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VRNT (Verint Systems) Degree of Operating Leverage : -390.36 (As of Jan. 2025)


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What is Verint Systems Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Verint Systems's Degree of Operating Leverage for the quarter that ended in Jan. 2025 was -390.36. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

VRNT's Degree of Operating Leverage is ranked better than
99.17% of 2659 companies
in the Software industry
Industry Median: 0.79 vs VRNT: -390.36

Verint Systems Degree of Operating Leverage Historical Data

The historical data trend for Verint Systems'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.

Verint Systems Degree of Operating Leverage Chart

Verint Systems Annual Data
Trend Jan16 Jan17 Jan18 Jan19 Jan20 Jan21 Jan22 Jan23 Jan24 Jan25
Degree of Operating Leverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 181.56 -521.00 8.11 15.86 -390.36

Verint Systems Quarterly Data
Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24 Apr24 Jul24 Oct24 Jan25
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 15.86 14.03 22.15 9.99 -390.36

Competitive Comparison of Verint Systems's Degree of Operating Leverage

For the Software - Infrastructure subindustry, Verint Systems'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.


Verint Systems's Degree of Operating Leverage Distribution in the Software Industry

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

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


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Verint Systems Degree of Operating Leverage Calculation

Verint Systems's Degree of Operating Leverage for the quarter that ended in Jan. 2025 is calculated as:

Degree of Operating Leverage=% Change in EBIT**/% Change in Revenue
=( 108.481 (Jan. 2025) / 71.606 (Jan. 2024) - 1 )/( 909.186 (Jan. 2025) / 910.387 (Jan. 2024) - 1 )
=0.515/-0.0013
=-390.36***

* 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.


Verint Systems  (NAS:VRNT) 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.


Verint Systems Degree of Operating Leverage Related Terms

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


Verint Systems Business Description

Industry
Traded in Other Exchanges
Address
225 Broadhollow Road, Melville, NY, USA, 11747
Verint Systems Inc with its subsidiaries, helps brands provide Boundless customer experience (CX) automation. AI offers a solution, and that's where Verint comes in. It empowers brands with groundbreaking AI via a next-gen open platform. Its Verint Open Platform helps organizations increase CX automation to achieve their strategic objectives and realize ROI. Geographically, it derives a majority of its revenue from the United States.
Executives
Peter Fante officer: General Counsel
Stephen J Gold director
Elan Moriah officer: President, Contact Center Div.
Grant A Highlander officer: Chief Financial Officer C/O VERINT SYSTEMS INC., 175 BROADHOLLOW ROAD, SUITE 100, MELVILLE NY 11747
Dan Bodner director, officer: President & CEO Verint Systems
William Kurtz director NOVELLUS SYSTEMS, INC., 4000 NORTH FIRST STREET, SAN JOSE CA 95134
Richard N Nottenburg director 1303 EAST ALGONQUIN ROAD, SCHAUMBURG IL 60196
Yvette H Smith director 175 BROADHOLLOW ROAD, MELVILLE NY 11747
Douglas Robinson officer: Chief Financial Officer C/O VERINT SYSTEMS INC., 330 SOUTH SERVICE ROAD, MELVILLE NY 11747
John R Egan director 176 SOUTH ST., HOPKINTON MA 01748
Kristen Robinson director 2101 WEBSTER STREET #1650, OAKLAND CA 94612
French R Reid Jr director C/O INTERGRAPH CORP, 288 DUNLOP BLVD, HUNTSVILLE AL 35824
Linda M. Crawford director 3365 CLAY STREET, SAN FRANCISCO CA 94118
Apax Guernsey (holdco) Pcc Ltd 10 percent owner THIRD FLOOR, ROYAL BANK PLACE, 1 GLATEGNY ESPLANADE, ST. PETER PORT, GUERNSEY X0 GY1 2HJ
Valor Buyer Lp 10 percent owner C/O APAX PARTNERS, LP, 601 LEXINGTON AVENUE, 53RD FLOOR, NEW YORK NY 10022