99

TTEC Holdings Degree of Operating Leverage Historical Data

The historical data trend for TTEC Holdings'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.

TTEC Holdings Degree of Operating Leverage Chart

TTEC Holdings 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 2.42 1.04 -2.40 -43.55 21.99

TTEC Holdings Quarterly Data
Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24
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 -43.55 13.75 33.41 23.19 21.99

Competitive Comparison of TTEC Holdings's Degree of Operating Leverage

For the Information Technology Services subindustry, TTEC Holdings'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.


TTEC Holdings's Degree of Operating Leverage Distribution in the Software Industry

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

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


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TTEC Holdings Degree of Operating Leverage Calculation

TTEC Holdings's Degree of Operating Leverage for the quarter that ended in Dec. 2024 is calculated as:

Degree of Operating Leverage=% Change in EBIT**/% Change in Revenue
=( -152.202 (Dec. 2024) / 119.045 (Dec. 2023) - 1 )/( 2207.587 (Dec. 2024) / 2462.817 (Dec. 2023) - 1 )
=-2.2785/-0.1036
=21.99***

* 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.


TTEC Holdings  (NAS:TTEC) 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.


TTEC Holdings Degree of Operating Leverage Related Terms

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


TTEC Holdings Business Description

Industry
Traded in Other Exchanges
Address
6312 South Fiddler’s Green Circle, Suite 100N, Greenwood Village, CO, USA, 80111
TTEC Holdings Inc provides customer engagement management tools and services. The company operates through four operating segments that are organized into two groups, TTEC Digital and TTEC Engage. TTEC Digital is engaged in building and implementing cloud-based and on-premises customer experience tools that enable clients to develop customer engagement strategies. TTEC Engage focuses on delivering sales and marketing solutions to help clients boost their revenue as well as on managing customer's front-to-back office processes to optimize the customer experience. TTEC Engage contributes the vast majority of the company's revenue, and its sales are derived from the United States and Canada, followed by Philippines, Asia-Pacific and India.
Executives
Marc Holtzman director 600 SEVENTEENTH STREET, SUITE 2800, DENVER CO 80202
Francois Bourret officer: Interim CFO 9197 S. PEORIA ST., ENGLEWOOD CO 80112
David J. Seybold officer: CEO, TTEC Digital 9197 S. PEORIA ST., ENGLEWOOD CO 80112
Michelle R Swanback officer: CEO, TTEC Engage 7001 EAST BELLEVIEW AVENUE, DENVER CO 80237
Gregory A Conley director 9197 S. PEORIA ST., ENGLEWOOD CO 80112
Margaret B Mclean officer: SVP, GC, CRO & Corp. Sec. 9191 SOUTH JAMAICA STREET, ENGLEWOOD CO 80112
Dustin J. Semach officer: Chief Financial Officer 1 FANATICAL PLACE, CITY OF WINDCREST, SAN ANTONIO TX 78218
Kenneth D Tuchman director, 10 percent owner, officer: CEO & Chairman of the Board C/O MARGARET MCLEAN, TTEC HOLDINGS INC, 9197 SOUTH PEORIA STREET, ENGLEWOOD CO 80112
Robert N Frerichs director C/O TTEC HOLDINGS, INC., 9197 S. PEORIA ST., ENGLEWOOD CO 80112
Gina Loften director 9197 S. PEORIA ST., ENGLEWOOD CO 80112
George Demou officer: President, TTEC Digital 9197 S. PEORIA ST., ENGLEWOOD CO 80112
Richard Sean Erickson officer: SVP, Global Head-TTEC Engage 9197 S. PEORIA ST., ENGLEWOOD CO 80112
Judi Hand officer: EVP, Chief Sales Officer 9197 S. PEORIA STREET, ENGLEWOOD CO 80112
Martin F Deghetto officer: EVP, Global Operations 9197 SOUTH PEORIA STREET, ENGLEWOOD CO 80112
Tracy L Bahl director