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VRE (Veris Residential) Degree of Operating Leverage : 28.05 (As of Mar. 2025)


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What is Veris Residential Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Veris Residential's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was 28.05. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

VRE's Degree of Operating Leverage is ranked worse than
89.65% of 734 companies
in the REITs industry
Industry Median: 1.205 vs VRE: 28.05

Veris Residential Degree of Operating Leverage Historical Data

The historical data trend for Veris Residential'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.

Veris Residential Degree of Operating Leverage Chart

Veris Residential 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 9.01 -5.75 -17.64 -1.47 51.56

Veris Residential 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 -1.93 41.47 35.27 51.56 28.05

Competitive Comparison of Veris Residential's Degree of Operating Leverage

For the REIT - Residential subindustry, Veris Residential'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.


Veris Residential's Degree of Operating Leverage Distribution in the REITs Industry

For the REITs industry and Real Estate sector, Veris Residential's Degree of Operating Leverage distribution charts can be found below:

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


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Veris Residential Degree of Operating Leverage Calculation

Veris Residential'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
=( 51.125 (Mar. 2025) / 30.378 (Mar. 2024) - 1 )/( 271.49 (Mar. 2025) / 265.037 (Mar. 2024) - 1 )
=0.683/0.0243
=28.05***

* 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.


Veris Residential  (NYSE:VRE) 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.


Veris Residential Degree of Operating Leverage Related Terms

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


Veris Residential Business Description

Industry
Traded in Other Exchanges
Address
Harborside 3, 210 Hudson Street, Suite 400, Jersey City, NJ, USA, 07311
Veris Residential Inc is a fully-integrated, self-administered and self-managed real estate investment trust (REIT). The company owns and operates a real estate portfolio comprised predominantly of multifamily rental properties located mainly in the Northeast and Class A office properties. The company performs substantially all real estate management, leasing, acquisition and development on an in-house basis. The properties are in three states in the Northeast, plus the District of Columbia. The company operates in two industry segments multifamily real estate & services and commercial & other real estate. The majority of revenue is from Multifamily real estate services.
Executives
Mahbod Nia director C/O COLONY NORTHSTAR, INC., 590 MADISON AVENUE, 34TH FLOOR, NEW YORK NY 10022
Nori Gerardo Lietz director HARBORSIDE 3, 210 HUDSON ST., SUITE 400, JERSEY CITY NJ 07311
A. Akiva Katz director C/O MACK-CALI REALTY CORP, HARBORSIDE 3, 210 HUDSON ST., SUITE 400, JERSEY CITY NJ 07311
Stephanie L. Williams director C/O VERIS RESIDENTIAL, INC., 210 HUDSON STREET, SUITE 400, JERSEY CITY NJ 07311
Ronald Dickerman director 410 PARK AVENUE, 10TH FLOOR, NEW YORK NY 10022
Taryn D. Fielder officer: EVP, General Counsel & Sec. 1775 EYE STREET, N.W., SUITE 1000, WASHINGTON DC 20006
Jeffrey Scott Turkanis officer: EVP & Chief Investment Officer 12 RICHARD ROAD, MARBLEHEAD MA 01945
Amanda Lombard officer: Chief Accounting Officer 500 FIFTH AVENUE, SUITE 1530, NEW YORK NY 10110
Anna Malhari officer: EVP & Chief Operating Officer HARBORSIDE 3, 210 HUDSON ST., SUITE 400, JERSEY CITY NJ 07311
Victor B Macfarlane director 151 EXECUTIVE PARK BLVD, BUILDING 2, SAN FRANCISCO CA 94134
Michael B Berman director C/O GENERAL GROWTH PROPERTIES, 110 NORTH WACKER DRIVE, CHICAGO IL 60606
Howard Steven Stern director 11601 WILSHIRE BLVD 4TH FLOOR, LOS ANGELES CA 90025
Tammy Jones director MONOGRAM RESIDENTIAL TRUST,INC., 5800 GRANITE PARKWAY, SUITE 1000, PLANO TX 75024
Deidre Crockett officer: EVP, Chief Admin. Officer HARBORSIDE 3, 210 HUDSON ST., SUITE 400, JERSEY CITY NJ 07311
Alan R Batkin director 399 PARK AVENUE, 10TH FLOOR, NEW YORK NY 10022