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Optimind Pharma (XCNQ:OMND) Degree of Operating Leverage : 3.47 (As of Nov. 2024)


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What is Optimind Pharma Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Optimind Pharma's Degree of Operating Leverage for the quarter that ended in Nov. 2024 was 3.47. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

XCNQ:OMND's Degree of Operating Leverage is ranked worse than
73.73% of 944 companies
in the Drug Manufacturers industry
Industry Median: 0.87 vs XCNQ:OMND: 3.47

Optimind Pharma Degree of Operating Leverage Historical Data

The historical data trend for Optimind Pharma'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.

Optimind Pharma Degree of Operating Leverage Chart

Optimind Pharma Annual Data
Trend Feb22 Feb23 Feb24
Degree of Operating Leverage
- - 2.01

Optimind Pharma Quarterly Data
Jun21 Feb22 May22 Aug22 Nov22 Feb23 May23 Aug23 Nov23 Feb24 May24 Aug24 Nov24
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 18.57 2.01 1.59 1.90 3.47

Competitive Comparison of Optimind Pharma's Degree of Operating Leverage

For the Drug Manufacturers - Specialty & Generic subindustry, Optimind Pharma'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.


Optimind Pharma's Degree of Operating Leverage Distribution in the Drug Manufacturers Industry

For the Drug Manufacturers industry and Healthcare sector, Optimind Pharma's Degree of Operating Leverage distribution charts can be found below:

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


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Optimind Pharma Degree of Operating Leverage Calculation

Optimind Pharma's Degree of Operating Leverage for the quarter that ended in Nov. 2024 is calculated as:

Degree of Operating Leverage=% Change in EBIT**/% Change in Revenue
=( -0.893 (Nov. 2024) / -2.576 (Nov. 2023) - 1 )/( 0.112 (Nov. 2024) / 0.138 (Nov. 2023) - 1 )
=-0.6533/-0.1884
=3.47***

* 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.


Optimind Pharma  (XCNQ:OMND) 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.


Optimind Pharma Degree of Operating Leverage Related Terms

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Optimind Pharma Business Description

Traded in Other Exchanges
N/A
Address
77 King Street West, Suite 3000, TD Centre, North Tower, PO Box 95, Toronto, ON, CAN, M5K 1G8
Optimind Pharma Corp is an emerging provider of psychedelic therapies for the masses. It helps people suffering from PTSD, Anxiety, Depression, and other mental illnesses and disabilities by providing ketamine-assisted-treatment and other psychedelic-enhanced-psychotherapy modalities. It is also partnered with developers of psilocybin-associated treatments and products to further expand its treatment and program offerings.

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