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WNC (Wabash National) Degree of Operating Leverage : 4.97 (As of Mar. 2025)


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What is Wabash National Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Wabash National's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was 4.97. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

WNC's Degree of Operating Leverage is ranked worse than
78.16% of 206 companies
in the Farm & Heavy Construction Machinery industry
Industry Median: 1.405 vs WNC: 4.97

Wabash National Degree of Operating Leverage Historical Data

The historical data trend for Wabash National'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.

Wabash National Degree of Operating Leverage Chart

Wabash National 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 4.39 -5.94 15.06 64.35 9.18

Wabash National 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 -4.63 2.01 10.77 9.18 4.97

Competitive Comparison of Wabash National's Degree of Operating Leverage

For the Farm & Heavy Construction Machinery subindustry, Wabash National'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.


Wabash National's Degree of Operating Leverage Distribution in the Farm & Heavy Construction Machinery Industry

For the Farm & Heavy Construction Machinery industry and Industrials sector, Wabash National's Degree of Operating Leverage distribution charts can be found below:

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


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Wabash National Degree of Operating Leverage Calculation

Wabash National'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
=( -72.134 (Mar. 2025) / 273.95 (Mar. 2024) - 1 )/( 1812.354 (Mar. 2025) / 2430.824 (Mar. 2024) - 1 )
=-1.2633/-0.2544
=4.97***

* 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.


Wabash National  (NYSE:WNC) 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.


Wabash National Degree of Operating Leverage Related Terms

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


Wabash National Business Description

Traded in Other Exchanges
Address
3900 McCarty Lane, Lafayette, IN, USA, 47905
Wabash National Corp operates as the innovation leader of connected solutions for the transportation, logistics, and distribution industries. The Company manages its business in two operating and reportable segments: Transportation Solutions and Parts & Services. It designs and manufactures products including dry freight and refrigerated trailers, platform trailers, tank trailers, dry and refrigerated truck bodies, structural composite panels and products, trailer aerodynamic solutions, and specialty food-grade processing equipment.
Executives
Michael N Pettit officer: SVP - Group President, FMP 1000 SAGAMORE PARKWAY SOUTH, LAFAYETTE IN 47905
Sudhanshu Shekhar Priyadarshi director 6425 HALL OF FAME LANE, FRISCO TX 75034
Larry J Magee director 1000 SAGAMORE PARKWAY SOUTH, LAFAYETTE IN 47905
John G. Boss director 260 HUDSON RIVER ROAD, WATERFORD NY 12188
Mary Kristin Glazner officer: SVP Chief HR Officer 1000 SAGAMORE PARKWAY SOUTH, LAFAYETTE IN 47905
Dustin T Smith officer: SVP and Group President, CTP 1000 SAGAMORE PARKWAY SOUTH, LAFAYETTE IN 47905
Kevin J Page officer: SVP and Group President, DPG 1000 SAGAMORE PARKWAY SOUTH, LAFAYETTE IN 47905
Brent L Yeagy officer: Pres. of Commercial Trailer 1000 SAGAMORE PARKWAY SOUTH, LAFAYETTE IN 47905
Trent Broberg director 3900 MCCARTY LANE, LAFAYETTE IN 47905
John E Kunz director 522 N. MACEWEN DRIVE, OSPREY FL 34229
Therese M Bassett director 2211 SOUTH 47TH STREET, PHOENIX AZ 85034
Taylor Stuart A Ii director
Andrew C Boynton director FULTON HALL 510, 140 COMMONWEALTH AVENUE, CHESTNUT HILL MA 02467
Melanie Margolin officer: SVP and General Counsel 1000 SAGAMORE PARKWAY SOUTH, LAFAYETTE IN 47905
Richard J Giromini officer: Senior Vice President - COO