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XELA (Exela Technologies) Degree of Operating Leverage : 19.72 (As of Jun. 2024)


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What is Exela Technologies Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Exela Technologies's Degree of Operating Leverage for the quarter that ended in Jun. 2024 was 19.72. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

XELA's Degree of Operating Leverage is ranked worse than
91.71% of 2665 companies
in the Software industry
Industry Median: 0.79 vs XELA: 19.72

Exela Technologies Degree of Operating Leverage Historical Data

The historical data trend for Exela Technologies'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.

Exela Technologies Degree of Operating Leverage Chart

Exela Technologies Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Degree of Operating Leverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only -4,043.56 5.94 -32.61 99.20 90.73

Exela Technologies Quarterly Data
Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24
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 -84.87 -4.39 90.73 53.05 19.72

Competitive Comparison of Exela Technologies's Degree of Operating Leverage

For the Software - Application subindustry, Exela Technologies'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.


Exela Technologies's Degree of Operating Leverage Distribution in the Software Industry

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

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


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Exela Technologies Degree of Operating Leverage Calculation

Exela Technologies's Degree of Operating Leverage for the quarter that ended in Jun. 2024 is calculated as:

Degree of Operating Leverage=% Change in EBIT**/% Change in Revenue
=( 2.857 (Jun. 2024) / -178.037 (Jun. 2023) - 1 )/( 1022.03 (Jun. 2024) / 1077.547 (Jun. 2023) - 1 )
=-1.016/-0.0515
=19.72***

* 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.


Exela Technologies  (OTCPK:XELA) 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.


Exela Technologies Degree of Operating Leverage Related Terms

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


Exela Technologies Business Description

Traded in Other Exchanges
N/A
Address
2701 East Grauwyler Road, Irving, TX, USA, 75061
Exela Technologies Inc is a business process automation (BPA) leader combining industry-specific and multi-industry enterprise software and solutions. The company's BPA suite of solutions is deployed in banking, healthcare, insurance, and other industries. The company's segment includes Information and Transaction Processing Solutions (ITPS), Healthcare Solutions (HS), and Legal and Loss Prevention Services (LLPS). It generates maximum revenue from the ITPS segment.
Executives
Par Chadha director, 10 percent owner
Matt Brown officer: Interim CFO 2701 E. GRAUWYLER RD., IRVING TX 75061
Shrikant Sortur officer: Senior VP, Global Finance 42579 BEECHWOOD DR, STERLING HEIGHTS MI 48314
Srinivasan Murali officer: President, Americas and APAC C/O EXELA TECHNOLOGIES, INC., 2701 E. GRAUWLER RD., IRVING TX 75038
Vitalie Robu officer: President, EMEA C/O EXELA TECHNOLOGIES, INC., 2701 E. GRAUWYLER RD., IRVING TX 75038
Mark D. Fairchild officer: President, Europe 2701 E. GRAUWYLER ROAD, IRVING TX 75061
William L Transier director 3505 W SAM HOUSTON PKWY NORTH, SUITE 400, HOUSTON TX 77043
Marc A Beilinson director 10100 SANTA MONICA BLVD STE. 1100, LOS ANGELES CA 90067
Sharon Chadha director, 10 percent owner 3003 PENNSYLVANIA AVENUE, SANTA MONICA CA 90404
Apollo Management Holdings Gp, Llc 10 percent owner 9 W. 57TH STREET, 43RD FLOOR, NEW YORK NY 10019
Delos Capital Management, Lp 10 percent owner 120 FIFTH AVENUE, THIRD FLOOR, NEW YORK NY 10011
Delos Investment Fund, Lp 10 percent owner 120 FIFTH AVENUE, 3RD FLOOR, NEW YORK NY 10011
Matthew Constantino 10 percent owner 120 FIFTH AVENUE, 3RD FLOOR, NEW YORK NY 10011
Clark Coley director 4055 VALLEY VIEW LANE, SUITE 1000, DALLAS TX 75244
Martin P. Akins director ONE EXPRESS WAY, ST. LOUIS MO 63121