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VERI (Veritone) Degree of Operating Leverage : -2.18 (As of Mar. 2025)


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What is Veritone Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Veritone's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was -2.18. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

VERI's Degree of Operating Leverage is ranked better than
75.96% of 2662 companies
in the Software industry
Industry Median: 0.795 vs VERI: -2.18

Veritone Degree of Operating Leverage Historical Data

The historical data trend for Veritone'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.

Veritone Degree of Operating Leverage Chart

Veritone 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 -1.58 0.29 -2.34 -10.04 -2.87

Veritone 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 -8.65 -2.29 0.77 -2.87 -2.18

Competitive Comparison of Veritone's Degree of Operating Leverage

For the Software - Infrastructure subindustry, Veritone'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.


Veritone's Degree of Operating Leverage Distribution in the Software Industry

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

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


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Veritone Degree of Operating Leverage Calculation

Veritone'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
=( -78.271 (Mar. 2025) / -65.802 (Mar. 2024) - 1 )/( 97.881 (Mar. 2025) / 107.191 (Mar. 2024) - 1 )
=0.1895/-0.0869
=-2.18***

* 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.


Veritone  (NAS:VERI) 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.


Veritone Degree of Operating Leverage Related Terms

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


Veritone Business Description

Industry
Traded in Other Exchanges
Address
1615 Platte Street, 2nd Floor, Denver, CO, USA, 80202
Veritone Inc is a provider of artificial intelligence (AI) computing solutions and services. It generates revenue through the delivery of its Software Products and Services which consists of revenues generated from Commercial Enterprise and Government and Regulated Industries customers using the company's aiWARE platform and hiring solutions, any related support and maintenance services, and any related professional services associated with the deployment and/or implementation of such solutions, Managed Services which consist of revenues generated from Commercial Enterprise customers using company's content licensing services, advertising agency, influencer management and related services. It has a presence in the United States, the United Kingdom, France, Australia, Israel, and India.
Executives
Chad Steelberg director, 10 percent owner, officer: CEO and Chairman of the Board 3366 VIA LIDO, NEWPORT BEACH CA 92663
Ryan Steelberg director, 10 percent owner, officer: President 3366 VIA LIDO, NEWPORT BEACH CA 92663
Michael Zilis director C/O INGRAM MICRO INC., 1600 E. ST. ANDREW PLACE, SANTA ANA CA 92705
Graziadio G Louis Iii director 149 PALOS VERDES BLVD., SUITE G, REDONDO BEACH CA 90277
Jeff Patrick Gehl director 3366 VIA LIDO, NEWPORT BEACH CA 92663
Richard H Taketa director 7979 IVANHOE AVENUE, SUITE 500, LA JOLLA CA 92037
Knute P. Kurtz director 1253 SANTA BARABARA DRIVE, NEWPORT BEACH CA 92660
Nayaki R Nayyar director C/O VERITONE, INC., 575 ANTON BOULEVARD, SUITE 100, COSTA MESA CA 92626
Michael Leonard Zemetra officer: EVP, CFO & Treasurer 5264 CALATRANA DRIVE, WOODLAND HILLS CA 91364
Acacia Research Corp 10 percent owner 767 3RD AVENUE, 6TH FLOOR, NEW YORK NY 10017
Paul A Krieger director C/O VERITONE, INC., 575 ANTON BOULEVARD, SUITE 100, COSTA MESA CA 92626
Peter F Collins officer: Senior VP and CFO C/O VERITONE, INC., 575 ANTON BOULEVARD, COSTA MESA CA 92626
Ganley John A Jr officer: EVP, Human Resources 575 ANTON BOULEVARD, COSTA MESA CA 92626
Walsh Frank E. Iii director 330 SOUTH STREET, SUITE 4, MORRISTOWN NJ 07960
Edward Joseph Treska director 520 NEWPORT CENTER DRIVE, 12TH FLOOR, NEWPORT BEACH CA 92660